89
Notes to the Consolidated Financial Statements
7. Working capital
6.6 Amortisation, depreciation and impairments
In millions of
Note
2023
2022
8.2
8.1
220
88
10.2
Other
5
3,096
1,886
Introduction
In millions of
2023
2022
Raw materials
815
619
493
364
765
598
481
530
472
548
2023
2022
695
591
4.09
4.66
3,721
3,250
4.09
4.65
In 2023, the inventories written down to net realisable value was €11 million (2022: €9 million, release).
Refer to the table below for the information used in the calculation of the basic and diluted earnings per share.
Weighted average number of shares - basic and diluted
2023
2022
Total number of shares issued
Effect of own shares held
Sustainability
Review
Financial
Statements
Other
Information
Report
of the
Supervisory
Board
Report
of the
Executive
Board
6.7 Earnings per share
The calculation of earnings per share (EPS) for the period ended 31 December 2023 is based on the profit
attributable to the shareholders of the Company (net profit) and the weighted average number of shares
outstanding (basic and diluted) during the year ended 31 December 2023.
Accounting policies
Refer to note 8.1 for the accounting policy on impairments and amortisation, and to note 8.2 for the policy on
depreciation.
Property, plant and equipment
Intangible assets
Assets classified as held for sale
1,896
980
576,002,613
(439,108)
1,537
256
HEINEKEN entered into a cross-holding agreement with Heineken Holding N.V., which includes a waiver by
HEINEKEN of payment of any dividends on the Heineken Holding N.V. shares held by HEINEKEN as well as
by Heineken Holding N.V. on an equivalent number of HEINEKEN shares held by Heineken Holding N.V.
The HEINEKEN shares for which dividend is waived by Heineken Holding N.V. are therefore not part of the
number of outstanding ordinary shares of HEINEKEN. The shares were acquired during 2023, refer to note 13.3
'Related parties'.
Accounting policies
HEINEKEN presents basic and diluted earnings per share (EPS) data for its shares. Basic EPS is calculated by
dividing the profit or loss attributable to shareholders of the Company by the weighted average number of
shares outstanding during the year, adjusted for the weighted average number of own shares held in the year.
Diluted EPS is determined by dividing the profit or loss attributable to shareholders by the weighted average
number of shares outstanding, adjusted for the weighted average number of own shares held in the year and for
the effects of all dilutive potential shares which comprise share rights granted to employees and the Executive
Board. The effects of anti-dilutive potential ordinary shares are ignored in calculating diluted EPS.
Accounting policies
Inventories are measured at the lower of cost and net realisable value. The cost of inventories is based on a
weighted average cost and includes expenditure incurred in acquiring the inventories, production or conversion
costs and other costs incurred in bringing them to their existing location and condition. Cost of inventories are
generally updated on annual basis except if a structural change is identified during the period such as the impact
of inflationary pressure on input costs.
Net realisable value is the estimated selling price in the ordinary course of business, less the estimated costs of
completion and selling expenses.
Work in progress
Finished products
Goods for resale
Non-returnable packaging
Other inventories and spare parts
Heineken
N.V.
Annual
Report
2023
Property, plant and equipment include depreciation and impairment of right of use (ROU) assets of €304 million
(2022: €254 million).
Assets classified as held for sale mainly include a loss of €219 million relating to the disposal of the Russia
disposal group classified as held for sale. The loss includes the recycling of foreign currency translation reserve of
€209 million and a net impairment of €10 million (2022: €88 million) of the same disposal group. The net
impairment consists of €113 million impairment during the first half-year of 2023 and an impairment reversal of
€103 million during the second half-year of 2023, following the commitment by the buyer to repay the historical
intercompany debt.
For more information on impairment losses, refer to note 8.2.
7.1 Inventories
Inventories include raw and packaging materials, work in progress, spare parts, goods for resale and finished
products.
Shares for which dividend is waived by Heineken Holding N.V.
Weighted average number of basic shares outstanding for the year
Dilutive effect of share-based payment plan obligations
Weighted average number of diluted shares outstanding for the year
In per share (basic or diluted) for the period ended 31 December
Basic earnings per share
Diluted earnings per share
576,002,613
(8,489,088)
(4,064,680)
563,448,845
530,775
563,979,620
575,563,505
462,616
576,026,120
