Overview
Report of the
Executive Board
Report of the
Supervisory Board Financial statements Other information
EBIT to profit
2012
EBIT
3,904
2,455
Net interest expenses
(489)
(424)
Other net finance income/(expenses)
219
(6)
Profit before income tax
3,634
2,025
Income tax expenses
(525)
(465)
Profit
3,109
1,560
On reported basis, interest expenses increased by EUR65 million, reflecting higher interest expense related to financing raised for the acquisition of
APB and APIPL. On an organic basis, net interest costs declined by EUR23 million. The average interest rate on net interest-bearing debt (including
interest rate swaps) in 2012 was 5.4 per cent, compared with 5.2 per cent in 2011mainly due to Nigeria representing a higher proportion of total
group interest expense.
On a reported basis, other net finance income/ (expense) includes a EUR20 million capital gain related to the revaluation of HEINEKEN's existing
22 per cent interest in Brasserie d'Haiti and a EUR175 million gain related to the sale of a 9.3 per cent interest in a brewery in the Dominican Republic.
The effective tax rate (beia) was 26.5 per cent, slightly below the 2011 (beia) tax rate of 26.8 per cent. Similar to 2011the effective tax rate (beia)
in 2012 includes the favourable outcome of discussions with tax authorities in certain markets. The lower reported tax rate in 2012 of 15.3 per cent
(2011:26.1 percent) can be explained by the tax exempt revaluation of HEINEKEN's PHEI in APB and APIPL, prior to consolidation.
Earnings per share-diluted increased from EUR2.44 to EUR5.12 impacted by exceptional items. Earnings per share-diluted (beia) increased by
8.9 per cent from EUR2.70 to EUR2.94.
Cash flow
2012
Cash flow from operations before changes in working capital and provisions
3,581
3,545
Total change in working capital
101
251
Change in provisions and employee benefits
(164)
(76)
Cash flow from operations
3,518
3,720
Cash flow related to interest, dividend and income tax
(823)
(809)
Cash flow from operating activities
2,695
2,911
Cash flow (used in)/from operational investing activities
(1,210)
(818)
Free operating cash flow
1,485
2,093
Cash flow (used in)/from acquisitions and disposals
(4,415)
(937)
Cash flow (used in)/from financing activities
3,056
(1,034)
Net cash flow
126
122
Cash conversion ratio
80%
122%
Heineken N.V. Annual Report 2012
43
