Heineken Nv · EURONEXT:HEIA
Heineken Nv — H1 2020 Earnings Presentation
23 slides from Heineken Nv's earnings presentation, Aug 3, 2020
Slide 1: 2020 Half Year Earnings Release
Heineken N.V. 2020 Half Year Earnings Release Dolf van den Brink, CEO Laurence Debroux, CFO Amsterdam | August 3, 2020 | Heineken N.V.
Slide 2: Disclaimer
Disclaimer This presentation contains forward-looking statements with regard to the financial position and results of HEINEKEN’s activities. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in the forwar
Slide 3: Dolf van den Brink – CEO and Chairman of the EB
Dolf van den Brink – CEO and Chairman of the EB 2
Slide 4: Our people taking care of each other & communities
Our people taking care of each other & communities 3
Slide 5: Supporting Our Customers
Supporting Our Customers More than 21 markets More than 50.000 outlets More than 300.000 vouchers More than 10 million euro raised 4
Slide 6: Sustaining growth in a fast changing world
Sustaining growth in a fast changing world NAVIGATE THE CRISIS Focus on people & safety Focus on consumers and customers BUILD THE FUTURE Focus on costs Leverage our unique strengths Adapt fast to new realities Chart our next growth chapter 2020 2021 2022 and beyond 5
Slide 7: 2020 HY Key Highlights
2020 HY Key Highlights Consolidated Net Revenue Operating Profit Net Profit Beer Volume (Beia) OG (Beia) OG (Beia) OG -11.5% -16.4% -52.5% -75.8% Heineken® Net Revenue Operating Profit Diluted EPS Volume (Beia) OG per hl Margin (Beia) (Beia) -2.5% -3.6% 8.9% €0.39 6
Slide 8: AMEE Region
AMEE Region Consolidated Price Mix Net Revenue Operating Profit Beer Volume on a constant (Beia) OG (Beia) OG geographic basis -15.9% +1.4% -16.6% -61.7% South Africa operations suspended from late March to May. New ban on sale of alcohol reintroduced in July. Heineken® 0.0 grew 3x. Nigeria gain
Slide 9: Americas Region
Americas Region Consolidated Price Mix Net Revenue Operating Profit Beer Volume on a constant (Beia) OG (Beia) OG geographic basis -15.0% +5.2% -12.2% -31.0% Mexico ban on production of alcohol in April and May. Strong June as customers rebuilt inventories. New restrictions in July. Premium and
Slide 10: APAC Region
APAC Region Consolidated Price Mix Net Revenue Operating Profit Beer Volume on a constant (Beia) OG (Beia) OG geographic basis -4.7% -3.1% -10.4% -15.7% Strong performance of Vietnam driven by the growth of the mainstream portfolio and innovations. Tourism bans and lower exports threatening econ
Slide 11: Europe Region
Europe Region Consolidated Price Mix Net Revenue Operating Profit Beer Volume on a constant (Beia) OG (Beia) OG geographic basis -8.1% -6.4% -20.8% -87.0% On-trade decline amplified operational deleverage. In July, estimate 90% of outlets have reopened. Growth in the off-trade driven by continue
Slide 12: Heineken the most trusted international beer brand
Heineken the most trusted ® international beer brand Heineken® 14 Markets Gain or stable volume with double share in 83% of -2.5% digit growth key markets Heineken® 0.0 grew double digits in all regions, except Europe with mid-single digit growth Heineken® Silver more than doubled in Vietnam and
Slide 13: Accelerating our connections to customers & consumers
Accelerating our connections to customers & consumers Accelerating growth aross all continents B2C platforms in 17 markets Beerwulf >3 million visitors, 50% new >2x number of home-draught units sold during lockdown B2B platforms in 24 markets >€1bn revenues >60k customers LY in traditional c
Slide 14: Financial Overview
Financial Overview Key Financials €m unless otherwise stated 2020 HY Total Growth Organic Growth Revenue 11,156 -18.0% Net revenue (beia) 9,243 -19.2% -16.4% Operating profit (beia) 827 -53.6% -52.5% Operating profit (beia) margin 8.9% -662 bps Net profit (beia) 227 -78.5% -75.8% Net profit / loss -
Slide 15: Net Revenue: 16.4% Organic Decline
Net Revenue: 16.4% Organic Decline €m Organic decline €1,883m -0.5% -2.3% 11,446 €m -13.4% -3.6% 9,243 2019 HY Consolidation Currency Total volume Net rev/hl 2020 HY Net revenue (beia) impact translation Net revenue (beia) 14
Slide 16: Operating Profit (beia): 52.5% Organic Decline
Operating Profit (beia): 52.5% Organic Decline Organic decline €935m 84% - EUR, MX & SA €m 20 c.1,360 1,781 €m c.70 c.500 827 Operating Profit BEIA Consolidation Net Revenue less Mitigation Others Operating Profit BEIA HY1 2019 changes and currency variable expenses* HY1 2020 translation 15 Variable
Slide 17: Diluted EPS (beia): €0.39, -78.6%
Diluted EPS (beia): €0.39, -78.6% Total decline 78.6% €0.03 -€0.08 €1.84 -€1.39 -€0.01 €0.39 2019 HY Consolidation Currency Organic growth Shares to CRE 2020 HY diluted EPS (Beia) impact translation diluted EPS (Beia) 16
Slide 18: Free Operating Cash Outflow of €809 million
Free Operating Cash Outflow of €809 million €m unless otherwise stated 2020 HY 2019 HY Vs. LY Cash flow from operations (before 1,577 2,633 -1,057 changes in working capital) Change in inventories -155 -332 177 Change in trade and other receivables 7 -769 776 Change in trade and other payables and -
Slide 19: Outlook for FY 2020
Outlook for FY 2020of 2020 Guidance for 2020 withdrawn in April. Situation remains volatile and uncertain. Major negative macroeconomic consequences and impact from social distancing measures. Channel and product mix expected to continue to adversely impact revenue and input cost per hectoli
Slide 20: Sustaining growth in a fast changing world
Sustaining growth in a fast changing world NAVIGATE THE CRISIS Focus on people & safety Focus on consumers and customers BUILD THE FUTURE Focus on costs Leverage our unique strengths Adapt fast to new realities Chart our next growth chapter 2020 2021 2022 and beyond 19
Slide 21: #SocialiseResponsibly
#SocialiseResponsibly 20
Slide 22: Back to the Bars
Back to the Bars 21
Slide 23: HEINEKEN
"HEINEKEN