Shares in Heineken rose over 12% this morning after the Dutch brewer’s annual profits and revenues came in ahead of forecasts.
The company reported an 8.3% rise in operating profit to €4.51bn, well above analysts’ estimates of a 5.3% increase, while net revenues grew 5.0% to €30.0bn, also well ahead of expectations.
The performance was driven by growth in all regions, particularly in premium and non-alcoholic beer categories, supported by price increases and 1.6% volume growth. After a disappointing 2023, Heineken hiked its marketing investment last year by €300m, focusing on its largest emerging markets.
Premium beer volumes grew 5%, led globally by the Heineken brand, which was up 9%. Mainstream beer volumes rose 2%, driven by key brands in its largest markets, including Amstel in Brazil, Cruzcampo in the UK, and Kingfisher in India. The company’s ‘beyond beer’ segment grew 4%, led by Desperados globally and Savanna cider in Southern Africa. Meanwhile, sales of 0.0, Heineken’s flagship low-alcohol beer, grew 10%, driven by the US and Brazil.
Looking ahead, Heineken is forecasting operating profit growth of 4% to 8% in 2025, in line with market expectations.
The company acknowledged potential risks from global trade tensions, including proposed US tariffs on Mexican imports, but said its exposure to the US market was limited to less than 5% of its global revenue.
Heineken stated it was prepared for various scenarios and remained confident in its ability to deliver further growth.
“We delivered solid results with broad-based growth and profit expansion in 2024,” said Chief Executive Dolf van den Brink, noting that its ‘EverGreen’ strategy had continued to shape its operations.
