Heineken up in 2017 as sales growth set to continue into 2018 - results

Heineken has maintained its mid-single-digit rise in sales from the first half of 2017, posting a 5% top-line lift in the full 12 months of last year.

The brewer has today reported a 5% increase in sales on an organic basis for 2017. The news comes six months after Heineken saw six-month sales come in 6% up on the corresponding period a year earlier.

In value terms, the Africa, Middle East & Eastern Europe reporting region stood out, posting a 13.5% leap in sales. Asia Pacific was up 6.2% in the year, with The Americas just behind on +6%. Europe inched up 1.4%.

Volumes-wise, a 3% group-wide increase was driven by Asia Pacific (+8.9%), followed by EMEA (+4.8%). The Americas posted a 3.3% volumes lift, while Europe came in flat.

On the bottom line, profits for the 12 months jumped almost 24% to EUR2.15bn, although the soft comparative in the first half - cycling an EUR233m asset impairment in the Democratic Republic of Congo in H1 2016 - was a sizeable factor.

Turning to 2018, Heineken warned that global economic conditions are "expected to remain volatile". While the brewer is targeting "further organic revenue growth", a "negative impact" from ForEx is forecast this year, which will hamper the top line in reported terms.

Following the release of the results, analyst Ed Mundy at Jefferies said: "The geographic footprint, focus on mix and ongoing productivity programme should support a medium-term growth algorithm of low-single-digit organic volumes, mid-single-digit revenues and high-single-digit EBIT."

To read Heineken's official full-year results statement, click here.

Heineken 2012-2016 - results data

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