Heineken Takes €874 Million ($1 bn) Impairment, Raises Guidance Despite China Valuation Decline

Jul 29, 2024, 05:38 AM

Heineken has announced a one-time impairment charge of €874 million (nearly $1 bn) due to a decline in the valuation of its stake in China’s largest brewer, China Resources Beer. Despite this significant charge, Heineken has raised its full-year guidance, indicating confidence in its future performance. The company experienced a disappointing June and July in Europe, with expected upsides from sports events failing to materialize. Heineken's CEO, Dolf van den Brink, acknowledged the underperformance in Europe, while CFO Harold van den Broek clarified that the impairment in China was not related to quarterly performance.