Heineken N.V. Trading Update - First Quarter 2012
(Thomson Reuters ONE) -
Amsterdam, 18 April 2012 - Heineken N.V. today announced its trading update for
the first quarter of 2012. In the quarter:
* On an organic basis, revenue increased 6.8% with growth across all regions,
reflecting total consolidated volume growth of 3.5% and revenue per
hectolitre growth of 3.3%;
* On an organic basis, group beer volume and consolidated beer volume both
grew 4.7%, with strong growth achieved in all regions with the exception of
Western Europe;
* Volume of the Heineken® brand in the International Premium Segment grew by
8.7%, outperforming the broader beer market, supported by continued success
of the global 'Open Your World' campaign;
* EBIT (beia) declined slightly, on an organic basis, in line with management
plans. This includes the impact of a EUR 23 million impairment charge
related to an investment by the Heineken-APB (China) Pte. Ltd joint venture
in a Chinese brewery held for sale; and
* Net profit (beia) declined slightly, on an organic basis.
The first quarter is seasonally less significant in terms of volume and profit
contribution. In 2011, the first quarter represented 20% of consolidated beer
volume and considerably less in terms of profit contribution.
Financial results
Reported revenue grew 6.8% to EUR 3,834 million, including a positive first time
consolidation impact of EUR 17 million (+0.5%). Foreign currency movements
contributed to a negative translational effect on revenues of EUR 18 million (-
0.5%) in the quarter. This primarily reflects devaluation of the Mexican peso,
Belarusian ruble and Polish zloty, partly offset by a positive US dollar
currency effect (all versus the euro reporting currency). On an organic basis,
revenue increased 6.8%, with growth achieved across all regions. This reflects
total consolidated volume growth of 3.5% and revenue per hectolitre growth of
3.3% following the benefit of pricing initiatives and improved sales mix.
On an organic basis, EBIT (beia) declined slightly. The impact of higher revenue
and the realisation of cost savings were partly offset by increased fixed costs
in certain higher inflationary markets, business capability building investments
and increased input costs. In addition, EBIT (beia) includes a EUR 23 million
impairment charge related to non-completion of the proposed sale of Jiangsu
Dafuhao Breweries Co. Ltd within the Heineken-APB (China) Pte. Ltd (HAPBC) joint
venture. The amount of this impairment reflects HEINEKEN's economic share of the
HAPBC joint venture.
Reported net profit was EUR 175 million compared with EUR 151 million in the
first quarter of 2011. This includes a EUR 20 million revaluation gain following
an increase in HEINEKEN's shareholding in Brasserie Nationale d'Haiti S.A. in
January 2012 that was treated as an exceptional item.
Change in consolidation scope in the first quarter of 2012
The main consolidation scope changes having an impact on financial results in
the first quarter of 2012 include:
* The acquisition of the beer operations of the Sona group in Nigeria,
consolidated from 12 January 2011;
* The acquisition of the Harar and Bedele breweries in Ethiopia, consolidated
from 4 August 2011;
* The acquisition of the Galaxy Pub Estate in the United Kingdom, consolidated
from 2 December 2011; and
* The acquisition of additional shares in the joint venture company Pivara
Skopje in Macedonia, was completed and consolidated from 16 December 2011.
On 17 January 2012, HEINEKEN completed the acquisition of a controlling stake
(from 22.5% to 95%) in Brasserie Nationale d'Haiti S.A., in Haiti. This will be
consolidated from the second quarter of 2012.
Full year outlook
HEINEKEN reaffirms its 2012 outlook as stated in the full year 2011 earnings
release dated 15 February 2012.
Volume
Total Consolidated Volume
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Mhl 2012 2011 Change % Organic
Q1 Q1 Change %
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Western Europe 13.1 13.5 -2.4 -2.3
Central and Eastern Europe 9.6 9.0 6.3 6.3
Africa and Middle East 7.2 6.1 17.1 8.3
Americas 11.8 11.2 5.2 5.2
Asia Pacific 0.3 0.3 7.5 7.5
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Total consolidated volume 42.0 40.1 4.8 3.5
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Total consolidated volume grew by 3.5% on an organic basis, with growth in
consolidated beer volume (+4.7%) and cider, partly offset by lower third party
volumes and soft drinks.
Consolidated Beer Volume
-----------------------------------------------------------------
Mhl 2012 2011 Change % Organic
Q1 Q1 Change %
-----------------------------------------------------------------
Western Europe 9.1 9.3 -1.9 -1.3
Central and Eastern Europe 9.0 8.4 7.9 7.9
Africa and Middle East 5.7 4.7 21.2 9.7
Americas 11.8 11.2 5.2 5.2
Asia Pacific 0.3 0.2 7.5 7.5
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Consolidated beer volume 35.9 33.8 6.2 4.7
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Group Beer Volume
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Mhl 2012 2011 Change % Organic
Q1 Q1 Change %
--------------------------------------------------------------------------
Western Europe 9.2 9.4 -1.8 -1.2
Central and Eastern Europe 10.4 9.8 6.7 6.7
Africa and Middle East 7.3 6.3 15.8 7.1
Americas 14.6 13.9 4.5 4.5
Asia Pacific 7.0 6.5 8.4 8.0
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Group beer volume 48.5 45.9 5.8 4.7
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Heineken® volume in premium segment 6.5 6.0 8.7 8.7
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Group beer volume development in the first quarter of 2012
Group beer volume grew 4.7% on an organic basis, with growth in four out of five
regions. Volume in the quarter benefited from one additional selling day, as
well as the earlier timing of Easter compared to last year.
