Struggling Dutch brewing giant Heineken has announced plans to cut between 5,000 and 6,000 jobs globally over the next two years as it grapples with declining beer sales and challenging market conditions.
The world’s second-largest brewer after AB InBev said Wednesday that it will accelerate productivity initiatives to generate significant cost savings, citing weaker demand across key markets.
“We remain prudent in our near-term expectations for beer market conditions,” said CEO Dolf van den Brink in an official statement.
Heineken Shares Rise Despite Job Cuts
Despite the announcement of widespread job losses, investors reacted positively. Heineken shares rose approximately three percent at the opening of trading on the Amsterdam Stock Exchange, signaling market confidence in the company’s restructuring strategy.
CEO Dolf van den Brink to Step Down
The job-cut announcement comes just weeks after Van den Brink revealed he would step down after nearly six years as chief executive. He described his departure as bittersweet, noting that he had steered the company through “turbulent economic and political times.”
“My priority for the coming months is to leave Heineken in the strongest possible position,” he said.
Heineken currently employs about 87,000 people worldwide.
Europe Likely to Bear Brunt of Job Losses
While executives declined to provide precise regional breakdowns, Chief Financial Officer Harold van den Broek suggested that Europe could see the largest share of job cuts.
“Europe is a big part of our business,” he said, pointing to financial results that show difficulties in driving strong operating leverage in the region.
The brewer confirmed that it is focusing several initiatives on strengthening its European operations, though the restructuring will not be limited to that region.
Beer Volumes Decline in 2025
Heineken reported that global beer volumes fell 2.4 percent in 2025, reflecting weakening consumer demand. The downturn was particularly sharp in:
Europe – down 4.1 percent
Americas – down 3.5 percent
In the fourth quarter alone, total global beer volumes dropped 2.8 percent.
Revenue Falls Despite Profit Growth
The company posted annual revenue of €34.4 billion ($41 billion), down from €36.0 billion in 2024.
However, net profit rose to €2.7 billion, representing a 4.9 percent increase when currency fluctuations are excluded.
Operating profit increased 4.4 percent to €4.4 billion last year.
Heineken 2026 Outlook
Looking ahead, Heineken forecasts organic operating profit growth of 2 to 6 percent in 2026, signaling cautious optimism despite current headwinds in the global beer market.
The company’s restructuring plan aims to boost efficiency, reduce costs, and stabilize performance in core markets as it navigates a period of economic uncertainty and softer consumer demand.
