Why Heineken Sank Today
Shares of premium beer maker Heineken (OTC: HEINY) fell on Monday, down 9% as of 1:32 p.m. ET.
Heineken reported second-quarter earnings this morning. On a net organic adjusted basis, revenue and profits improved. However, growth came from price increases, as volumes continued to decline. As such, the continued volumes disappointment caused a sell-off following a recent rally in the stock.
On an IFS basis, in the first half, Heineken saw revenue decline 5% and operating profit decline 7.1%, but these headline figures were skewed by divestitures, as well as a negative currency impact, as the euro has strengthened. On a "BEIA" basis, adjusting for divestitures and currency, net revenue was up 2.1%, and operating income was up 7.4%.
Source Fool.com