Asia drives Heineken’s Q3 sales growth

Amsterdam, October 28 - Dutch brewer Heineken announced a modest 5% increase in total sales volume for the third quarter, buoyed by robust growth in its Asia-Pacific region. The company, the world's second-largest brewer after AB InBev, reported total volumes of 76 million hectolitres, a slight rise from 71.6 million in the same period last year.

Among its products, beer, cider, and non-alcoholic drinks, the Asia-Pacific market led the surge, with Vietnam, China, and India witnessing a 17.3% increase in sales. In addition, Heineken 0.0, the non-alcoholic variant, showed double-digit growth across 26 markets. Rafa Oliveira, the newly appointed CEO, expressed satisfaction with the company's strong foundations but called for improved performance, stating, "We have strong foundations, but we are not translating them into consistent growth and winning with consumers and customers as often as we should."

To boost sales and profitability, Heineken has initiated job cuts, planning to eliminate up to 6,000 positions over the next two years. The brewer has ceased disclosing quarterly net profit figures, only releasing these details in semi-annual or annual reports. Heineken anticipates a full-year operating profit margin between 2% and 6%.

The company's third-quarter net revenue, excluding exceptional items and amortisation, amounted to €8.1 billion, reflecting a 4.6% increase. Sales across all segments improved, with the Americas and Europe returning to growth, gaining 0.6%, driven by favorable weather conditions.