Heineken Holding N.V. reports 2024 full year results

Core Insights - Heineken Holding N.V. reported solid results for 2024, with broad-based growth and profit expansion despite a slight decline in total revenue [2][4][5] Financial Summary - Total revenue for 2024 was €35,955 million, a decrease of 1.2% compared to 2023 [5] - Net revenue (beia) showed a solid organic growth of 5.0%, reaching €29,964 million [6][7] - Operating profit (beia) increased by 8.3% to €4,512 million, with an operating profit margin of 15.1% [6][7] - Net profit (beia) rose by 7.3% to €2,739 million, with diluted EPS (beia) at €4.89 [6][7] - Free operating cash flow was reported at €3,058 million [6] Growth Drivers - The organic growth in net revenue (beia) was primarily driven by strong performances in Brazil, Mexico, Nigeria, South Africa, Vietnam, and India [7] - Beer volume increased organically by 1.6%, with Heineken® volume up by 8.8% [6][9][12] - Premium beer volume saw a growth of 5.2%, supported by key markets including Brazil, Vietnam, India, South Africa, and the UK [11] Challenges and Impacts - Net revenue (beia) faced a negative translation impact of €1,656 million (5.5%) due to currency devaluations, particularly in Nigeria, Brazil, and Mexico [8][25] - The consolidation effect from exiting Russia and selling Vrumona had a net negative impact of €193 million (0.6%) [8] Future Outlook - For 2025, Heineken anticipates an organic growth in operating profit (beia) in the range of 4% to 8% [6][16] - The company plans to maintain a similar level of capital expenditure as in 2024, which was 8.2% of net revenue (beia) [17] - Heineken is set to launch a two-year share buyback program for up to €750 million and will participate in Heineken N.V.'s €1.5 billion share buyback program [6][18][19] Dividend Information - A total cash dividend of €1.86 per share is proposed for 2024, representing a 7.5% increase from 2023 [23][24]