Heineken sees increased beer volumes in Q1, with growth across all regions

Heineken N.V said on Wednesday that beer volumes in the first quarter grew 4.4% to 52.7 million hectoliters, with growth seen across all regions.

The company said that brand Heineken® saw 8.9% growth with double digit boost coming from Brazil, South Africa, Russia, China, the UK, Nigeria, Mexico, Romania and Germany.

Commenting on the results, the CEO of Heineken N.V, Jean-François van Boxmeer, said: “We had a positive start to the year with volume growth across all regions despite the later timing of Easter, underlining our continued focus on growth and the breadth of our geographic footprint.”

Nigeria saw mid-single digit beer volume growth, while South Africa recorded double digit growth, driven by Heineken®, Strongbow and Amstel. In Ethiopia, beer volume grew low-single digit due to price increase and social unrest in parts of the country. Egypt recorded high-single digit, driven by the non-alcoholic beverage portfolio, while the DRC grew high-single digit with growth across the country and most of the brand portfolio. The company opened its first brewery in Mozambique in March.

In the Americas, beer volume grew 3.2%, with volumes slightly down in Mexico due to a late Easter (three weeks later than in 2018) and lower promotional activity. Brazil saw double-digit growth, driven by premium portfolio including brand Heineken®, but beer volumes in the USA declined in the mid-single digits.

Asia Pacific recorded 8.2% volume growth, driven by activities in Vietnam, Indonesia, Cambodia and China.

Despite Easter coming three weeks later than in 2018, beer volumes in Europe grew 1.7% to 15.3 million hectoliters, helped by mid-single digit growth in the UK, France and Italy.

Net profit in the first quarter rose to €299 million ($335.1 million) compared to €260 million it made in 2018.

The company said its outlook for 2019 remains unchanged, with operating profit projected to grow by mid-single digit on an organic basis.”

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