Heineken Nv · EURONEXT:HEIA
Heineken Nv — Investor Presentation (July 2015)
76 slides from Heineken Nv's investor presentation, July 2015
Slide 1: Global Corporate Relations | July 2015
GLOBAL CORPORATE RELATIONS | JULY 2015
Slide 2: The HEINEKEN Company
THE HEINEKEN COMPAR?
Slide 3: From Europe, family business, present in >70 markets
ae * * ny FROM EUROPE FAMILY * BUSINESS... kek PRESENT IN >70 MARKETS 70 WORLD'S MOST INTERNATIONAL BREWERY EMBED AND INTEGRATE SUSTAINABILITY CONSUMER 81,000 ee THE BENEFITS ‘CUSTOMER-ORIENTED, 4 EMPLOYEES BRANDED OF HEINEKEN'S GLOBAL SCALE CAPTURE THE OPPORTUNITIES DRIVE PERSONAL TN EMERGING. LEAD
Slide 4: HEINEKEN: proud, independent, responsible global brewer
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE HEINEKEN | PROUD, INDEPENDENT, RESPONSIBLE GLOBAL BREWER THE WORLD’S MOST INTERNATIONAL BREWER • NO 1 IN EUROPE • NO 3 IN THE WORLD • PRESENT IN >70 COUNTRIES GLOBALLY SURPRISING AND EXCITIN
Slide 5: Brewing great beers, building great brands
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE HEINEKEN | BREWING GREAT BEERS, BUILDING GREAT BRANDS OVER 250 BEER AND CIDER BRANDS OUR FLAGSHIP BRAND, Heineken®, IS THE WORLD’S LEADING INTERNATIONAL PREMIUM BEER DESPERADOS, SOL, AFFLIGE
Slide 6: HEINEKEN is unique
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE Heineken® BRAND MARKETING BIAS UNIQUE HISTORY HEINEKEN & FAMILY INVOLVEMENT IS UNIQUE PASSIONATE PEOPLE TRULY GLOBAL PROVEN SUPPLY FOOTPRINT CHAIN SKILLS
Slide 7: HEINEKEN: our values
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE HEINEKEN | OUR VALUES PASSION FOR QUALITY ENJOYMENT OF LIFE BRANDS THAT PEOPLE LOVE RESPECT FOR PEOPLE & PLANET
Slide 8: A long and proud history & heritage
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE HEINEKEN | A LONG AND PROUD HISTORY & HERITAGE WE ARE WE SWITCH TO CROWNED AT BOTTOM THE GRAND PRIX FERMENTATION: PARIS FOR CLEARER, PURER, QUALITY, LONG LASTING FOCUSED BEER INNOVATIONS 186
Slide 9: A long and proud history & heritage
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE HEINEKEN | A LONG AND PROUD HISTORY & HERITAGE ALFRED HEINEKEN HEINEKEN MOVES BEGINS ‘BEER INTO ASIAN CAN TRAVEL’ MARKETS GLOBAL MARKETING STRATEGY 1928 1929 1933 1954 1968 Heineken® EARLY S
Slide 10: A long and proud history & heritage
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE HEINEKEN | A LONG AND PROUD HISTORY & HERITAGE ACQUISITION OF ACQUISITION OF BRAU UNION IN FEMSA CERVEZA AUSTRIA 1982 2003 2008 2010 2012 PRODUCTION TRANSFER FROM ACQUISITION OF ACQUISITION
Slide 11: Truly global presence
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE HEINEKEN | TRULY GLOBAL PRESENCE 81,000 EMPLOYEES >160 BREWERIES IN OVER 70 COUNTRIES GROUP BEER VOLUME* IN 2014: 198.8 MILLION HL * Consolidated beer volume plus attributable share of HEINE
Slide 12: Our business priorities
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE OUR BUSINESS PRIORITIES GROW THE Heineken® BRAND EMBED AND INTEGRATE SUSTAINABILITY CONSUMER-INSPIRED, CUSTOMER-ORIENTED, BRAND-LED CAPTURE THE OPPORTUNITIES IN EMERGING MARKETS LEVERAGE THE
