The UK arm of Molson Coors has been hit with a fall in fourth-quarter volumes of almost 10%, the brewing giant announced yesterday.

Volumes were down by 9.4% for the past three months, although the company said price increases and reduced costs meant profits would remain largely static.

Sales fell by more than half for the period, from $1.6bn to $739m, following the spin-off of its US business to the MillerCoors joint venture.

Profits for the period plunged 49% to $90.7m, down from $176.2m last year.

“Our lower fourth-quarter financial results reflect the combined challenges of a much stronger US dollar versus a year ago, significant commodity inflation and lower sales volume in our major markets,” said chief executive Peter Swinburn.

“Foreign currency movements alone accounted for more than 55% of the year-over-year decline in fourth-quarter profit and input cost inflation across all of our businesses added another $41m of headwinds to the quarter.”