Orkla, the Norwegian brewing and media concern, has reported a steep fall in pre-tax profits from NKr801 million to NKr125 million (US$17.8 million) for the fourth quarter to the end of December 2002. The company attributed the fall to the weak world economy and strong Norwegian currency.

The result was well below the average forecast in a Reuters poll, which had predicted a pre-tax profit of NKr596 million. However, Orkla was upbeat about the coming year.

"As far as the future prospects can be judged at the time of writing, all in all, Orkla Foods, Orkla Brands and Orkla Beverages appear likely to achieve a certain amount of profit growth. For Orkla Media, there is no sign of an improvement in the advertising markets," the company said.

Orkla's sales slipped from NKr11.58 billion to NKr10.98 billion, below forecasts for around NKr11.29 billion.

24 February, 2003