PETALING JAYA: Heineken Malaysia Bhd reported an overall positive performance for the third quarter ended Sept 30, 2025 (Q3’25) with higher revenue, profit before tax (PBT) and net profit, driven by effective revenue management, enhanced distribution efforts and disciplined cost management.
In the third quarter, the group recorded revenue of RM656 million, an increase of 6% year-on-year, driven by effective revenue management and enhanced distribution efforts.
Profit before tax climbed 16% to RM149 million compared to the same period last year.
For the nine-month period, group revenue remained steady with a marginal decrease of 1%, compared to the same period in 2024. Meanwhile, group PBT increased by 2% to RM419 million.
Heineken Malaysia managing director Martijn van Keulen said that while the trading environment remains volatile, particularly in light of the excise duty increase effective Nov 1, they are proactively implementing strategic measures to safeguard profitability and their value growth ambition as they enter the final quarter of the year.
Discussing challenges, van Keulen stated, “We commend the Royal Malaysian Customs Department and the government’s multi-agency task force for their ongoing efforts against illicit beer. However, we are concerned about the excise duty increase announced in Budget 2026. Malaysia already has one of the highest beer excise rates, and this hike could widen the price gap with illicit beer, potentially fuelling illegal trade and putting government revenue and consumer safety at risk.
“Despite these challenges, the group will continue working closely with authorities to tackle illicit beer.”
The brewing industry estimates that 25% of beer consumed locally is illicit, resulting in RM1.2 billion loss in tax revenue annually. The industry advocates a balanced, collaborative approach combining strong enforcement and public awareness, and close cooperation with the authorities.
Such efforts are critical to ensuring the brewing sector remains one of the key contributors to Malaysia’s economy, which currently contributes RM7.1 billion annually to the economy and RM3.3 billion in tax revenue. The beer industry also supports over 52,000 jobs nationwide directly and indirectly.
The board of directors does not recommend any dividend in respect of the quarter ended Sept 30, 2025.
On outlook, van Keulen shared, “Looking ahead, we aim to build on the strong foundation in the third quarter to support a steady year-end performance. Guided by our EverGreen strategy, we will focus on strengthening our core business, enhancing efficiency, and executing strategic commercial initiatives, reinforced by ongoing investments in digital infrastructure to enhance competitiveness and remain relevant to our customers and consumers.”