In Western Europe, our value growth strategy continued to support profit growth
in the region. Volume in the key markets of UK, France, Spain and Italy all grew
moderately. Lower organic group beer volume for the region mainly reflects the
voluntary withdrawal of a product in the high-promotion discounter channel in
Finland. Excluding Finland, regional group beer volume on an organic basis would
have been in line with the prior year. Reduced consumer spending in on-premise
channels contributed to volume declines in Portugal, Ireland and the
Netherlands.
In Central and Eastern Europe, group beer volume grew 6.7%, on an organic basis,
led by solid volume growth in Russia, Poland, Austria, Belarus, Slovakia and
Hungary. Volume in Greece declined significantly as the ongoing impact of the
sovereign debt challenges was further compounded by unseasonably colder weather
in January and February. Profitability in the region declined, reflecting the
impact of lower revenue per hectolitre, higher fixed costs and increased input
costs.
In Africa and the Middle East, group beer volume grew 15.8%, including a
consolidation impact of 8.7% related to prior year acquisitions in Nigeria and
Ethiopia. Organic growth of 7.1% was driven by strong volume growth in Nigeria
and volume gains in the Democratic Republic of Congo and our joint venture
operation in Congo. Volume in South Africa was lower, reflecting strong
comparable growth in the prior year quarter. In Egypt, volume grew marginally,
reflecting a weak comparable prior year quarter, when volume was significantly
adversely impacted by the onset of social unrest in the country.
In the Americas, group beer volume grew organically by 4.5%, driven by strong
gains in the US and Mexico and moderate growth in Chile and Argentina at our
joint venture, Compania Cerveceria Unidas (CCU). Depletions in the US increased
4.5%, partly reflecting the benefit of one additional selling day, an improved
volume trend for Heineken® and continued strong growth momentum of Dos Equis. In
Mexico, solid volume growth reflects strong performances of the Dos Equis and
Tecate brands. In Brazil, volume decreased slightly, with lower volume of
mainstream brands only partly offset by strong growth of Heineken®.
In Asia Pacific, group beer volume increased 8.0% organically, with continued
growth momentum primarily driven by strong volume performances in Vietnam,
Indonesia, Cambodia and Papua New Guinea. Volume growth in United Breweries, our
joint venture in India, was supported by continued economic development in the
country. The Heineken® brand grew by double-digits, primarily driven by Vietnam
and China.
Global brand volume development in the first quarter of 2012
Volume of Heineken® grew 8.7% in the International Premium Segment, driven by
strong brand performances across the Africa and Middle East, Americas and Asia
Pacific regions. The US, Vietnam, China, Brazil and Nigeria were the largest
contributors to Heineken® brand growth.
Volume of Desperados, the tequila-flavoured beer, grew 10% in the quarter. The
UK operation recently took over distribution of the brand from a third party,
which is expected to support brand growth in the country driven by increased
distribution and brand support.
Volume of Strongbow grew 4.7% helped by a return to volume growth in the UK.
Strongbow continues to perform well in South Africa, while solid brand growth
was also achieved in the US, Canada and the Caribbean. Strongbow Gold cider was
launched in Hungary in the quarter.
Volume of Amstel grew 3.3% led by growth in Russia, Nigeria, Spain and the
Netherlands.
Financial structure
For the first time in the Company's 148 year history, HEINEKEN was assigned
public credit ratings on 7 March 2012. HEINEKEN received solid investment grade
credit ratings by Moody's Investor Service (Baa1) and Standard & Poors (BBB+),
both with stable outlooks. These ratings reflect HEINEKEN's robust capital
structure and strong cash flow generation. The ratings were assigned to
HEINEKEN's European Medium Term Note (EMTN) Programme, which was updated on 7
March 2012.
On 19 March 2012, HEINEKEN placed EUR 1.35 billion of Notes under its EMTN
Programme comprising of EUR 850 million of 7-year Notes with a coupon of 2.5%
and EUR 500 million of 12-year Notes with a coupon of 3.5%. On 3 April 2012,
HEINEKEN placed US$750 million of 10-year 144A/RegS US Notes with a coupon rate
of 3.4%, further improving the currency and maturity profile of the Company's
long-term debt. The proceeds of the offerings will be used for general corporate
purposes.
Investor calendar Heineken N.V.
