Europe rains on AB Inbev's excellent parade

Growth almost everywhere…

InBev has started 2012 very well in most places: the emerging markets
performed very well – as usual: in Central-America, sales growth was
4.8%, in South-America 3.2%. Asian sales grew 3.2% as well, as the three
regions profited from higher prices and a rising number of adults.

The first three months of 2012 saw the first quarterly growth in the United States
since AB InBev acquired Budweiser in 2008. Most of that rise was due to
the launch of Bud Light Platinum, which AB InBev claims to be “the most
successful launch of an American alcoholic brand since 2005”.

… but bad results in Europe

Contrary to the rest of the world, news from Europe is less good. In Western Europe, the volume decreased to 6.2 million hectolitres (-5.1%).T he United Kingdom was the worst under-performer, with sales
plummeting 9.7% due to the crisis and a higher VAT. In Central and
Eastern Europe, the volume went down by 9.7% as well, ending at only 4.3
million hectolitres in the first three months of the year.

AB InBev shares its main concern with their competitors: beer
consumption in mature markets is decreasing. Earlier this month, SABMiller and Heineken also released messages of higher volumes in
emerging markets, but stagnation or worse in Western Europe. The fourth
major brewery in the world, Carlsberg, will release its results only
next week.

Beck’s behaves badly

InBev’s three worldwide brands achieved a combined growth of 4.8%,
mostly owing to Budweiser’s +7.3% in volume. Stella Artois grew by 1.3%,
but Beck’s went down 4.2% due to a steep decrease in the United States and the United Kingdom,
despite an excellent record in its home market Germany.

As its strongest performers per country, InBev names Bud Light and
Stella Artois in the United States, Budweiser and Harbin in China, Antarctica and Brahma in Brazil and Quilmes in Argentina.

For the full year 2012, InBev expects a strong volume growth and a turnover that will rise “faster than the inflation.”