logo
Plus   Neg
Share
Email

Heineken Q1 Profit Rises - Update

Dutch brewing group Heineken reported Wednesday a higher first-quarter profit, as revenues increased about 7 percent with growth across all regions.

The group consists of Heineken Holding N.V., Heineken N.V. (HINKY.PK), its subsidiaries and interests in joint venture and associates.

The company, with global brands such as Desperados, Strongbow Gold and Amstel, said total consolidated volume in the quarter improved 3.5 percent. On an organic basis, beer volume and consolidated beer volume grew 4.7 percent, with strong growth in all regions, except Western Europe.

In a trading update, the company said its reported net profit for the first quarter was 175 million euros, higher than 151 million euros reported last year. Net result for the recent quarter included 20 million euros revaluation gain following an increase in Heineken's shareholding in Brasserie Nationale d'Haiti S.A. in January 2012.

EBIT, a key earnings measure, declined slightly on an organic basis, which included a 23 million euros impairment charge related to an investment by the Heineken-APB (China) Pte. Ltd joint venture in a Chinese brewery held for sale, the company said.

Revenues for the quarter, on a reported and organic basis, grew 6.8 percent to 3.83 billion euros. Foreign currency movements contributed to a negative translational effect 18 million euros.

Revenue per hectolitre was up 3.3 percent, helped by pricing initiatives and improved sales mix.

The company also reaffirmed its full year 2012 outlook and said it still expects input costs to escalate further in 2012. Earlier, the company forecast around 6 percent increase in input costs per hectolitre in 2012, but hoped to mitigate this impact through revenue growth initiatives and efficiency programs. In 2011, the increase was 2.5 percent per hectolitre.

In Amsterdam, the shares are currently trading at 37.13 euros, up 3.76 percent, on a volume of 115 thousand shares.

by RTTNews Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Editors Pick
Lowe's Companies, Inc. (LOW) reported first-quarter net earnings of $988 million or $1.19 per share compared to $602 million or $0.70 per share, a year ago. On average, 25 analysts polled by Thomson Reuters expected the company to report profit per share of $1.27 for the quarter. Analysts' estimates... Tesla Inc.'s (TSLA) mass-market Model 3 sedan, which will be available in two new versions with dual motors and all-wheel drive in July, has failed to earn a recommendation from Consumer Reports. Department store chain Kohl's Corp. reported financial results for the first quarter that beat analysts' estimates. Meanwhile, off-price retailer TJX Companies, Inc. reported adjusted earnings for the first quarter that missed analysts' expectations, even as its revenues beat estimates. Both the companies raised their earnings outlook for the full year.
Follow RTT