COVID-19: Heineken Sales Decline In Vietnam
World’s second largest brewer, Heineken (HEIN.AS), has reported more than half decline in its third-quarter sales following COVID-19 restrictions in Vietnam, one of its top three markets.
As reported by Reuters, the Dutch brewing giant admitted that it sold 5.1 per cent beer less than it sold a year earlier, with the Asia-Pacigic sales going down to 37.4 per cent, as COVID-19 restrictions hit Cambodia, Indonesia, Malaysia and Vietnam.
The report has it that the average estimate in a company-compiled poll of analysts was for a 2.3 per cent overall decline, with the Asia-Pacific region down 25.6 per cent, while it however recorded modest growth in Africa, the Middle East and Europe.
The brewing giant, maker of Europe’s top-selling beer, Heineken, Tiger and Sol lagers, retained its forecast of full-year results finishing below those of pre-pandemic 2019.
“Cans of Heineken non-alcoholic beer are seen on display at a sampling event at Pier 17 in New York City’s Seaport District, New York, U.S., July 15, 2021.
“Vietnam, consistently one of Asia’s fastest-growing economies, suffered a record contraction in the third quarter as an outbreak of the Delta variant of the coronavirus led to a strict lockdown in the commercial hub of Ho Chi Minh City.
“The city’s lockdown started to ease this month and, though bars remain closed, Heineken Chief Executive Dolf van den Brink said there are signs of recovery in the Asia-Pacific region.
“European sales also disappointed, failing to deliver an expected uplift. Heineken said the weakness partly reflected poor summer weather in northern Europe, though it also faced logistics diruptions in Britain.
“Rivals Anheuser-Busch InBev (ABI.BR) and Carlsberg (CARLb.CO) provide updates on the third quarter on Thursday,” Reuters reported.
