AB InBev's third quarter beer sales dropped 2.6 % while its turnover and EBITDA still grew - albeit not as much as expected. The bad weather is considered to be the main cause for the weaker results.
The Belgian company managed a 12.2 billion dollar (9.7 billion euro) turnover, slightly lower than previous expectations at 12.4 billion dollars. EBITDA grew 1.3 % to 4.75 billion dollars (3.8 billion euro), but analysts had expected 5.03 billion dollars (4 billion euro).
AB InBev is not concerned at this point as the brewer believes this is a one-off situation and it is not a representation of the company's future. "We have developed a clear strategy focused on sustainable volume and profit growth and we are happy with the road taken", the company stated.
The total volume of beer sold has dropped 2.7 % in the previous quarter, while non-beer sales volumes dropped 0.9 %. American wholesale sales plummeted 3.7 %, while American retail sales dropped 1.9 %. Chinese volumes fell 4.9 % because of cold weather in August and September. Brazilian and Mexican sales volumes went up.
Belgian sales volumes plummeted 7.2 % while the German sales drop was even higher, at 7.4 %, mostly because of the weaker summer months (July and August).