News

Heineken Faces 4.2% Sales Decline In Q3

Owing to various prevailing challenges militating against manufacturing companies across the globe, Heineken has reported 4.2% decline in its beer volume sales caused by lower consumer demand following inflation-led pricing.

The premium leading brand said it sold less beer during the third quarter, which ended 30 September, with declines in all regions except the Americas. Meanwhile, it noted that analysts anticipated a 4.3% decline.

A look at its net revenues also showed that it rose to 4.5% before one-off expenses, broadly in line with expectations of  4.8% increase. It stated that half of its markets sequentially improved volume into the third quarter and into September in the case of Europe but added that they are gaining or holding volume market share in just over half of its markets year to date.

READ ALSO: https://brandiq.com.ng/heineken-to-celebrate-150th-anniversary-celebration-in-africa-at-hey-neighbour-festival%ef%bf%bc/

Reacting to the market development, Chief Executive Dolf van den Brink said while inflation-led pricing is tapering, they have observed a slowdown of consumer demand in various markets facing challenging macroeconomic conditions.

“In this context, we will stay the course on executing our strategy, remain vigilant on costs and focus on rebalancing our growth. All in all, the operating profit guidance range for 2023 remains unchanged.”

The legendary company recorded positive trading in Brazil and Mexico with strong mark, while its Asian arm saw improved trading but was still down. It said its African volumes were hit by declines in Nigeria and South Africa, and European trading was impacted by poor weather throughout July and August.

Related posts

NBC Board, Lai Mohammed Disagrees: Rejects Amended NBC Code

Desmond Ekeh

Gunmen Kill Bauchi Lawmaker, Kidnap Wives

Desmond Ekeh

INEC Seeks Stakeholders Collaboration in Instituting Electoral Transparency

Desmond Ekeh

Leave a Comment