Emerging Markets Grab Heineys

While American beer makers struggle to maintain market share in a world increasingly of wine spirits, Heineken is celebrating with plenty of pints overseas.

The Dutch brewer announced today it expects its profit for the year to be double what it previously forecast. It says its profit growth will be between 20 and 25 percent, a big improvement over its previous 10 to 13 percent forecast.

The reason? Stronger than expected sales in emerging markets like Poland and Russia. In Africa, it sold 17 percent more beer during the first half of this year than it sold during the same period last year. In the Asia/Pacific region, the quantity rose 31 percent.

Shares of Heineken rose 8 percent in Amsterdam trading today, which is their biggest one-day gain in nine years, according to Bloomberg. The news pushed up stocks of other European brewers, including InBev, Carlsberg and Scottish & Newcastle.

Anheuser-Busch, meanwhile, has struggled to keep up with the changing cocktail hour tastes of U.S. consumers. The St. Louis brewer, which holds the leading share of the American beer market with 48.5 percent of total sales, announced today it plans to distribute Icelandic spring water here in the U.S. It said it has taken a 20 percent stake in Icelandic Water Holdings as a part of the distribution deal.

Its shares slipped in morning trading.

by Megan Barnett