Business World

Saturday 18 January 2020

Heineken posts strong profits for first half of year

Heineken
Heineken

Celeste Perri

Heineken, the world's third-biggest brewer, expects growth to moderate in the remainder of the year after posting profit in the first half that topped analysts' estimates.

Earnings before interest and taxation, excluding some items, were €1.45bn in the period, compared with €1.33bn a year earlier, Heineken said yesterday.

But both Carlsberg and Heineken signalled tougher times ahead for the beer industry as escalating political tensions in eastern Europe weigh on the region's economy.

But unlike Carlsberg, Heineken is less reliant on any one country.

Heineken's results were "truly impressive" with almost every division beating estimates, said Jonathan Fyfe, an analyst at Mirabaud Securities. Heineken shares rose as much as 7.9pc in Amsterdam.

In Ireland, Heineken is now the top lager brand in the country in both on and off-trade.

"Our continued focus on top line growth continues to be successful with the Heineken brand again performing well in the premium segment," said Heineken Ireland chief executive Maggie Timoney.

"We remain committed to investing in all of our brands." She said the overall market continues to decline here.

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