Heineken reports Q3 net profit down 76%

Heineken reports Q3 net profit down 76%

Badly hit by the on-off restrictions on the hospitality sector, Heineken said it aimed to cut personnel costs by 20%

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Dutch brewing giant Heineken said Wednesday its nine months to September net profit plunged 76 per cent to 396 million euros and restructuring was needed to offset the "significant impact" of the coronavirus.

Heineken said the pandemic and accompanying lockdowns which brought the global economy to a halt saw sales by volume fall 8.0 per cent for the period.

Heineken gave no sales figure.

Badly hit by the on-off restrictions on the hospitality sector, Heineken said it aimed to cut personnel costs by 20 per cent.

A company spokesman cited by Dutch news agency ANP said job losses could not be ruled out.

Also read: Heineken uncertain about year-end after summer recovery

"The situation remains very volatile and uncertain. We believe that spikes in the epidemic will continue to have a significant impact in several of our markets in addition to growing recession pressures," Heineken CEO Dolf van den Brink said in a statement.

When the coronavirus outbreak began, Heineken said it aimed to avoid massive layoffs but in April was forced to scrap forecasts and dividends for this year.

Founded in the 19th century in Amsterdam, Heineken sells more than 300 brands, including its namesake plus others such as Strongbow and Amstel. It employs 85,000 people globally.