Slide 13: Grow the Heineken brand
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE GROW THE Heineken® BRAND Heineken® IS OUR MOST VALUABLE BRAND & A KEY STRATEGIC ASSET STRONG GLOBAL BRAND EQUITY STRONG GLOBAL PLATFORMS TO FURTHER GROW THE BRAND UNDISPUTED LEADER IN THE IN
Slide 14: Consumer-inspired, customer-oriented, brand-led
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE CONSUMER-INSPIRED, CUSTOMER-ORIENTED, BRAND-LED WE ARE COMMITTED TO BEING PART OF THE CONVERSATION WITH CONSUMERS & PREFERRED PARTNER FOR OUR CUSTOMERS EXPANSION OF OUR GLOBAL BRANDS DESPERA
Slide 15: Capture the opportunities in emerging markets
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE CAPTURE THE OPPORTUNITIES IN EMERGING MARKETS 50% OF GROUP REVENUES, 61% OF GROUP OPERATING PROFIT & 63% OF GROUP BEER VOLUMES COME FROM DEVELOPING MARKETS EMERGING MARKET FOOTPRINT TRANSFOR
Slide 16: Leverage the benefits of HEINEKEN's global scale
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE LEVERAGE THE BENEFITS OF HEINEKEN’S GLOBAL SCALE HEINEKEN IS INVESTING IN NEW INITIATIVES TO BETTER LEVERAGE OUR GLOBAL SCALE HEINEKEN GLOBAL SHARED SERVICES DELIVERS EFFICIENCIES HEINEKEN G
Slide 17: Drive personal leadership
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE DRIVE PERSONAL LEADERSHIP >81,000 EMPLOYEES >70 OPERATING COMPANIES HEINEKEN BEHAVIOURS DRIVE OUR SUCCESS
Slide 18: Embed and integrate sustainability
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE EMBED AND INTEGRATE SUSTAINABILITY BREW A BETTER WORLD IS ABOUT CREATING REAL SUSTAINABLE VALUE FOR ALL OUR STAKEHOLDERS SUSTAINABILITY IS A BUSINESS IMPERATIVE TO ACHIEVE OUR BUSINESS OBJEC
Slide 19: Ownership structure and stock exchange listing
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE OWNERSHIP STRUCTURE AND STOCK EXCHANGE LISTING FEMSA L’ARCHE GREEN N.V. PUBLIC 51.709% 14.935% HEINEKEN HOLDING N.V. 33.356% BOARD OF DIRECTORS PUBLIC 50.005% 12.532% HEINEKEN N.V. 37.463% S
Slide 20: Organisational structure
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE ORGANISATIONAL STRUCTURE EXECUTIVE BOARD EXECUTIVE COMMITTEE (FROM 1 JULY EXECUTIVE TEAM) REGIONS FUNCTIONS OPCOS / JOINT VENTURES
Slide 21: Our Executive Board
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE OUR EXECUTIVE BOARD JEAN-FRANÇOIS VAN BOXMEER CHIEF EXECUTIVE OFFICER & CHAIRMAN OF THE EXECUTIVE BOARD LAURENCE DEBROUX CHIEF FINANCIAL OFFICER & MEMBER OF THE EXECUTIVE BOARD
Slide 22: Our Executive Team
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE OUR EXECUTIVE TEAM EXECUTIVE Chairman / Chief Executive Officer Member / Chief Financial Officer BOARD JEAN-FRANÇOIS VAN BOXMEER LAURENCE DEBROUX President Europe Chief Commercial Officer ST
Slide 23: Slide 23
Slide 24: Brands and innovations
Se] REGIONAL & LOCAL JEWELS A LY fe y WORLD-CLASS Vv BRAND PORTFOLIO INSPIRED < i's fe ‘INNOVATION _) CONSUMER CIDERS HEINEKEN
Slide 25: World-class brand portfolio
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE WORLD-CLASS BRAND PORTFOLIO Heineken® IS THE WORLD’S LEADING INTERNATIONAL PREMIUM BEER DESPERADOS, SOL, AFFLIGEM AND CIDERS COMPLEMENT OUR GLOBAL BRANDS PORTFOLIO REGIONAL AND LOCAL JEWELS
