Heineken shares slump after China write-down, earnings miss

Dow Jones07-29

MW Heineken shares slump after China write-down, earnings miss

By Steve Goldstein

Heineken shares slumped on Monday as the Dutch brewer took a EUR874 million ($948 million) write-down on its holding of a Chinese brewery, as it increased spending more than analysts expected.

Heineken (NL:HEIA) said it wrote down the value of its stake in China Resources Beer (HK:291) on concerns over the macroeconomic environment in China and a negative view on consumer goods companies seen as more exposed to soft consumer demand.

That led Heineken to report a EUR95 million loss for the first half.

Excluding that, Heineken said its adjusted earnings would've grown 4% to EUR1.2 billion on organic net revenue growth of 6%.

Its 12.5% growth in adjusted operating profits, to EUR2.08 billion, lagged the 13.2% growth analysts had expected, according to Barclays, which said the company was forced to increase promotional activities in Europe in a more competitive market.

Heineken says it now expects operating profit to grow between 4% and 8% for the year, vs. previous guidance of low-to-high single-digit growth but below the 8.2% analysts expected.

Heineken shares slumped 6% in early Amsterdam trade.

-Steve Goldstein

This content was created by MarketWatch, which is operated by Dow Jones & Co. MarketWatch is published independently from Dow Jones Newswires and The Wall Street Journal.

(END) Dow Jones Newswires

July 29, 2024 04:03 ET (08:03 GMT)

Copyright (c) 2024 Dow Jones & Company, Inc.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap

