NETHERLANDS: Europe fails to hamper Heineken as FY numbers climb

• Full-year net profits rise by 7.1% to EUR1.70bn (US$2.28bn)
• Net sales in 2012 up by 7.4% to EUR18.39bn
• Operating profits (EBIT) also climb, by 8% to EUR2.91bn
• Group volumes increase by 3.4% to 221.2m hectolitres

Heineken has reported a strong set of full-year results, with its European exposure more than offset by the brewer's "higher growth regions".

The brewer said today (13 February) that net profits in 2012 increased by 7.1% year-on-year to EUR1.70bn (US$2.28bn). Net sales were also up, by 7.4% to EUR18.39bn, with operating profits performing similarly, rising by 8% to EUR2.91bn.

On an organic basis, full-year net profits rose by 1.6%, with sales climbing by 3.9%.

Heineken chairman & CEO Jean-François van Boxmeer praised the company's “strong progress” and said the recent Asia Pacific Breweries takeover has “significantly expanded our exposure to growth markets”.

“At the same time we managed a challenging market environment in Europe by continuing to invest in brands and deepening our relationships with customers,” van Boxmeer said.

Group beer volumes grew by 3.4% - 2.8% organically - driving a gain in global market share, Heineken said.

The brewer predicted further sales and volumes growth for this year, with Africa, Latin America and Asia Pacific expected to offset underperfomance in Europe. Heineken said it will try to drive positive price and sales mix in Europe in the face of government-led austerity programmes and economic uncertainty.

It also said brand Heineken should continue to outperform the international premium sector after posting a 5.3% volume increase in 2012 year-on-year.

Today's results build on year-earlier brand investment, which saw 2011's full-year profits slip by 1.2%.

Heineken's share price was up by about 4% in early trading this morning.

To read the company's official statement, click here.

For just-drinks' coverage of Heineken's full-year results, click here.