Heineken lowers FY forecast after weak H1 | Progresiv
Heineken has lowered its profit forecast for the full year after reporting weaker-than-expected results for its fiscal first half. 
For the six months, net revenue grew by 4.2% to 10.8 billion euros (+5.6% organic basis), while volumes were up 4.4% on an organic basis. Meanwhile, net profit edged up 3.8% to 1.08 billion euros (+8.9% organic), but operating profit was down 2.9% to 1.75 billionn euros (+1.3% organic).
During the half, beer volumes grew by 4.5% on an organic basis, cider volumes jumped up 13%, craft brew volumes were up by double-digits, while low and no-alcohol volumes were up by a low single-digit.
CEO Jean-François van Boxmeer noted: “In the second half, we expect a continuation of our revenue growth and an acceleration of our operating profit growth on an organic basis. We continue to invest steadily behind our brands, innovations, e-commerce platforms and commercial strategy.”
However, the group now expects full-year operating profit margin to slip by about 20bps, due to currency fluctuations and charges related to the consolidation of Brasil Kirin. (www.kamcity.com)
