Heineken Foresees Drop in Beer Sales in Nigeria, Other Key Markets

By Adedapo Adesanya

Dutch brewer, Heineken, has projected that its 2025 beer sales would fall in key markets as macroeconomic challenges worsen.

In a statement on Wednesday, the brewer said it expected volume to “decline modestly” in 2025 as the development further downgrades its volume guidance after it was punished for a similar move a quarter ago.

The company reported a 0.3 per cent decline in third-quarter net revenues, just beating analyst expectations for a 0.8 per cent dip.

Heineken has faced a lot of headwinds in recent years ranging from the impacts of the COVID-19 pandemic and subsequent ballooning inflation to, more recently, the fallout from US President Donald Trump’s trade wars.

The brewery company and its rivals have been battling to restore lacklustre volume growth for years.

While brewers have largely been able to offset declines with price increases, investors are increasingly focused on the amount of beer sold.

Annual organic operating profit would also be at the lower end of its 4 per cent to 8 per cent range, the brewer said. Heineken’s third-quarter sales were hit in particular by weak demand for its beers in Latin America and Europe.

According to Heineken’s CEO, Mr Dolf van den Brink, macroeconomic volatility had become more pronounced in the third quarter, adding that it has created a challenging.

“We expect demand to recover when conditions normalise,” he said in a statement.

As per Reuters, consumer sentiment has been rocked by trade tensions in key markets like Brazil, and Heineken has lost shelf space in its home region after a pricing dispute with retailers.

In an update on Thursday, the world’s second largest brewer said it aims to deliver mid-single-digit organic net revenue growth each year until 2030 under the plan.

Heineken said it would concentrate on growing its business in 17 markets which includes Mexico to Malaysia, Spain and the United Kingdom including via targeted acquisitions, as well as on five global brands and 25 strong local labels.

Those markets along with brands led by namesake lager Heineken, Tiger, Amstel, Desperados, and Birra Moretti will benefit from more resources.