Belgian beer producer AB InBev, the world’s largest brewer, has exceeded its profit expectations in the first quarter of 2025. The company called it a strong start to the year, even though sales fell by 6.3 %.
Worries in US and China
Sales fell from 14.6 billion dollars to 13.63 billion (12.7 billion euros), which the company mainly attributes to currency effects. On a comparable basis, sales rose by 1.5 %: mainly thanks to a 3.7 % increase in revenue per hectolitre. Normalized EBITDA rose by 7.9 % to 4.86 billion dollars (4.5 billion euros), while analysts had expected a more modest increase of 3.1 %.
Nevertheless, AB InBev still faces serious challenges in the United States and China. North American volumes fell by 6.4 %, resulting in a turnover decrease of 5.1 %. In China, the brewer faced a 9.2 % volume decline and a 12.7 % turnover decline. The difficult economic conditions there continue to weigh down the result.
Latin America and the Europe/Middle East/Africa region provide a counterweight: in Mexico, operating profit grew by 15 %, in Colombia by 10 % and in ‘EMEA’ by more than 10 %, despite a decline in volumes sold. In the brand portfolio, the alcohol-free beers enjoyed a turnover increase of 34 %.