Annual General Meeting of Shareholders (AGM) 19 April 2012
Quotation ex-final dividend date 2011 23 April 2012
Final dividend 2011 payable 2 May 2012
"What's Brewing" Webinar 23 May 2012
Half-year 2012 results announcement 22 August 2012
Trading update for the third quarter of 2012 24 October 2012
HEINEKEN will host an analyst and investor conference call in relation to this
trading update today at 10:00 CET/ 09:00 BST. The call will be audio cast live
via the Company's website: www.heinekeninternational.com/webcasts/investors. An
audio replay service will also be made available after the conference call at
the above web address. Analysts and investors can dial-in using the telephone
numbers below:
The Netherlands United Kingdom
Local line: +31-(0) 45-631-6902 Local line: +44-207-153-2027
Toll-Free: 0800-265-8611 Toll-Free: 0800-358-2337
Press enquiries Investor and analyst enquiries
John Clarke George Toulantas
Head of External Communication Director of Investor Relations
E-mail: john.g.clarke(at)heineken.com Lucia Bergamini
John-Paul Schuirink Senior Investor Relations Manager
Financial Communications Manager E-mail: investors(at)heineken.com
E-mail:john-paul.schuirink(at)heineken.com Tel: +31-20-5239590
Tel: +31-20-5239355
Definitions:
Organic growth excludes the effect of foreign currency translational effects,
consolidation changes, exceptional items, amortisation of brands and customer
relations. Beia refers to financials before exceptional items and amortisation
of brands and customer relations. Group beer volume includes 100 percent of beer
volume produced and sold by fully consolidated companies and joint venture
companies as well as the volume of HEINEKEN's brands produced and sold under
license by third parties. Consolidated beer volume includes 100 percent of beer
volume produced and sold by fully consolidated companies (excluding the beer
volume brewed and sold by joint venture companies). Total consolidated volume
includes volume produced and sold by fully consolidated companies (including
beer, cider, soft drinks and other beverages), volume of third party products
and volume of HEINEKEN's brands produced and sold under license by third
parties.
Editorial information:
HEINEKEN is a proud, independent global brewer committed to surprise and excite
consumers with its brands and products everywhere. The brand that bears the
founder's family name - Heineken® - is available in almost every country on the
globe and is the world's most valuable international premium beer brand. The
Company's aim is to be a leading brewer in each of the markets in which it
operates and to have the world's most valuable brand portfolio. HEINEKEN wants
to win in all markets with Heineken® and with a full brand portfolio in markets
of choice. The Company is present in over 70 countries and operates more than
140 breweries with volume of 214 million hectolitres of group beer sold.
HEINEKEN is Europe's largest brewer and the world's third largest by volume.
HEINEKEN is committed to the responsible marketing and consumption of its more
than 250 international premium, regional, local and specialty beers and ciders.
These include Amstel, Birra Moretti, Cruzcampo, Desperados, Dos Equis, Foster's,
Heineken®, Newcastle Brown Ale, Ochota, Primus, Sagres, Sol, Star, Strongbow,
Tecate, and Zywiec. Our leading joint venture brands include Cristal,
Kingfisher, Tiger and Anchor. In 2011, revenue totaled EUR 17.1 billion and EBIT
(beia) was EUR 2.7 billion. The number of people employed is around 70,000.
Heineken N.V. and Heineken Holding N.V. shares are listed on the Amsterdam stock
exchange. Prices for the ordinary shares may be accessed on Bloomberg under the
symbols HEIA NA and HEIO NA and on the Reuter Equities 2000 Service under
HEIN.AS and HEIO.AS. Most recent information is available on HEINEKEN's website:
www.theHEINEKENcompany.com.
Disclaimer:
This press release contains forward-looking statements with regard to the
financial position and results of HEINEKEN's activities. These forward-looking
statements are subject to risks and uncertainties that could cause actual
results to differ materially from those expressed in the forward-looking
statements. Many of these risks and uncertainties relate to factors that are
beyond HEINEKEN's ability to control or estimate precisely, such as future
market and economic conditions, the behaviour of other market participants,
changes in consumer preferences, the ability to successfully integrate acquired
businesses and achieve anticipated synergies, costs of raw materials, interest-
rate and exchange-rate fluctuations, changes in tax rates, changes in law,
pension costs, the actions of government regulators and weather conditions.
These and other risk factors are detailed in HEINEKEN's publicly filed annual
reports. You are cautioned not to place undue reliance on these forward-looking
statements, which are only relevant as of the date of this press release.
HEINEKEN does not undertake any obligation to release publicly any revisions to
these forward-looking statements to reflect events or circumstances after the
date of these statements. Market share estimates contained in this press release
are based on outside sources, such as specialised research institutes, in
combination with management estimates.
Heineken N.V. First Quarter 2012 Trading Update, 18 April 2012:
http://hugin.info/130667/R/1603399/506919.pdf
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originality of the information contained therein.
Source: HEINEKEN NV via Thomson Reuters ONE
[HUG#1603399]
Unternehmensinformation / Kurzprofil:
Datum: 18.04.2012 - 08:02 Uhr
Sprache: Deutsch
News-ID 136258
Anzahl Zeichen: 20077
contact information:
Town:
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Kategorie:
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