Our performance Chief Executive's statement 09. "Of the four key priorities for action, the first and most important is accelerating sustainable top-line growth. We need to have the right balance of brands in each market and of course, the Heineken brand needs to shine brightly in every one of them. Our Building Winning Portfolios programme is key to this." For more than a century, two words 'growth' and 'performance' have defined our business. In 2005, we delivered on each of the commitments we made to our shareholders and other stakeholders. We did this through a continued focus on building our brands for the long term, by growing our position in the global beer market and by meeting our obligations as a global citizen. Our performance in a difficult international trading environment was sound. Revenue rose by 7.3 percent to €10.8 billion, and EBIT beia (before exceptional items and amortisation of brands) remained €1.4 billion. Net profit beia grew by 4.6 percent and the organic net profit beia (before consolidation changes, exceptionals and currency effects) rose by 7.3 percent, ahead of the forecast announced in February 2005. Group volumes grew by 5.3 percent, driven by a positive organic performance of 1.8 percent (2 million hectolitres), the contribution of the new acquisitions, mainly in Russia, and the roll-out of the distribution agreement with FEMSA in the United States. Heineken is the world's most successful, valuable and available international premium beer brand and it continues to attract consumers. Growing Heineken continues to be an important part of our strategy. In 2005, the Heineken premium brand grew 4.5 percent to 20 million hectolitres, and the Group's total sales volume grew 6.0 percent to 137 million hectolitres. Despite these positive results, we are fully aware of the major challenges that this business faced during the year which hampered our growth: the sluggish economic growth in some key European markets which clearly affected the spending attitude of consumers in markets such as the Netherlands and France; the continued shift toward the off-trade, increasing price pressure from retailers; the mounting competition from wine and spirits and the competition for share of throat in the US beer market, driving fierce price competition amongst the national players. On a global level, consolidation both in the brewing and retail sector and the growth of the premium segment, especially in mature markets, continued to play a role in the way we shape and run our business. Heineken is uniquely positioned to benefit from the development of the premium segment and - with 10 acquisitions and partnerships Executive Board Jean-Francois van Boxmeer, Chairman/CEO of Heineken N.V. Right: Jean-Francois van Boxmeer Chairman/CEO Centre: Marc Bolland Member/COO Left: René Hooft Graafland Member/CFO Heineken N.V. - Annual Report 2005

Jaarverslagen en Personeelsbladen Heineken

Jaarverslagen | 2005 | | pagina 15