HEINY Stock Recent News

Heineken N.V. (EURONEXT:HEIA) has reported below-expected revenue despite an improvement in sales over the first quarter, led by premium beer volumes.

Heineken sold more beer in the first quarter, reporting its first quarterly year-on-year growth in beer volumes in a year, and stuck to its forecast for profit growth in 2024.

From the rise of social networking to a more fractured media landscape to the integration of artificial intelligence (AI) into daily life, the world looks very different now than it did in the '00s, and brands are seizing on the opportunity to harken back to a simpler (and more low-rise-jeans-filled) time.

Heineken N.V. (HEINY) Q4 2023 Earnings Call Transcript

Heineken CEO Dolf van den Brink discusses the company's earning results.

Heineken's policy of putting up prices last year has come back to bite it with volumes down by 5% in 2023 compared to the year before. The Dutch brewer's pricing policies helped it keep revenues moving forward at €36.4bn, up from €31bn, but profits felt the impact falling 4.3% to €2.3bn.

Heineken shares fell on Wednesday after the Dutch brewer reported a slump in the volumes of beer it sold, caused by customers balking at higher prices.

Heineken, the world's second-biggest brewer, warned that persistent inflation and economic worries will weigh on beer demand in 2024. "We see moderate but sequential improvement in our volumes as inflation is starting to come down and consequently the need to take pricing," Heineken CEO Dolf van den Brink told Bloomberg Television.

Here is how Heineken NV (HEINY) and Procter & Gamble (PG) have performed compared to their sector so far this year.

Risks seem noted; this leaves us space for a positive re-rating. HEINY's CFO provides positive volume trends and cost drivers efficiency for 2024. Heineken's margin recovery story should help the company narrow the valuation gap compared to European Staples. Our buy is then confirmed.