KUALA LUMPUR (Feb 27): Heineken Malaysia Bhd's net profit dipped 5.32% to RM99.07 million in its fourth quarter ended Dec 31, 2023 (4QFY2023) from RM104.63 million in 4QFY2022, as it recorded lower sales as consumer sentiment weakens amid rising cost of living and macro-economic concerns.
Quarterly revenue dropped 7.97% to RM728.62 million from RM791.69 million, its Tuesday bourse filing showed. Earnings per share slipped to 32.8 sen from 34.64 sen.
The group closed its FY2023 with a 6.3% dip in annual net profit to RM386.8 million from RM412.82 million in FY2022, as revenue fell 7.61% to RM2.64 billion from RM2.86 billion.
The brewer proposed a final dividend of 88 sen per share, raising its dividend payout for FY2023 to RM1.28, 10 sen lower than the RM1.38 it paid for FY2022.
Heineken Malaysia said its FY2023 performance was a form of "market correction" following a robust performance in FY2022 that was driven by the reopening of the economy at the end of the Covid-19 pandemic.
“After a soft beer market in 2023, the group remains cautious and expects the business environment to remain challenging in 2024 due to rising cost of living, geopolitical uncertainties and weakening ringgit which could have a negative impact on consumer sentiment and spending,” is said.
In the meantime, Heineken Malaysia said that it will continue to adopt an agile approach to the volatile business environment and will focus on its EverGreen strategy to deliver its 2024 ambition.
Shares of Heineken Malaysia closed down 2.1% or 48 sen at RM22.34 on Tuesday, giving the group a market capitalisation of RM6.75 billion. The counter has fallen by 21.94% over the past year.