E-Malt.com News article: Netherlands: Heineken publishes 2004 consolidated financials restated for IFRS

Dutch brewery Heineken N.V. announced on May 19 the publication of its IFRS-restated consolidated financial statements for the full-year of 2004 and the first-half of 2004 for comparison purposes. From 2005 onwards, Heineken will publish its financial statements in accordance with the International Financial Reporting Standards (IFRS). The main changes as a result of the restatement of the 2004 financial statements are as follows:

Heineken’s net profit in 2004 under IFRS is €105 million higher than the net profit reported in accordance with Dutch GAAP for the same year. This is the result, on the one hand, of lower depreciation of fixed assets (€40 million) due to the change from replacement cost to historical cost and lower amortisation charges (€81 million) as goodwill is no longer amortised and, on the other hand, the first time amortisation of brands (€8 million) and an increase in other cost items (€8 million). Included in the tax charge of the year is an exceptional, non-recurring tax benefit of € 20 million.

Lower Shareholders’ Equity is due to the change in carrying value of fixed assets to historical cost instead of replacement cost, which is partially offset by the higher net profit as a result of IFRS-restatement.


22 May, 2005