Slide 26: Heineken: our flagship brand
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE Heineken® | OUR FLAGSHIP BRAND UNDISPUTED LEADER IN THE INTERNATIONAL PREMIUM SEGMENT (IPS) AVAILABLE IN ALMOST EVERY COUNTRY IN THE WORLD A KEY STRATEGIC ASSET THAT SETS US APART FROM OUR C
Slide 27: Heineken: pure premium
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE Heineken® | PURE PREMIUM PRODUCT PLATFORMS DESIGN CREATIVITY INNOVATIONS
Slide 28: Heineken: igniting conversations
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE Heineken® | IGNITING CONVERSATIONS WORLD CLASS EVENTS DIGITAL & SOCIAL MEDIA PRESENCE MAKING RESPONSIBLE CONSUMPTION ASPIRATIONAL
Slide 29: Desperados: pushing the beer category limits
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE DESPERADOS | PUSHING THE BEER CATEGORY LIMITS A UNIQUE TEQUILA FLAVOURED BEER WITH SUPER PREMIUM POSITIONING DESPERADOS IS THE BRAND, BUT ALSO THE PEOPLE WHO MAKE AND LIVE BY THEIR OWN RULES
Slide 30: Sol: Espiritu Libre
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE SOL | ESPIRITU LIBRE BORN IN 1899 IN INDEPENDENT MEXICO SOL CHAMPIONS LOCAL HEROES – GUYS ALL OVER THE WORLD DOING THEIR OWN THING SOL SEARCH HELPS CONSUMERS FIND ORIGINAL AND AUTHENTIC BARS
Slide 31: Affligem: 1000 years of fine beers
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE AFFLIGEM | 1000 YEARS OF FINE BEERS CERTIFIED AND AWARD-WINNING BELGIAN ABBEY BEER WITH A 1000 YEAR HISTORY UNIQUE DOUBLE FERMENTED RECIPE THAT IS ONLY BREWED IN BELGIUM UNDER THE CLOSE SUPE
Slide 32: Ciders: reaching consumers that beer can't
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE CIDERS | REACHING CONSUMERS THAT BEER CAN’T HEINEKEN IS THE WORLD’S LEADING CIDER PRODUCER WITH LEADING CIDER RESEARCH AND DEVELOPMENT CAPABILITIES ATTRACTIVE GLOBAL CIDER BRAND PORTFOLIO: B
Slide 33: Regional & local jewels
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE REGIONAL & LOCAL JEWELS LOCAL CHAMPIONS TECATE STAR BINTANG REGIONAL POWER BRANDS TIGER DOS EQUIS
Slide 34: Wowing the world with our brands
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE WOWING THE WORLD WITH OUR BRANDS THE CANNES LIONS INTERNATIONAL FESTIVAL OF CREATIVITY AWARDED HEINEKEN WITH THE 2015 CREATIVE MARKETER OF THE YEAR INSPIRING & INNOVATIVE GLOBAL MARKETING EM
Slide 35: Delighting our consumers with innovations
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE DELIGHTING OUR CONSUMERS WITH INNOVATIONS INNOVATION IS AT THE HEART OF OUR COMPANY STRATEGY WE WORK TO CONTINUALLY SURPRISE AND EXCITE OUR CONSUMERS AND MEET CHANGING CONSUMER PREFERENCES I
Slide 36: Radler: double refreshment
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE RADLER | DOUBLE REFRESHMENT NEW DRINKING A REFRESHING MIX OF OCCASIONS & CONSUMERS BEER AND NATURAL LEMONADE LAUNCHED FOR LOCAL 2 VARIANTS: BRANDS IN 41 MARKETS 2% LOW-ALCOHOL & ACROSS ALL 5
Slide 37: Maxx 0.0%: full flavour, no alcohol
