HEINEKEN Malaysia’s financial results for year ended 31 December 2019 (FY19), showed a solid growth with its net profit increased by 11 percent to RM313 million from RM282 million a year ago, while revenue increased by 14 percent to RM2.32 billion, driven by improved sales performance across all core brands and new product launches, and also supported by better cost efficiency.
“In 2019, our focus was the core brands and big innovations which translated to a commendable performance, with a year-on-year growth across the company’s revenue and net profit. With the launch of the Heineken 0.0 and Tiger Crystal, we are well positioned to address the needs of both today and tomorrow’s customers,” explained Roland Bala, Managing Director of HEINEKEN Malaysia.
HEINEKEN Malaysia expects the business environment to remain challenging amidst uncertainties in economic conditions, continuous competitive pressures and presence of contraband beer in the market. Nevertheless, riding on the strong foundation that the Group has laid in the past, coupled with investment in brands and new product launches, the Group will continue to pursue sustainable growth by sharpening its commercial execution and driving effective cost management across the organisation.
“We commend the Government for its on-going efforts in addressing illicit alcohol activities, which have contributed to a significant reduction in contraband beer, as well as its move to keep excise duties on beer stable, with excise duties already the second highest in the world. We will continue supporting the Government’s efforts to address illicit alcohol and drive awareness on this issue through proactive engagements with relevant stakeholders,” said Roland.
The Board at HEINEKEN Malaysia has proposed a single tier final dividend of 66 sen per stock unit for the year ended 31 December 2019, subject to approval of shareholders at the forthcoming Annual General Meeting. The single tier final dividend will be paid on 17 July 2020 to shareholders registered at the close of business on 30 June 2020.
“Our commitment to Brewing a Better World continues. We remain focused on doing the right things for the business and thereby protecting the environment that we operate in as well as conserving the resources, which we use across our value chain. Ultimately, we are guided by our purpose, to Brew a Sustainable Future for our People, Business and Planet,” Roland concluded.
HEINEKEN Malaysia won three awards at the Sustainable Business Awards 2019 – winning the Best Water Management award for the second consecutive year, in recognition of the Company’s outstanding efforts in protecting and managing water resources for production and beyond.