Heineken Holding N.V. reports 2018 half year results

Amsterdam, 30 July 2018 - Heineken Holding N.V. (EURONEXT: HEIO; OTCQX: HKHHY) today announces:

• The net result of Heineken Holding N.V.'s participating interest in Heineken N.V. for the first half year of 2018 amounts to €480 million
• Organic revenue +5.6% with revenue per hectolitre +1.1%
• Consolidated beer volume +4.5%
• Heineken® volume +7.5%
• Operating profit (beia) +1.3% organically and operating profit (beia) margin -118 bps (-76 bps excluding Brasil Kirin)
• Net profit (beia) of €1,076 million, +8.9% organically
• Full year expectations updated

FINANCIAL SUMMARY

¹ Consolidated figures are used throughout this report, unless otherwise stated; please refer to the Glossary section for an explanation of terms used throughout this report. A reconciliation between non-GAAP measures and IFRS measures is included in note 5 on page 20.
² Organic growth is calculated using the last year figures as baseline. Margin expansion is calculated using the last year restated margin as baseline.
³ Includes acquisitions and excludes disposals on a 12 month pro-forma basis.
⁴ Half year results 2017 have been restated to reflect the impact of adopting IFRS 15. Please refer to page 16 for more details.

Heineken Holding N.V. engages in no activities other than its participating interest in Heineken N.V. and the management or supervision of and provision of services to that company.

FULL YEAR 2018 OUTLOOK STATEMENT

• Economic conditions are expected to remain volatile and HEINEKEN assumes a negative currency impact comparable to 2017 on revenue and operating profit.
• Revenue growth is expected to continue and operating profit growth to accelerate in the second half on an organic basis.
• HEINEKEN is updating its operating profit margin guidance for the full year to a decrease of approximately 20 bps mainly due to the following:
  • A strong performance in Brazil with two effects: In the first five months, the dilutive impact of the consolidation of Brasil Kirin was higher than expected, and for the remainder of the year, the marked acceleration of HEINEKEN's combined operations with an operating margin still below group average plays negatively on the mix.
  • A higher than anticipated negative translational mix impact from currencies, as it concentrates more in operating companies with operating profit margins above the group average.
• Heineken expects an average interest rate (beia) broadly in line with 2017 (2017: 3.0%), and an effective tax rate (beia) of around 28% (2017: 27.6%).
• Capital expenditure related to property, plant and equipment should be slightly above €2 billion (2017: €1.7 billion).

INTERIM DIVIDEND

According to the Articles of Association of Heineken Holding N.V. both
Heineken Holding N.V. and Heineken N.V. pay an identical dividend per share.
In accordance with its dividend policy, HEINEKEN fixes the interim dividend at 40% of the total dividend of the previous year. As a result, an interim dividend of €0.59 per share (2017: €0.54 per ordinary share of €1.60 nominal value) will be paid on 9 August 2018. Both the Heineken Holding N.V. shares and the Heineken N.V. shares will trade ex-dividend on 1 August 2018.

ENQUIRIES

INVESTOR CALENDAR HEINEKEN N.V.

(events also accessible for Heineken Holding N.V. shareholders)

Conference call details

Heineken N.V. will host an analyst and investor conference call in relation to its 2018 HY results today at 10:00 CET/ 9:00 BST. This call will also be accessible for
Heineken Holding N.V. shareholders. The call will be audio cast live via the website: www.theheinekencompany.com/investors/webcasts. An audio replay service will also be made available after the conference call at the above web address. Analysts and investors can dial-in using the following telephone numbers:

Editorial information:
HEINEKEN is the world's most international brewer. It is the leading developer and marketer of premium beer and cider brands. Led by the Heineken® brand, the Group has a portfolio of more than 300 international, regional, local and speciality beers and ciders. HEINEKEN is committed to innovation, long-term brand investment, disciplined sales execution and focused cost management. Through "Brewing a Better World", sustainability is embedded in the business and delivers value for all stakeholders. HEINEKEN has a well-balanced geographic footprint with leadership positions in both developed and developing markets. HEINEKEN employs over 80,000 employees and operates breweries, malteries, cider plants and other production facilities in more than 70 countries. Heineken N.V. and Heineken Holding N.V. shares trade on the Euronext in Amsterdam. Prices for the ordinary shares may be accessed on Bloomberg under the symbols HEIA NA and HEIO NA and on Reuters under HEIN.AS and HEIO.AS. HEINEKEN has two sponsored level 1 American Depositary Receipt (ADR) programmes: Heineken N.V. (OTCQX: HEINY) and Heineken Holding N.V. (OTCQX: HKHHY). Most recent information is available on the website: www.theHEINEKENcompany.com and follow HEINEKEN via @HEINEKENCorp.
Heineken Holding N.V. engages in no activities other than its participating interest in Heineken N.V. and the management or supervision of and provision of services to that company.

Market Abuse Regulation

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Disclaimer:
This press release contains forward-looking statements with regard to the financial position and results of HEINEKEN's activities. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in the forward-looking statements. Many of these risks and uncertainties relate to factors that are beyond HEINEKEN's ability to control or estimate precisely, such as future market and economic conditions, the behaviour of other market participants, changes in consumer preferences, the ability to successfully integrate acquired businesses and achieve anticipated synergies, costs of raw materials, interest-rate and exchange-rate fluctuations, changes in tax rates, changes in law, change in pension costs, the actions of government regulators and weather conditions. These and other risk factors are detailed in HEINEKEN's publicly filed annual reports. You are cautioned not to place undue reliance on these forward-looking statements, which speak only of the date of this press release. HEINEKEN does not undertake any obligation to update these forward-looking statements contained in this press release. Market share estimates contained in this press release are based on outside sources, such as specialised research institutes, in combination with management estimates.

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