Dutch brewing giant Heineken has announced plans to cut between 5,000 and 6,000 jobs over the next two years as it navigates challenging market conditions and declining global beer sales.
The company, the world's second-largest brewer behind AB InBev, said the restructuring is aimed at accelerating productivity and unlocking significant cost savings.
Market Pressures and Declining Volumes
In its annual results released Wednesday, Heineken reported a 2.4 percent decline in global beer volumes for 2025. The drop was most pronounced in Europe and the Americas, which saw decreases of 4.1 percent and 3.5 percent respectively. Fourth-quarter volumes fell 2.8 percent.
Total annual revenue slipped to €34.4 billion ($41 billion), down from €36.0 billion the previous year. Net profit stood at €2.7 billion, representing a 4.9 percent gain when adjusted for currency fluctuations.
Leadership Transition Underway
The job cuts come as CEO Dolf van den Brink prepares to step down after nearly six years at the helm—a move announced unexpectedly last month. He described his departure as coming with "mixed emotions," having guided the company through what he termed "turbulent economic and political times."
"My priority for the coming months is to leave Heineken in the strongest possible position," van den Brink said.
Regional Impact
While executives declined to specify where the bulk of the reductions would occur, Chief Financial Officer Harold van den Broek indicated Europe would likely bear the brunt.
"Europe is a big part of our business. And you see from the financial results also that it is very tough to drive a good operating leverage there," van den Broek said. He noted that while initiatives would focus on strengthening Heineken's European operations, cuts would not be exclusive to the region.
Market Response
Investors appeared to welcome the cost-cutting measures, with Heineken shares rising approximately three percent in early trading on the Amsterdam stock exchange.
The company currently employs approximately 87,000 people worldwide. This latest round of cuts follows a previous announcement in October 2025, when Heineken said it would eliminate or reassign 400 roles at its Amsterdam headquarters as part of a technology-driven reorganization.
2026 Outlook
Looking ahead, Heineken forecasts full-year organic operating profit growth of two to six percent in 2026, following a 4.4 percent increase last year to €4.4 billion. The company said it remains "prudent in near-term expectations for beer market conditions."
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