Heineken N.V.

Heineken said first-half 2025 organic net revenue grew 2.1% to EUR 14.2 billion, with net revenue per hectoliter up 3.3% and total beer volume down 1.2% (or 1.1% on a consolidated basis). Operating profit (beia) rose 7.4% to EUR 2.0 billion, with operating margin at 14.3%, up 26 basis points. Net profit (beia) increased 7.5% to EUR 1.64 billion, and diluted EPS (beia) was EUR 2.08, though organic EPS was down 3.1% due to currency translation. For the regions, Africa & Middle East posted 19.8% organic net revenue growth and APAC grew revenue 5.5% with operating profit up 11%, while the Americas saw net revenue down 0.8% and operating profit down 2.3%, and Europe saw net revenue down 4% and operating profit down 5.2%. Full-year guidance was reaffirmed for organic operating profit growth of 4% to 8%, with net profit expected to grow broadly in line, volumes expected to be broadly stable for FY2025, and gross savings now expected to exceed EUR 500 million. Free operating cash flow was EUR 257 million versus EUR 655 million last year, and net debt-to-EBITDA ended at 2.3x; the interim dividend was EUR 0.74 per share, up 7.2%.

Dolf van den Brink said the first half showed “solid” results in a turbulent environment and framed the quarter as evidence that EverGreen and the company’s global footprint are working. He emphasized a stronger Q2 volume trend, especially in Mexico, Brazil, APAC, and parts of Africa, and said Heineken is using greater agility in allocation, portfolio mix, and execution to lean into markets with momentum. His tone was confident but cautious, repeatedly stressing that H2 still faces macro uncertainty and that the company is balancing growth with productivity and long-term brand investment.

Harold van den Broek highlighted EUR 380 million of organic revenue growth to EUR 14.2 billion, EUR 2.0 billion of operating profit, and 14.3% operating margin, noting the result landed at the upper end of expectations partly because of strong June sales and limited tariff impact so far. He said gross savings were over EUR 300 million in H1 and the 2025 savings ambition was raised to over EUR 500 million, while marketing and selling investment rose to 10.1% of net revenue. On cash, he pointed to EUR 257 million of free operating cash inflow versus EUR 655 million last year, with the gap mainly due to FX, working capital, and project timing; he expects cash flow to be materially better in H2. He also said net debt/EBITDA was 2.3x, below the long-term target of under 2.5x, and the interim dividend was EUR 0.74 per share.

Analysts pressed management on why H2 volume should improve, why guidance was not narrowed despite stronger savings and sequential momentum, and how much tariffs, FX, later Easter/Tet phasing, and customer negotiations still matter. Management said H2 should benefit from resolved Europe negotiations, strong APAC momentum, improving Africa and Brazil trends, and better weather, but also noted H2 will face higher tariff costs, rolling off FX hedges, and some timing effects. On Europe, management argued it had fought to preserve pricing discipline and avoid negative pricing, while on the digital backbone it said rollout will be staged across markets from 2026-2028 to balance scale, risk, and local needs.