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Aug. 5, 2019, 3:00 a.m. EDT

Heineken N.V. 2018 full year BEIA measures

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(GLOBE NEWSWIRE via COMTEX) -- Amsterdam, 5 August 2019 - Heineken N.V. /zigman2/quotes/202537894/composite HEI.A +0.35% (otcqx:HEINY) issues the following technical announcement:

2018 FULL YEAR BEIA METRICS (RESTATED FOR IAS 37)1

HEINEKEN published its half year results on 29 July 2019, including a restatement of its half year 2018 beia financial metrics as well as of the balance sheet as of 31 December 2018 due to changes in accounting policies related to IAS 37. The present announcement includes the impact on the corresponding beia financial metrics for the full year of 2018 due to the restatement for IAS 37. These changes do not impact cash or free operating cash flow. For an explanation of the changed accounting policy on payments relating to contingent liabilities please refer to page 2.

Impact of restatement for IAS 37 on full year 2018 beia metrics







        In EURmillion unless otherwise stated & consolidated figures unless otherwise stated FY18                            IAS 37                          FY18 restated
        Africa, Middle East & Eastern Europe                                                                                     
        Net revenue (beia)                                                                            3,051                     3,051       
        Operating profit (beia)                                                                       411                       411         
        Operating profit (beia) margin                                                                13.5%                     13.5%       
                                                                                                              
        Americas                                                                                                                 
        Net revenue (beia)                                                                            6,781                     6,781       
        Operating profit (beia)                                                                       1,178        -60          1,118       
        Operating profit (beia) margin                                                                17.4%        -88 bps      16.5%       
                                                                                                              
        Asia Pacific                                                                                                             
        Net revenue (beia)                                                                            2,919                     2,919       
        Operating profit (beia)                                                                       943                       943         
        Operating profit (beia) margin                                                                32.3%                     32.3%       
                                                                                                              
        Europe                                                                                                                   
        Net revenue (beia)                                                                            10,348                    10,348      
        Operating profit (beia)                                                                       1,452                     1,452       
        Operating profit (beia) margin                                                                14.0%                     14.0%       
                                                                                                              
        Head Office & Eliminations                                                                                               
        Net revenue (beia)                                                                            -628                      -628        
        Operating profit (beia)                                                                       -116                      -116        
                                                                                                              
        Heineken N.V.                                                                                                            
        Net revenue (beia)                                                                            22,471                    22,471      
        Total expenses (beia)                                                                         -18,603      -60          -18,663     
        Operating profit (beia)                                                                       3,868        -60          3,808       
        Operating profit (beia) margin                                                                17.2%        -26 bps      16.9%       
        Share of net profit of associates /JVs (beia)                                                 161                       161         
        Net Interest income / (expenses) (beia)                                                       -405         1            -404        
        Other net finance income / (expenses) (beia)                                                  -57                       -57         
        Income tax expense (beia)                                                                     -900         20           -880        
        Minority Interests (beia)                                                                     -244                      -244        
        Net profit (beia)                                                                             2,424        -39          2,385       
        Diluted EPS (beia) (in EUR)                                                          4.25         -0.07        4.18        
                                                                                                              
        Note: due to rounding, this table will not always cast
        


1 Please refer to the glossary for an explanation of non-GAAP measures

Payments relating to contingent liabilities (IAS 37)

Following the IFRS Interpretations Committee agenda decision in January 2019 regarding tax deposits, HEINEKEN has changed its accounting policy with regards to payments relating to contingent liabilities.

Payments relating to contingent liabilities are now, in accordance with the conceptual framework, recognised as an asset on the balance sheet when it is probable (>50%) that HEINEKEN will recover the payment. Previously, these payments were contingent assets under IAS 37, and recognized if the recovery was virtually certain (>95%). In all other cases, they were accounted for directly in the profit and loss statement, if and when cash was actually recovered.

Significant judgement is applied for identifying and accounting for payments relating to contingent liabilities. The change in accounting policy in relation to estimating the likelihood, determining the timing of potential cash inflows and the recoverability is complex and requires significant judgement.

Glossary

Acquisition-related intangible assets

Acquisition-related intangible assets are assets that HEINEKEN only recognises as part of a purchase price allocation following an acquisition. This includes, among others, brands, customer-related and certain contract-based intangibles.

Beia

Before exceptional items and amortisation of acquisition-related intangible assets.

Earnings per share (EPS)

Basic

Net profit divided by the weighted average number of shares - basic - during the year.

Diluted

Net profit divided by the weighted average number of shares - diluted - during the year.

Eia

/zigman2/quotes/202537894/composite
US : U.S.: NYSE
$ 99.30
+0.35 +0.35%
Volume: 436,739
Nov. 15, 2019 6:30p
P/E Ratio
44.02
Dividend Yield
0.14%
Market Cap
$13.20 billion
Rev. per Employee
$340,640
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