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AB InBev Posts First Volume Gain in Three Years as Q1 Tops Forecasts

Premiumization plus zero-alcohol growth powered the beat, signaling more upside into the World Cup.

Overview

  • AB InBev, which reported results Tuesday, beat expectations with revenue of $15.27 billion and adjusted earnings per share of $0.97.
  • Total organic volumes rose 0.8% and beer volumes climbed 1.2%, helped by record sales in Mexico, Colombia, Brazil, South Africa and Peru.
  • Shares jumped about 7% after the release, with the company maintaining full-year EBITDA growth guidance of 4% to 8%.
  • No-alcohol beer revenue grew 27% while the Beyond Beer lineup rose 37%, lifting revenue per hectolitre by 4.4%.
  • Leaders highlighted the June FIFA World Cup as a likely boost for demand, while noting uneven trends with North America still weaker year over year.