Top brewer AB InBev delivers big beat to Q1 profit, sales forecasts
AB InBev Outperforms Expectations in First Quarter
By Emma Rumney
Strong Sales and Volume Growth
LONDON, May 5 (Reuters) - Belgian beer maker Anheuser-Busch InBev posted first-quarter sales and profits well above forecasts on Tuesday, selling more drinks for the first time in years and contrasting with a gloomier mood around key rival Heineken.
Volumes, which were expected to fall, instead rose 0.8%, the first growth since the first quarter of 2023, bringing the world's most valuable beer maker in line with competitors who in recent weeks also reported their first volume growth in at least a year.
CEO Statement and Brand Performance
"Cheers to beer," said AB InBev CEO Michel Doukeris in a statement, saying its performance reflected the strength of the drink, which has seen demand slip in key markets.
The company said its top global brands, including Corona and Stella Artois, helped drive its performance, as did non-alcoholic beer and its unit housing non-beer labels like fast-growing canned cocktail brand Cutwater.
Challenges and Competitive Landscape
Market Struggles for European Brewers
AB INBEV PLEDGED TO OUTPERFORM IN 2026
All of Europe's top brewers have struggled to increase their sales around the world, with soaring costs of living, shifting drinking habits and competition from alternatives like canned cocktails all denting their sales.
AB InBev’s Strategy and Outlook
AB InBev has said it will outperform rivals like Heineken and Carlsberg in 2026 despite these challenges, which now include ripple effects from the conflict in the Middle East such as higher costs for fertiliser, glass bottles and aluminium cans.
Both Heineken and Carlsberg also beat first-quarter forecasts. But Heineken's warning that the war could hit demand for its beers and a poorer-than-expected performance in key markets in the Americas sent its Amsterdam-listed shares downwards.
Guidance and Regional Performance
AB InBev kept its full-year guidance unchanged and did not directly mention the conflict, though it said its outlook reflects the company's "current assessment of inflation and other macroeconomic conditions."
It also saw record first-quarter volumes in major markets like Mexico and Brazil, though it continued to lag behind its peers in China, where AB InBev has struggled to sell its pricier brands.
Financial Results
The company reported a 5.3% organic rise in operating profit for the first three months of the year, versus analyst expectations for 2.6% growth, with another big beat to forecasts on revenues.
(Reporting by Emma Rumney; Editing by Tom Hogue and Thomas Derpinghaus)
