KUALA LUMPUR: Heineken Malaysia Bhd
managing director Roland Bala expects the market to remain challenging in light of the cautious consumer spending, although the absence of the one-off Prosperity Tax will have a positive impact on the group's net profit this year.
"We will stay agile to the volatile business environment and continue to focus on our EverGreen strategy to future-proof our business.
"We will continue to drive efficiency through cost optimisation across the organisation while investing in our brands and innovations," he said in a statement.
In the second quarter ended June 30, 2023, Heineken recorded a net profit of RM90.47mil, as compared to RM86.07mil in the same quarter in 2022, on the back of the lower tax charge, which mitigated the impact of weaker sales revenue and higher marketing expenses.
The group's earnings per share was 29.95 sen, up from 28.49 sen.
In line with the performance, the board of directors declared an interim dividend of 40 sen per share, with entitlement date on Oct 20, 2023, and payable on Nov 10, 2023.
Heineken's revenue meanwhile dropped to RM569.24mil from RM644.58mil due to lower sales amid the weak consumer sentiment.
According to Bala, the group had a strong base in the second quarter of 2022 as the market experienced an upsurge in sales following the reopening of the economy and international borders due to the start of the endemic phase.
During that quarter, the group's revenue was up 84% as compared to 2QFY21.
"The group views this quarter’s performance as a form of market correction," said Bala with regards to the weaker revenue in 2QFY23.
For the first half of 2023, Heineken recorded a net profit of RM200.4mil on revenue of RM1.31bil as compared to a net profit of RM199.46mil and revenue of RM1.34bil.
