KUALA LUMPUR (Nov 21): Brewer Heineken Malaysia Bhd's net profit for third quarter ended Sept 30, 2017 (3QFY17) came in at RM65.87 million, up 15.7% from RM56.92 million recorded in the corresponding three months last year.

Revenue was at RM509.59 million for 3QFY17, up 32.42% from RM384.82 million in the same three months last year.

In its quarterly report to Bursa Malaysia, Heineken Malaysia said the improved profitability was driven by volume growth as the market last year was recovering from volume impact as a result of price increase that occurred in July 2016, and a favourable brand mix.

Its revenue in 3QFY17 also received a boost from the launch of its new mainstream cider brand Apple Fox in August and the commencement of sale of locally brewed Strongbow Apple Ciders.

In the first nine months of FY17 (9MFY17), its net profit grew 4.6% to RM176.4 million, from RM168.6 million in previous corresponding period, while revenue inched up 1.1% to RM1.32 billion from RM1.3 billion.

Moving forward, Heineken Malaysia's managing director Hans Essaadi said his team remains cautious on consumer sentiment, which is still subdued and adversely impacted by rising costs of living and high excise duties on beer.

"Contraband beer continues to be a crucial concern resulting in significant revenue loss to both the industry and government. We thank the Customs Department for their enforcement efforts and we will continue supporting initiatives to address the contraband issue in a comprehensive and holistic manner," he said in a statement today.

Essaadi also said the group remains committed to the long-term growth of its business with a focus on strengthening commercial strategies and execution, as well as improving efficiencies through cost optimisation measures.

Heineken Malaysia's share price fell 68 sen or 3.78% to close at RM17.32 today, valuing the group at RM5.26 billion.