Towering above: A Molson Coors brewery in Canada (Photo: Flickr)
With earnings this quarter leaping up by 8%, the company’s stock price rose accordingly to an impressive $71.08 (£42.21) — roughly a 6% increase.
This put the company at the top of the S&P 500, the stock market index designed to be reflective of the US economy.
As reported by the Financial Times, the Heineken and Coors brewer reported earnings up from $1.45 (£0.86) a share last year to $1.56 (£0.93), far higher than the predicted $1.47 (£0.87).
Sales rose by 1% to $1.19bn (£706.6m).
Peter Swinburn, Molson chief executive, told the press that the company “continued to build a bigger and stronger brand portfolio that is delivering value-added innovation, continued investment in our core brands, and increased our share in above premium”.
According to reports, Goldman Sachs issued a note to investors saying that Molson’s performance in Canada was one of the reasons behind the unpredicted growth levels.
The note also made good reading for the MillerCoors segment, the company’s joint venture in the states with rival SABMiller, which enjoyed a 10% growth in profits.
Molson may be lining up to buy out SABMiller’s 58% stake in MillerCoors, and these results have the potential bring the company closer to this takeover.
This unprecedented growth has been reflected in the results posted by other big brewers. Recently, AB InBev posted pre-deduction earnings of 9.5%, higher than the estimated 8.2%.