Heineken Nv · EURONEXT:HEIA
Heineken Nv — H1 2022 Earnings Presentation
17 slides from Heineken Nv's earnings presentation, Aug 1, 2022
Slide 1: 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 2: 2022 Half Year Results
Heineken N.V. 2022 Half Year Results Dolf van den Brink, CEO Harold van den Broek, CFO Amsterdam | August 1, 2022 | Heineken N.V.
Slide 3: HY 2022 Highlights
HY 2022 Highlights Net Revenue (beia) OG Net Revenue (beia) OG per hl +24.3% +14% +15.6% Consolidated Beer Volume OG Heineken® Volume +7.6% +4% +13.8% Operating Profit (beia) OG Operating Profit Margin (beia) +24.6% +22% 16.0% (-35bps) Net Profit (beia) OG Diluted EPS (beia) EUR +40.2% +31% 2.30 Ind
Slide 4: Our ambition is to deliver superior, balanced top-line growth
Our ambition is to deliver superior, balanced top-line growth, winning with consumers and customers Portfolio Route to consumer Footprint Drive premiumisation Pioneer choice in LONO Intentionally expand Shape and strengthen Strengthen in key at scale beyond beer RTC profit pools Premium Beer +10.2
Slide 5: Heineken showing strong momentum
Heineken® showing strong momentum Double Digit H® Silver New Acts & Ads 21 #1 Fastest Volume Unprecedented to drive Cannes Growing Growth in Launch in 18 Meaningful Lions Brand +50 Markets European Markets Differentiation Awards Value 5
Slide 6: AMEE Region
AMEE Region Net Revenue (beia) OG Operating Profit (beia) OG +24.4% +44.4% Beer Volume OG Price Mix +3.5% +19.2% NIGERIA net revenue (beia) grew in the low-thirties. Strong performance of premium, led by Heineken®, Tiger and Desperados. SOUTH AFRICA net revenue (beia) grew in the thirties. Strong gr
Slide 7: Americas Region
Americas Region Net Revenue (beia) OG Operating Profit (beia) OG +15.8% -16.3% Beer Volume OG Price Mix +6.2% +14.3% MEXICO net revenue (beia) increased in the mid-teens. Premium volume grew in the mid-teens led by Bohemia Cristal and Amstel Ultra. BRAZIL net revenue (beia) grew in the mid-thirties.
Slide 8: APAC Region
APAC Region Net Revenue (beia) OG Operating Profit (beia) OG +23.4% +18.9% Beer Volume OG Price Mix +17.0% +8.8% VIETNAM net revenue (beia) grew in the low-twenties. Premium portfolio outperformed in Q2. Bia Viet grew by more than 50%. INDIA volume recovered ahead of pre-pandemic levels. Premium por
Slide 9: Europe Region
Europe Region Net Revenue (beia) OG Operating Profit (beia) OG +30.0% +63.4% Beer Volume OG Price Mix +7.9% +17.0% ON-TRADE grew in the high-seventies, still a high-single digit below 2019. OFF-TRADE declined by a mid-single digit and remains ahead of 2019. PREMIUM volume grew by a high-single digit
Slide 10: Brew a Better World Progress
PROGRESS EXAMPLES Brew a Better World Carbon Water Gender Responsible Progress Largest OpCo roadmaps underway for <2hl water 26% Heineken® 0.0 available in for 1hl senior 75% beer (Meoqui) managers are women >100 of our footprint markets We are making steady progress against our Brew a Better World
Slide 11: Revenue growth driven by volume recovery, pricing, channel-mix and premiumisation
Revenue growth driven by volume recovery, pricing to cover inflation, channel-mix and premiumisation Net Revenue (beia): +24.3% organic increase Organic increase €2,422m 4.6% 6.4% 13,485 +7.7% +15.6% 11,446 9,971 Volume OG Net rev/hl OG HY 2019 HY 2021 Total volume Net rev/hl Currency Consolidation
Slide 12: Strong profit growth, well ahead of 2019
Strong profit growth, well ahead of 2019 Operating Profit (beia): +24.6% organic increase 28 99 400 2,155 1,781 1,628 HY 2019 HY 2021 Organic growth Currency Consolidation HY 2022 Operating Operating translation impact Operating profit (beia) profit (beia) profit (beia) 12
Slide 13: Other key financial metrics
Other key financial metrics €m unless otherwise stated - Beia HY 2022 HY 2021 HY2019 vs LY¹ Operating Profit 2,155 1,628 1,781 +24.6% Share of Profit 103 96 83 +26.3% Net Interest Income & Expenses -185 -201 -208 +6.0% Other Net Finance Income & Expenses 24 -53 -28 +105.3% Net Profit 1,326 896 1,054
Slide 14: FOCF delivery vs 2021
FOCF delivery vs 2021 96 116 79 571 1,122 577 650 HY 2019 HY 2021 Cash flow from Working capital Capex2 Interest, dividend HY 2022 FOCF FOCF operations1 & income tax FOCF 1. Cash flow from operations before changes in working capital and after provisions and post-retirement obligations 2. Cash flow
Slide 15: Significant inflationary pressure to continue in 2022 & into 2023
Significant inflationary pressure to continue in …committed to continue to offset in 2022 & into 2023... absolute terms via Jan ’20 = Index 100 [15:19] Federico Castillo Martinez Barley Aluminium 1 Pricing actions across all markets Avg:165 Avg 210 Avg:137 Avg 143 100 Avg 102 100 Avg 95 Jan Jun Jan
Slide 16: Outlook
Outlook Our multi-year EverGreen strategy aims to deliver superior, balanced growth for sustainable, long-term value creation. Encouraged by progress made and by strong recovery of our business Challenging global environment and uncertain economic outlook. Increasing risk that mounting pressure on c
Slide 17: Q&A
Q&A 17