Heineken sees return to revenue growth

Heineken Ireland has reported revenues of €477 million for 2013, despite a decline in the Irish beer market.

Maggie Timoney, chief executive of the brewing giant's Irish operations, said Heineken's portfolio of beers increased its value share of the Irish lager market last year and now holds a value share in excess of 46 per cent.

“2013 has been another year of strong progress for Heineken Ireland which has seen us grow our market share in both volume and value terms in a beer market that experienced a decline of 3.2 per cent,” she added.

She said severe constraints on credit are still being imposed by the banking sector, which will continue to make it difficult for the pub sector in 2014.

“Heineken Ireland sees no evidence of any serious efforts being made by the both government and the banking sector to support the labour intensive pub sector in this regard.”

Heineken, which is the world’s third-largest brewer, has forecast a return to revenue growth this year with higher beer sales in Africa, Asia and Latin America after a slowdown in several emerging markets in 2013.

The Dutch maker of Europe’s top-selling Heineken lager as well as Sol, tequila-flavoured Desperados and Strongbow cider this morning said 2013 had been challenging with difficulties in eastern Europe, Latin America and Africa.

The brewer said revenue grew by just 0.1 per cent last year as price rises failed to offset a sharp decline in overall volumes.

Heineken shares climbed 3.4 per cent this morning after the brewer said it expects sales to increase in 2014. Heineken shares were among the strongest performers in the FTSEurofirst 300 index of leading European stock.

Additional reporting: Reuters