Dutch brewer, Heineken, today reported flat 2004 profits in line with expectations but warned investors that the weak dollar would take a big bite out of 2004 profits.
Chief executive Mr Thony Ruys told journalists that the dollar alone would reduce 2004 operating profit by €130 million and net profit by €85 million and this would not be offset by growth in organic profit.
He said the euro was also stronger against other currencies that are important to Heineken which prides itself on brewing almost all its beer in the Netherlands.
Heineken shares dipped two per cent at the opening on the 2004 outlook and stood 0.9 per cent lower at €32.10 this morning.
Mr Ruys said the important US market had started "very well" in 2004 but it was too early to make a full year forecast.
Heineken said the 2003 net profit was €798 million, in line with analysts' expectations. Before extraordinaries and goodwill amortisation the profit was €806 million, compared to €795 million in 2002.