0
38
Financial review
Total equity
Net debt/EBITDA (beia) ratio
3.4
Currency split of net debt
Currency split of net debt repayments
Bond maturity profile
1,200
Heineken N.V.
Annual Report 2020
Introduction
Report of the
Executive Board
Report of the
Supervisory Board
Financial
Statements
Sustainability
Review
Other
Information
as a percentage of total assets
2020
2019
37.2%
2019
20181
37.3%
2018'
2017
35.4%
2017
2016
37.1%
2016
2.6
2.3
2.5
2.3
1 Restated for IAS 37.
Shareholders' equity decreased by €2,755 million to €13,392 million, mainly driven by net loss of €204 million,
dividends paid out of €597 million and a negative comprehensive income of €1,923 million, mainly related to
translational differences.
Total gross debt amounted to €18,196 million (2019: €17,052 million). Net debt decreased to €14,210 million
(2019: €15,259 million) as the sum of positive free operating cash flow, inflow from divestments and positive
foreign currency impact on debt exceeded the cash outflow for dividends.
The pro-forma 12 month rolling net debt/EBITDA (beia) ratio was 3.4x on 31 December 2020 (2019: 2.6x).
HEINEKEN is committed to return to the Company's long-term target net debt/EBITDA (beia) ratio of below
2.5x.
The table below presents the reconciliation from operating profit to EBITDA (beia).
In millions of 2020
2019
Operating profit
778
3,633
Share of profit/(loss) of associates and joint ventures
(31)
164
Depreciation and impairments of property, plant and equipment
1,981
1,540
Amortisation and impairment of intangible assets
855
419
EBITDA
3,583
5,756
Exceptional items
568
8
EBITDA (beia)
4,151
5,764
Heineken N.V. was assigned solid investment grade credit ratings by Moody's Investor Service and Standard
Poor's in 2012. Moody's lastly reaffirmed the Baa1/P-2 ratings with stable outlook on 17th July 2020. Standard
Poor's reaffirmed the BBB+/A-2 ratings, but revised the outlook on these ratings to negative, given the
expected COVID-19 related business disruption, on 27 April 2020.
This currency breakdown includes the effect of derivatives, which are used to hedge intercompany lending
denominated in currencies other than Euro. Of total net interest-bearing debt, 64% is denominated in Euro,
18% in US Dollar and US Dollar proxy currencies and 11% in British Pound. This is including the effect of
cross-currency interest rate swaps and lease liabilities under IFRS 16. The fair value of the cross-currency
interest rate swaps form part of net debt.
(incl. the currency effect of cross-currency interest rate swaps)
I EUR
USD USD proxy
GBP
Other
202
2022
2023
2024
2025
2026
2027
2028
2029
2030
2031
2032
2033
>2034
877
1,011
960
1,668
1,000
1,100
896
982
800
750
500
930
1,862