Heineken reports profits slump

0 Comments | AFP, February, 2008

AMSTERDAM (AFP) — Dutch brewer Heineken reported on Wednesday that net profit last year slumped by 33.4 percent owing to extra costs in contrast to exceptional gains in 2006, and said costs were pushing up its beer prices.

Net profit amounted to 807 million euros (1.187 billion dollars) from 1.211 billion euros the previous year.

Earnings per share fell by 33.4 percent to 1.65 euros.

Last year the company increased special charges to 301 million euros. In 2006 it had booked exceptional gains of 291 million euros.

Heineken also noted that the cost of its raw meterials had risen but that it had been able to pass this on in its sales prices.

However, it foresaw its raw material costs rising by 15 percent overall and by three to four per cent in...