Issue link: https://maltatoday.uberflip.com/i/1451754
Name Current Change %Change Open High Low Prev. Value Close US MARKETS NASDAQ 13,966.78 -172.98 -1.22 14038.92 14042.80 13931.99 14139.76 EUROPEAN MARKETS FTSE 7,582.09 -26.83 -0.35 7608.92 7630.72 7560.94 7608.92 CAC 6,940.44 -39.53 -0.57 7009.69 7031.93 6931.09 6979.97 DAX 15,337.12 -75.59 -0.49 15431.27 15542.84 15327.94 15412.71 ASIAN MARKETS SGX Nifty 17,261.50 -56.00 -0.32 17302.50 17325.00 17245.00 17317.50 Nikkei 225 27,460.40 595.21 2.22 27269.05 27486.09 27227.24 26865.19 Straits Times 3,439.30 17.92 0.52 3418.44 3442.61 3407.44 3421.38 Hang Seng 24,718.90 363.19 1.49 24618.30 24728.93 24548.05 24355.71 Taiwan Weighted 18,231.47 279.66 1.56 18109.17 18233.79 18109.17 17951.81 KOSPI 2,729.68 53.14 1.99 2719.61 2730.43 2711.34 2676.54 SET Composite 1,701.45 16.76 0.99 1688.67 1702.74 1687.18 1684.69 Jakarta Composite 6,850.20 42.70 0.63 6821.93 6857.65 6821.16 6807.50 Shanghai Composite 3,465.83 19.74 0.57 3457.07 3475.06 3453.80 3446.09 17.2.2022 7 MARKETS International Markets Global Indices Trading Date: 16 February 2022 Heineken expects higher beer prices due to inflation HEINEKEN (HEIN) has cast doubt on its mid-term prof- it target due to the uncertain impact of spiralling inflation on beer consumption, following a similar warning from Carlsberg (CARLb), as the wider drinks industry is forced to pass on rising costs to consumers. It comes as UK inflation increased to 5.5% in January – its highest rate for three decades, adding to the squeeze on household budgets. e Office for National Statistics (ONS) said inflation was last higher in March 1992, when it stood at 7.1%. As a result, Heineken said in its financial update on Wednesday that it expects to be "significantly impacted" by inflation and supply chain resilience pressures. "More specifically, we expect our input cost per hectoli- tre to increase in the mid-teens given our hedged positions and the sharp increase in the prices of commodities, en- ergy, and freight. We will offset these input cost increases through pricing in absolute terms, which may lead to softer beer consumption," the group said. e business also noted that it expects a stable to modest sequential improvement in its operating profit margin this year, while continuing to target a 17% operating margin in 2023 – and operating leverage beyond. However, it noted the increased uncertainty given current and evolving eco- nomic and input cost circumstances. "Looking ahead, although the speed of recovery remains uncertain and we face significant inflationary challenges, we are encouraged by the strong performance of our busi- ness," Dolf Van Den Brink, chairman of the executive board and chief executive said. e Dutch brewer said it sold 4.6% more beer in 2021 than in 2020, with increases in all regions except Asia, while price increases and a shift to more expensive beers helped drive net revenue up 12.2%. e company's operating profit rose 43.8% higher on a like-for-like basis to €3.41bn ($3.87bn) – but it was still be- low the pre-pandemic 2019 level. "We delivered a strong set of results in 2021 in a challeng- ing and fast-changing environment. I am proud of how our colleagues, customers, and suppliers continued to adapt, support one another, and deliver these results," Dolf Van Den Brink added. Profit warnings among brewers Heineken, whose brands include Tiger and Moretti, fol- lows rival Carlsberg in warning of inflationary pressures. Just a couple of weeks ago, the Danish brewer said it plans to raise beer prices to offset rising raw material costs, po- tentially hitting beer sales this year. Carlsberg reported better-than-forecast fourth-quarter sales, but said it expects organic growth in operating profit this year to fall short of last year's level. "e significantly higher input costs and continued im- pact from Covid-19 will pose challenges in 2022," Calrsberg CEO Cees 't Hart said.