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE MAXX 0.0% | FULL FLAVOUR, NO ALCOHOL GREAT TASTING AND VISIBLY DIFFERENT ALCOHOL FREE BEER UNIQUE BLEND OF NATURAL MALTS FRESH AND WELL-BALANCED BEER FULL ENJOYMENT: THE 0.0% WORLD HAS NO LI
Slide 38: The Sub: iconic home draught appliance
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE THE SUB | ICONIC HOME DRAUGHT APPLIANCE THE SUB DELIVERS PROFESSIONAL QUALITY DRAUGHT BEER AT HOME FUTURISTIC SUBMARINE APPEARANCE CAN CHILL TO 2° IT TAKES NEW, 2-LITRE KEGS, TORPS, CONVENIE
Slide 39: Brewlock: game changer for draught in on-trade
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE BREWLOCK | GAME CHANGER FOR DRAUGHT IN ON-TRADE BREWLOCK WILL REVOLUTIONISE DRAUGHT BEER WITH A NEW ONE-WAY KEG TECHNOLOGY DESIGNED FOR MEDIUM-SIZED PREMIUM ON-TRADE OUTLETS OUTSTANDING CONS
Slide 40: Brewing a better world
BREWINGA BETTER WORLD
Slide 41: Sustainability focus areas
PROTECTING WATER RESOURCES GROWING WITH COMMUNITIES REDUCING CO2 EMISSIONS PROMOTING HEALTH AND SAFETY SOURCING SUSTAINABILITY ADVOCATING RESPONSIBLE CONSUMPTION
Slide 42: Sustainability: business imperative
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE SUSTAINABILITY | BUSINESS IMPERATIVE OUR INDUSTRY & THE CHALLENGES WE FACE ARE CHANGING SUSTAINABILITY HAS A POSITIVE IMPACT IN A NUMBER OF AREAS, SUCH AS: • OUR LICENSE TO OPERATE E.G. COMM
Slide 43: Brewing a better world
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE BREWING A BETTER WORLD GREATER ATTENTION TO THE HERE AND NOW, FULLY EMBEDDED IN THE BUSINESS GENUINE COMMERCIAL OPPORTUNITY FOR OUR BRANDS AND IN THE INNOVATIONS FUNNEL THE ALCOHOL AGENDA RE
Slide 44: Sustainability: strategy
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE SUSTAINABILITY | STRATEGY Our strategy Protecting water resources Reducing CO2 emissions Our Sourcing sustainably Advocating responsible consumption focus Promoting health and safety Growing
Slide 45: Covering our value chain 'from barley to bar'
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE COVERING OUR VALUE CHAIN ‘FROM BARLEY TO BAR’
Slide 46: Protecting water resources
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE PROTECTING WATER RESOURCES OUR COMMITMENTS 2015 2020 Specific water consumption Reduce our specific water Reduce our specific water consumption in consumption in the breweries the breweries
Slide 47: Reducing CO2 emissions
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE REDUCING CO2 EMISSIONS OUR COMMITMENTS 2015 2020 Reduce specific CO2 emissions in Reduce our CO2 emissions in Reduce our CO2 emissions production production by 27%1 in production by 40%1 (eq
Slide 48: Sourcing sustainably
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE SOURCING SUSTAINABLY OUR COMMITMENTS 2015 2020 Stimulate local economic development Deliver 50% of raw materials in Deliver 60% of raw materials in Africa through sourcing locally Africa via
Slide 49: Advocating responsible consumption
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE ADVOCATING RESPONSIBLE CONSUMPTION OUR COMMITMENTS 2015 2020 Industry Precise goals for 2015 to be decided in conjunction with industry Deliver global industry commitments on: via ICAP and G
