Recovery from corona crisis and higher prices help Heineken increase turnover | Economy

The economy reopened in large parts of Asia and the catering industry was able to receive customers again in Europe. The price increases, with which the brewer wants to absorb the increased costs for things such as raw materials, energy and transport, also contributed to an increased turnover.

Heineken’s turnover increased by more than a third to 16.4 billion euros. In addition to increased sales and a higher price, the demand for premium beers also continued. This means that beer drinkers are prepared to pay more for a Heineken beer than for another brand from the Heineken stable. This trend has been going on for some time and continues to this day, despite rising inflation.

Heineken is also doing better compared to 2019, the last year before corona. The company sold 0.8 percent more beer and sales increased by more than 14 percent. In the end, the company had a net profit of approximately 1.3 billion euros in the first six months. That was an increase of more than 22 percent compared to a year earlier.

The brewer did notice the consequences of the withdrawal from Russia. Among other things, in the sale of non-alcoholic beers, because the demand for those products was strong in Russia. However, the volume of sales of such beer increased due to increased demand in countries such as Brazil and Spain.

Heineken is sticking to its outlook for this year, but foresees price pressure for the rest of the year and part of next year. Compared to the recently decreased prices for ingredients such as grain, there is an energy price that has risen just further.

Heineken will continue to pass on those prices, but also expects to achieve further savings by working more efficiently.