Leave a comment

{"i18n":{"language":"en_US"},"isChannel":false,"data":{"share":"https://ttm.financial/m/news/2455638305?lang=en_US&edition=fundamental","thumbnail":"","is_english":true,"pubTime":"2024-07-29 16:03","share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","id":"2455638305","market":"us","top_or_hot":-1,"title":"Heineken shares slump after China write-down, earnings miss","media":"Dow Jones","content":"<font class=\"NormalMinus1\" face=\"Arial\">\n<p>\nMW Heineken shares slump after China write-down, earnings miss\n</p>\n<p>\n  By Steve Goldstein \n</p>\n<p>\n     Heineken shares slumped on Monday as the Dutch brewer took a EUR874 million ($948 million) write-down on its holding of a Chinese brewery, as it increased spending more than analysts expected. \n</p>\n<p>\n     Heineken (NL:HEIA) said it wrote down the value of its stake in China Resources Beer (HK:291) on concerns over the macroeconomic environment in China and a negative view on consumer goods companies seen as more exposed to soft consumer demand. \n</p>\n<p>\n     That led Heineken to report a EUR95 million loss for the first half. \n</p>\n<p>\n     Excluding that, Heineken said its adjusted earnings would've grown 4% to EUR1.2 billion on organic net revenue growth of 6%. \n</p>\n<p>\n     Its 12.5% growth in adjusted operating profits, to EUR2.08 billion, lagged the 13.2% growth analysts had expected, according to Barclays, which said the company was forced to increase promotional activities in Europe in a more competitive market. \n</p>\n<p>\n     Heineken says it now expects operating profit to grow between 4% and 8% for the year, vs. previous guidance of low-to-high single-digit growth but below the 8.2% analysts expected. \n</p>\n<p>\n     Heineken shares slumped 6% in early Amsterdam trade. \n</p>\n<p>\n     -Steve Goldstein \n</p>\n<p>\n     This content was created by MarketWatch, which is operated by Dow Jones &amp; Co. MarketWatch is published independently from Dow Jones Newswires and The Wall Street Journal. \n</p>\n<pre>\n \n</pre>\n<p>\n  (END) Dow Jones Newswires\n</p>\n<p>\n  July 29, 2024 04:03 ET (08:03 GMT)\n</p>\n<p>\n  Copyright (c) 2024 Dow Jones &amp; Company, Inc.\n</p>\n</font>","source":null,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Heineken shares slump after China write-down, earnings miss</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nHeineken shares slump after China write-down, earnings miss\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-07-29 16:03 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://dowjonesnews.com/newdjn/logon.aspx?AL=N><strong>Dow Jones</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>MW Heineken shares slump after China write-down, earnings miss\n\n\n  By Steve Goldstein \n\n\n     Heineken shares slumped on Monday as the Dutch brewer took a EUR874 million ($948 million) write-down on ...</p>\n\n<a href=\"https://dowjonesnews.com/newdjn/logon.aspx?AL=N\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"HEINY","symbol_name":"Heineken N.V.","start_time":0,"source_url":"https://dowjonesnews.com/newdjn/logon.aspx?AL=N","article_id":"2455638305","we_media_id":"106","thumbnails":[],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2455638305","pubTimestamp":1722240180,"sourceInfo":null,"weMediaInfo":{"media_name":"Dow Jones","introduction":"Dow Jones publishes the world’s most trusted business news and financial information in a variety of media.","home_visible":0,"id":"106","head_image":"https://static.tigerbbs.com/150f88aa4d182df19190059f4a365e99"},"summary":"Heineken shares slumped on Monday as the Dutch brewer took a EUR874 million  write-down on its holding of a Chinese brewery, as it increased spending more than analysts expected.Heineken  said it wrote down the value of its stake in China Resources Beer  on concerns over the macroeconomic environment in China and a negative view on consumer goods companies seen as more exposed to soft consumer demand.That led Heineken to report a EUR95 million loss for the first half.Excluding that, Heineken said its adjusted earnings would've grown 4% to EUR1.2 billion on organic net revenue growth of 6%.Its 12.5% growth in adjusted operating profits, to EUR2.08 billion, lagged the 13.2% growth analysts had expected, according to Barclays, which said the company was forced to increase promotional activities in Europe in a more competitive market.Heineken says it now expects operating profit to grow between 4% and 8% for the year, vs. previous guidance of low-to-high single-digit growth but below the 8","collect":0,"end_time":0,"defaultTopTitle":"","property":["earning"],"viewcount":null,"language":"en","relate_stocks":{"HEINY":"Heineken N.V."},"translate_title":"中国减记、盈利未达预期后喜力股价暴跌","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"HEINY":0.9},"content_text":"MW Heineken shares slump after China write-down, earnings miss\n\n\n  By Steve Goldstein \n\n\n     Heineken shares slumped on Monday as the Dutch brewer took a EUR874 million ($948 million) write-down on its holding of a Chinese brewery, as it increased spending more than analysts expected. \n\n\n     Heineken (NL:HEIA) said it wrote down the value of its stake in China Resources Beer (HK:291) on concerns over the macroeconomic environment in China and a negative view on consumer goods companies seen as more exposed to soft consumer demand. \n\n\n     That led Heineken to report a EUR95 million loss for the first half. \n\n\n     Excluding that, Heineken said its adjusted earnings would've grown 4% to EUR1.2 billion on organic net revenue growth of 6%. \n\n\n     Its 12.5% growth in adjusted operating profits, to EUR2.08 billion, lagged the 13.2% growth analysts had expected, according to Barclays, which said the company was forced to increase promotional activities in Europe in a more competitive market. \n\n\n     Heineken says it now expects operating profit to grow between 4% and 8% for the year, vs. previous guidance of low-to-high single-digit growth but below the 8.2% analysts expected. \n\n\n     Heineken shares slumped 6% in early Amsterdam trade. \n\n\n     -Steve Goldstein \n\n\n     This content was created by MarketWatch, which is operated by Dow Jones & Co. MarketWatch is published independently from Dow Jones Newswires and The Wall Street Journal. \n\n\n \n\n\n  (END) Dow Jones Newswires\n\n\n  July 29, 2024 04:03 ET (08:03 GMT)\n\n\n  Copyright (c) 2024 Dow Jones & Company, Inc.","kind":null,"is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"0","news_tag":"","news_rank":0,"symbols":[],"gpt_button":1},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.26.4","shortVersion":"4.26.4","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2455638305"}