• Full-year net profits slip by 1.2% to EUR717m (US$944.9m)
  • Sales in 2011 up by 6.1% reported, by 3.6% organic, to EUR17.12bn
  • Group beer volumes leap by 11% reported, by 3.6% organic, with growth "in all regions"
  • Lines up EUR500m cost-saving programme
Heineken released its full-year results for 2011 this morning

Heineken released its full-year results for 2011 this morning

Heineken is looking to save EUR500m (US$660m) over the next three years, after seeing sales and volumes hold up in 2011.

The Netherlands-based brewer said earlier today (15 February) that sales in 2011 were up by 6.1% on a reported basis, hitting EUR17.12bn (US$22.54bn). Volumes also improved, rising by 11% on a reported basis to 214m hectolitres.

Net profits in the year slipped by 1.2% on 2010, as a result of the transfer of a controlling stake in Multi Bintang Indonesia and Grande Brasserie de Nouvelle-Caledonie to its Asian Pacific Breweries joint venture in April.

Heineken credited volume growth in all of its regions, with its namesake brand delivering a volume lift of 5.4%.

“At the start of 2011, we said that we would significantly increase investment in our brands and innovation to drive long-term value and volume growth," said chairman & CEO Jean-François van Boxmeer. "This strategy helped us to deliver organic volume and revenue growth across all five reporting regions for the year.

"In the year ahead, we will continue to invest in our brands and global business capabilities across the company. We will also invest in emerging markets to maintain our growth momentum. In Europe, we will continue to leverage our leadership position through our value growth strategy.”

The brewer also used the results announcement to introduce a second 'Total Cost Management' programme, the previous one closed last year. The new programe, which will run from 2012 to 2014, will target EUR500m-worth of savings across supply chain, commerce, wholesale and other functions. Specific details concerning how the savings will be made were not disclosed.

Looking forward, the company did not provide profit guidance for 2012, but said that it expect volume trends to continue in LatAm, Africa, and Asia.

For the company's official announcement, click here.