Slide 50: Promoting health and safety
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE PROMOTING HEALTH AND SAFETY Indicator Kpi 2015 Production Accident frequency (AF) 10% reduction Outside production Percentage of sites reporting at lease one 90% of OpCos at 75% near miss pe
Slide 51: Growing with communities
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE GROWING WITH COMMUNITIES WE WANT TO ENSURE THAT OUR SUCCESS AS A BUSINESS HELPS THE COMMUNITIES AND SOCIETIES IN WHICH WE OPERATE TO PROSPER Direct contributions Shared-value projects Heinek
Slide 52: Our products
OUR PRODUCTS HEINEKEN
Slide 53: Refreshing
REFRESHING LOW-ALCOHOL DRINK MADE FROM APPLES: ALL NATURAL INGREDIENTS & BREWING PROCESS REACHES ‘CONSUMERS THAT BEER CAN'T
Slide 54: All natural ingredients
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE BARLEY WATER ALL NATURAL INGREDIENTS HOP YEAST
Slide 55: The magic of brewing
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE THE MAGIC OF BREWING WATER HOPS PURIFYING COMPRESSING BREW HOP WATER PELLETS YEAST HEATING SWEET BITTER BARLEY MALT GRIST MASH WORT WORT BEER DRYING MILLING LAUTERING BOILING WHIRLPOOLING ST
Slide 56: Storehouse of nutrients
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE STOREHOUSE OF NUTRIENTS NO ADDITIVES; NO PRESERVATIVES NO FAT VITAMINS B1, 3 AND 11 MINERALS ANTIOXIDANTS
Slide 57: Relatively low in calories
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE RELATIVELY LOW IN CALORIES CALORIC VALUE OF VARIOUS BEVERAGES 100 grams Kcal Whiskey 245 Red Wine 82 White Wine 70 Alcoholic mix drinks 65 Milk 63 Beer 42 Orange juice 39 Soft drinks 39 Sour
Slide 58: Cider: reaches consumers that beer can't
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE CIDER REACHES CONSUMERS THAT BEER CAN’T AUTHENTIC & REFRESHING ALCOHOLIC DRINK MADE FROM APPLES OR PEARS CRISP, SWEETER TASTE WIDE RANGE OF FLAVOURS TRIPLE REFRESHMENT: NATURAL ACIDITY, LIGH
Slide 59: Cider production process
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE CIDER PRODUCTION PROCESS APPLE HARVESTING MILLING & PRESSING STORAGE & FERMENTATION BLENDING & FILTRATION FILLING & PACKAGING
Slide 60: Performance
PERFORMANC E
Slide 61: 2014 performance highlights
INNOVATIONS, CONTRIBUTED 1.5 BILLION GROUP REVENUE +3.3% NET PROFIT +14% OPERATING PROFIT +7.8% GLOBAL BRANDS GREW DOUBLE DIGITS CONSOLIDATED OPERATING PROFIT MARGIN. Heineken® up 1% EXPANSION 90 BPS
Slide 62: 2014: strong performance reflects effectiveness of our strategy
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE 2014: STRONG PERFORMANCE REFLECTS EFFECTIVENESS OF OUR STRATEGY CONSOLIDATED OPERATING PROFIT (BEIA) MARGIN UP 90BPS, WELL AHEAD OF MEDIUM TERM MARGIN GUIDANCE (40BPS) DILUTED EPS (BEIA) UP
Slide 63: Financial overview
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE FINANCIAL OVERVIEW Mhl/€m 201 4 201 3 Total Change (%) Organic Change (%) Group revenue 21,191 21,174 0.1 3.3 Group revenue/hl (€) 91 92 -0.9 1.4 Group operating profit (beia) 3,359 3,192 5.
