Dutch brewer Heineken has reported net profits before exceptional items of €694m for the first six months of this year, up 11% from the same period last year. Revenue was 11% higher at €8.36 billion, as beer volumes grew by 20%.
Excluding acquisitions and currency movements, net profit growth was 5.7% in the first half, below analysts' expectations.
Heineken also warned that depressed consumer confidence and poor summer weather would hit second-half figures.
Europe's largest beer maker, which also dominates in Nigeria and has more than 40% of the Mexican market, said trading conditions remained favourable in Latin America, sub-Saharan Africa and Asia-Pacific, but not in developed markets.
'Volume development in parts of Europe and the USA is expected to remain challenging given the current economic uncertainty, high unemployment and ongoing weak consumer confidence,' it said in a statement.
The Dutch brewer said it had already experienced weak beer sales in the normally high-selling season of July and early August due to poor summer weather in Europe and worsening consumer sentiment there and in the US.
The company said this would affect second-half volumes and profit and it now expected full-year net profit before exceptional items and amortisation of brands to be broadly in line with last year's level on a like-for-like basis.
Heineken had said in April it expected higher planned marketing spending to hit profit after the first quarter, particularly across Europe.
It also said it expected a single-digit percentage increase in input costs, much of which are hedged, over the whole of the year. Sharply higher prices for raw materials will probably have a larger impact on brewing costs next year.
