Heineken’s S&N acquisition hits earnings

Source: Food and Drink Digital

Date :27/08/2008 13:45:59

Heineken NV has reported that net profit before special items fell 1.5 percent in the first six months as its acquisition of Scottish & Newcastle hit earnings.

Jean-Francois van Boxmeer, Chairman and CEO, said that the integration of S&N into Heineken was proceeding swiftly.

“In the second half, we will continue to drive and benefit from premiumisation, cost reduction and our stronger, more competitive global position,” van Boxmeer added.

The brewer achieved 5.8 percent brand growth in the international premium segment and expects to record organic net profit growth of at least mid-single digit for the full year 2008.

Against the background of weaker economies and increased input costs, Heineken’s shares are down 25 percent this year.

“We have maintained the momentum of our topline growth and again ensured that the Heineken brand outperforms the market,” said van Boxmeer.