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Heineken Holding News releases
Heineken Holding N.V. organic net profit growth
In the first six months of 2007, consolidated beer volume grew from 53.3 to 58.2 million hectolitres (+9.3%)
© HEINEKENINTERNATIONAL.com - Pubblicata il 18.07.07
Amsterdam, 18 July 2007 - Heineken N.V. today announced that it has raised its forecast for organic1 net profit growth for the full-year ending 31 December 2007. Heineken now expects that organic net profit growth for the full-year will be in the range of 20-25%. The increase in the organic net profit growth forecast is being driven by strong volume growth in several regions of the world. Earlier this year Heineken announced that organic net profit growth in 2007 was expected to be in the range of 10-13%.
In the first six months of 2007, consolidated beer volume2 grew from 53.3 to 58.2 million hectolitres (+9.3%). Organic growth in consolidated beer volume was 8.3% whilst first-time consolidations contributed 1.0 % to the volume increase, the latter mainly relating to the breweries acquired in Vietnam. Group beer volume3 in the first six months of 2007 totalled 68.1 million hectolitres (+8.5%). The Heineken© brand continued to gain share in the international premium segment, growing from 11.0 million hectolitres to 12.1 million hectolitres (+10.8%) in the segment.
All regions contributed positively to the increase in consolidated beer volume.
Volumes showed particular strong growth in Central and Eastern Europe, Africa and Southeast Asia, accelerating revenue and profit growth of Heineken Holding N.V. Strong economies, favourable weather, increased demand for international premium beers and the strength of the brand portfolios were the main drivers of this growth.
In Western Europe, wet weather in June offset part of the exceptional volume gains achieved in the first four months of 2007.
In the U.S.A., a 3.5% average price increase and mixed weather held back volume growth of the Dutch brand portfolio. Nevertheless, sales volume of Heineken Lager continued to grow and volume of Heineken Premium Light increased 30%. Heineken Premium Light continues to develop solidly and offers significant longer term potential, but the one million hectolitre target for 2007 will be challenging.
The Fit-to-Fight cost saving programme that will reduce fixed costs by EUR450 million (including inflation) by 2008 is on track. The programme will deliver the forecast gross savings of EUR135 - EUR155 million for 2007.
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