24/10/2025

BIZ & FINANCE FRIDAY | OCT 24, 2025

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Heineken lays out plan to grow beer sales, cut costs

India limits content takedown powers to fewer officials MUMBAI: The Indian government has reduced the number of officials who can order content to be taken down from the internet, a move that follows a bitter legal battle with Elon Musk’s X that centered around a contentious policy. X, Musk’s social media platform, had been in opposition to Prime Minister Narendra Modi’s 2023 decision to police the internet by allowing thousands of officials to file takedown orders. In August, Reuters reported that police inspectors were issuing takedown orders on cartoons and satirical posts, sparking one of X’s most high-profile legal challenges against a government’s content removal policy. X lost the lawsuit in Karnataka High Court in September, with a judge ruling that its challenge was without merit and X had to abide by local laws. But late on Wednesday, India’s IT Ministry changed its policy by limiting the number of people who can issue such orders to top bureaucrats and police officials. Now only bureaucrats with the rank of joint secretary or higher and police officials who are serving as deputy inspector general or above can issue takedown orders, the government said in its modification to the rules. “The government is backing down and reducing its earlier powers that extended to many more officials, but the number of officials who can issue orders will still be in the hundreds,” said Akash Karmakar, a partner at Indian law firm Panag & Babu who specialises in technology law. The changes are meant to ensure “additional safeguards to ensure senior-level accountability, precise specification of unlawful content and periodic review of government directions at (a) higher level”, a government statement said. In its court challenge, X argued that India’s actions were illegal and unconstitutional, adding that they trampled upon free speech by allowing scores of government agencies and thousands of police to suppress legitimate criticism of public officials. India contended that it was attempting to curb a proliferation of illegal content and ensure accountability online. When it changed its rules on Wednesday, the government did not make reference to its legal fight with the social media platform. In July, X’s counsel said in court that every “Tom, Dick, and Harry” in India was illegally issuing takedown orders. The change in rules will become effective on Nov 15. “The process of challenging these takedown orders remains onerous and inverts the burden of proof on the user whose content is taken down, curbing free speech,” said Karmakar, the tech-focused lawyer. – Reuters

billion) in annual gross savings – a target it already had in place for 2025. Heineken’s shares slipped early yesterday, falling almost 2% before regaining some that ground to trade down nearly 0.8% at 0916 GMT (5.16pm in Malaysia). On Wednesday, Heineken warned it would sell less beer again in 2025 after weak third-quarter sales in Brazil and Europe. Across the sector, brewers are grappling with difficult economic conditions and weak consumer confidence. Longer-term, brewers face challenges as some drinkers cut back on alcohol, health warnings rise and disruptions emerge from new competitors or shifts like the rise of weight-loss drugs. Heineken said it would expand its low- and no-alcohol offering to adapt to changing consumer demands. – Reuters

Moretti will benefit from more resources. Others will have to do more with less and could ultimately be exited, van den Brink said. Investors have perceived Heineken as lagging behind its peers, particularly Anheuser-Busch InBev, the world’s top brewer, which some say has built a leaner, more efficient operation. While Heineken’s shares are up around 3% year-to-date, AB InBev’s have risen around 10% and Carlsberg’s have climbed even higher, around 15%. The company said it expected organic operating profit to grow ahead of revenues under its revised strategy, while earnings per share would grow in line with or ahead of that, and it would aim for over 90% free-cash conversion. Profits will be helped by ambitions to make up to €500 million (RM2.5

efficiency and ramping up its integration of artificial intelligence. The pivot comes after years of difficulties for Heineken ranging from the impacts of the Covid-19 pandemic and subsequent ballooning inflation to, more recently, the fallout from US President Donald Trump’s trade wars. “Our performance is not where we would like it to be. We have had decent years. We’ve had very challenging years,” CEO Dolf van den Brink said at the investor event. “This is not satisfactory ... We are really hungry for more and better.” Heineken said it would concentrate on growing its business in 17 markets – ranging from Mexico to Malaysia, Spain and the UK – including via targeted acquisitions, as well as on five global brands and 25 strong local labels. Those markets along with brands led by namesake lager Heineken, Tiger, Amstel, Desperados, and Birra

o Brewer to focus on 17 markets and five global brands

STOCKHOLM: third-quarter profit forecasts yesterday, despite tariffs and tough competition, as sweeping cost cuts delivered faster than expected results, sending its shares more than 25% higher. The company, based in Sweden but majority-owned by China’s Geely Holding, said it made an operating profit before one-off costs of 5.9 billion Swedish crowns (RM2.6 billion) in July-September, smashing analysts’ consensus forecast of 1.6 billion crowns, according to Bernstein. This was despite a 7% drop in sales, with fully electric cars still accounting for less than a quarter of the total. Volvo Cars shares were up 28% at 0743 GMT 3.43pm in Malaysia), on track for their best day for a year and a half. The carmaker’s gross margin rose to 24.4% from the previous quarter’s 17.7%. CEO Hakan Samuelsson told Reuters that was due to a facelift for the best-selling XC60 model, big savings from cooperation with Geely’s supply chain, and the cost cuts. “What we’re now seeing is really, wow okay, this is delivering faster than we thought and faster than we planned,” Samuelsson said of the cost reductions. Samuelsson, having previously run Volvo Cars for over a decade, was brought back this year to help revive its share price. He has since installed a new finance chief, announced 3,000 job cuts, pulled earnings guidance and slowed investments. Handelsbanken analyst Hampus Engellau said the improved results were largely due to the new management team. “When Hakan rejoined as CEO I think he came in with open eyes, very much switching the focus for the group from growth and market share to cash flow and profitability,“ Engellau said. SEVILLE: Dutch brewer Heineken pledged it could deliver more growth with fewer resources as it pitched an updated five-year strategy to investors yesterday that will see it focus more heavily on specific brands and markets. The world’s No. 2 brewer said it aims to deliver mid-single-digit organic net revenue growth each year until 2030 under the plan, unveiled at a capital markets day in Seville, Spain. Faced with uncertainty in an increasingly turbulent world, it also said it was buttressing the company for the future through shifts to its operating model and by boosting Volvo Cars beat

Volvo Cars’ shares soar as profit tops expectations

A Volvo Cars electric sedan, the ES90, is displayed at a launch event in Stockholm, Sweden. – REUTERSPIC

retroactively, from 27.5% previously. “(The company) still face several challenges, including continued price competition and the effects of US import tariffs,” Samuelsson said in a statement. “However, the recent tariff agreement between the US and EU offers much-needed clarity.” – Reuters

as most of its US-bound cars are exported from Europe. However, it has recently taken steps to move production of some hybrids to America in the coming years. Recent trade negotiations between the European Union and the US resulted in a reduction of US tariffs on European cars to 15% from Aug 1

“This result is very much internally generated from the operations of the management team, they haven’t had much help from the market,” he said. French rival Renault also reported quarterly results above expectations on Thursday. Volvo Cars is one of the European carmakers most exposed to US tariffs