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Heineken Ireland's revenues up 4% in 2016

Heineken Ireland employs over 400 people on the island of Ireland
Heineken Ireland employs over 400 people on the island of Ireland

Heineken Ireland said its like for like revenues rose by 4% last year, which it said reflected the change in its wholesale business model.

The company, based in Cork, said its share of the total "Long Alcohol Drinks" (or LAD) market rose by 0.8%, with growth reported in both the pub and off-licence sectors.

Meanwhile, the company's share of the total Irish cider market jumped to 11.2%, driven by Orchard Thieves.

2016 was another year of share growth for Coors Light, with its market share rising by 0.4%. This resulted in it keeping its position as the biggest selling bottled beer in the On Trade.

The company employs 412 people across the island of Ireland. Its portfolio includes Heineken, Orchard Thieves, Desperados, Tiger, Coors Light, Fosters, Sol, Beamish and Murphy's.

It also has a range of speciality beers, which includes Affligem, Paulaner, Moretti, Zywiec and Cute Hoor.

Heineken eyes better margins this year

Meanwhile, strong growth in Asia and Mexico led an increase in the Heineken group's beer sales in 2016 as the world's second-largest brewer edged above earnings expectations and forecast even better margins this year. 

The Dutch maker of Europe's top-selling lager Heineken, as well as brands including Tiger and Sol, sold 3% more beer last year, with the sharpest increase in Asia. 

Sales also grew in France, Italy, Poland, Spain and Mexico, but fell in Nigeria, one of the group's top four markets, as well as in the Democratic Republic of Congo and in Russia. 

The company's chief executive Jean-Francois van Boxmeer said margin expansion should be in line with the group's target of 40 basis points, excluding major unforeseen economic and political developments and the impact of recent acquisitions in Brazil and Britain. 

Heineken said it assumed a similar negative impact from currencies as last year, including a €1.1 billion hit on revenue. 

Chief Financial Officer Laurence Debroux said, for example, another devaluation of the Nigerian naira was likely later this year. 

One further uncertainty would be the impact on Mexico, Heineken's largest market, of US President Donald Trump, who has talked about imposing duties on imports from its southern neighbour. 

Van Boxmeer said for the time being it was "not yet legislation". 

"How that all will pan out we don't know. We are prepared for that. We're going to surf the wave as it comes, but I think specifically for the tax situation, the NAFTA situation, this is a lot of speculation," he told Reuters. 

Heineken's operating profit excluding one-offs rose by 9.9% on a like-for-like basis excluding currency movements and one-offs to €3.54 billion last year. 

That compared with the €3.51 billion average forecast in a Reuters poll. 

Heineken ranks as the world's second biggest brewer, although the gap between it global leader AB InBev has widened after the latter's near $100 billion takeover of SABMiller late last year. 

Heineken has since committed some $1.4 billion to buy most of the pubs of Britain's Punch Taverns and the Brazilian business of Japan's Kirin.