Heineken reports 2024 half year results

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Heineken has released its half year results to June 2024 which reveal that net revenues have increased by 6% to €14.81bn with operating profit up 12.5% to of €2.08bn.

Bad weather across Europe, and the timing of the Easter holidays, was blamed for slower growth in the second quarter However beer volumes were still up 2.1% year-on-year with the Heineken brand up 9.2%.

Heineken expects growth of between 4% and 8% for the full year but warned that low consumer confidence and economic sentiment in developed markets and a risk of material currency devaluation in Ethiopia and hyperinflation in Nigeria and Egypt, has created short-term uncertainty that requires the company to adapt.

There was good news on the low an no-alcohol front for the brewer who it said had “consolidated” its leadership with strong growths in markets including the UK, Brazil, Egypt and Vietnam. Heineken 0.0 was up 14%.

The company also expects to deliver on €500m in cost savings saying, “We are reinvesting a larger proportion of these savings into marketing and sales. In the second half, we will materially step-up investment in our brands focused on our greatest opportunities for long-term sustainable growth.”

Dolf van den Brink, Chairman of the Executive Board / CEO said, “Premium beer volume grew 5%, led by the Heineken® brand, up 9%. Heineken® was proud to receive a record 22 awards from the Cannes Lions Festival. We consolidated leadership in the Low & No-alcohol category, with Heineken® 0.0 up 14%. We are firmly on-track to deliver €0.5 billion gross savings for 2024, enabling us to invest in growing the category and in building strong brands.

“In the second half, we will materially step-up investment in market and sales expenditures, with notable increases in key markets. We update our full year outlook to grow operating profit (beia) organically in the range of 4% to 8%, reflecting our confidence in delivery and commitment to invest behind growth and to future-proof our business.”

 

 

Category: Beer, Brands and Drinks, News
Tags: Dolf van den Brink, half year results, heineken, Heineken 0.0, Heineken N.V., Low & No-alcohol