Slide 64: Healthy growth across the business
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE HEALTHY GROWTH ACROSS THE BUSINESS 2014 Organic growth % AFRICA CENTRA & ASIA WESTERN HEINEKEN MIDDLE AMERICAS EASTERN PACIFIC EUROPE NV EAST EUROPE Consolidated revenue 4.4 6.9 5.3 -3.7 2.2
Slide 65: Balanced market footprint driving top line and profits
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE BALANCED MARKET FOOTPRINT DRIVING TOP LINE AND PROFITS 2014 FY: DEVELOPED/DEVELOPING ORGANIC GROWTH % MARKET SPLIT 10% 50% 61% 5.6% 63% 2.4% 1.5% 1.7% 50% 1.1% 39% 37% Group beer Group reven
Slide 66: Heineken consistently outperforming premium
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE Heineken® CONSISTENTLY OUTPERFORMING PREMIUM Heineken® BRAND GROWING ACROSS ALL REGIONS DOUBLE DIGIT GROWTH IN BRAZIL, CHINA, Heineken® PREMIUM FRANCE, THE UK AND MEXICO VOLUMES 2014FY 5.1%
Slide 67: Innovation delivered €1.5bn revenue, rate of 7.7%
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE INNOVATION DELIVERED €1.5BN REVENUE, RATE OF 7.7% COMPETITIVE ADVANTAGE AND SUSTAINABLE CONTRIBUTOR TO PROFITABILITY IMPROVING DRAUGHT OFFER INNOVATION REVENUE NEW PACK TYPES €1.5bn 40% CAGR
Slide 68: Continued focus on driving cost efficiencies
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE CONTINUED FOCUS ON DRIVING COST EFFICIENCIES TCM2 COMPLETED IN H1 2014 AHEAD OF TARGET AND SCHEDULE DRIVING FURTHER COST SAVINGS: • RIGHTSIZING THE ORGANISATION TO OPTIMISE COST STRUCTURE •
Slide 69: Improving operating profitability and margins
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE IMPROVING OPERATING PROFITABILITY AND MARGINS CONSOLIDATED OPERATING PROFIT MARGIN CONTINUES TO IMPROVE 2014 MARGIN EXPANSION WELL 90 bps AHEAD OF MEDIUM TERM TARGET 60 bps 40 bps 15.3% 16.2
Slide 70: 2015 full year outlook
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE 2015 FULL YEAR OUTLOOK1 COMMITTED TO DELIVERING ON STRATEGIC PRIORITIES –FURTHER REVENUE AND PROFIT GROWTH IN 2015 CONTINUED CHALLENGING EXTERNAL ENVIRONMENT POSITIVE ORGANIC REVENUE GROWTH:
Slide 71: Africa, Middle East and Eastern Europe
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE AFRICA, MIDDLE EAST AND EASTERN EUROPE Strong results achieved amid volatile trading environment Consolidated Group Total Organic Total Organic Mhl/€m 2014FY Change (%) Change (%) 2014FY Cha
Slide 72: Americas
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE AMERICAS Strong top and bottom line growth Consolidated Group Total Organic Total Organic Mhl/€m 2014FY Change (%) Change (%) 2014FY Change (%) Change (%) Revenue 4,631 3.0 6.9 5,401 1.6 Rev
Slide 73: Asia Pacific
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE ASIA PACIFIC H2 driving growth Consolidated Group Total Organic Total Organic Mhl/€m 2014FY Change (%) Change (%) 2014FY Change (%) Change (%) Revenue 2,088 2.5 5.3 2,455 3.2 Revenue/hl (in
Slide 74: Europe
THE HEINEKEN COMPANY BRANDS & INNOVATION BREWING A BETTER WORLD OUR PRODUCTS: BEER & CIDER RECENT PERFORMANCE EUROPE Strong Execution & Higher Investments Driving Market Share Gains Consolidated Total Organic Mhl/€m 2014FY Change (%) Change (%) Revenue 7,478 0.3 2.2 Revenue/hl (in €) 127 1.9 0.5 Ope
Slide 75: HEINEKEN
"HEINEKEN
Slide 76: 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