Anheuser-Busch InBev (AB InBev) reported fourth-quarter operating profits ahead of both analysts and its own forecasts, with revenues also at an “all-time high”.
The world’s largest brewer said EBITDA climbed by 10.1% in its fourth quarter, beating analyst forecasts of a 7.7% increase. A full-year increase of 8.2%, meanwhile, was driven by “production cost efficiencies and disciplined overhead management” and ahead of forecasts and its own previous guidance.
Revenues climbed 3.4% in Q4 and 2.7%, to $59.8bn (£47.3bn) in FY24, with growth in Mexico, the US, Colombia, Brazil, South Africa and Europe helping to offset sales declines in China. Revenue per hl, meanwhile, rose by 5.5% in the quarter and 4.3% across FY24.
Top and bottom-line growth came despite volumes sliding 1.9% in the last three months of the year, and 1.4% across the full year.
The Corona brewer attributed “soft consumer environments in China and Argentina” for the declines, although volumes also slid in three of its five major reporting regions. Only EMEA and Middle Americas posted volume growth over the full year.
China was especially impacted, with volumes falling 19% in Q4 and 11.8% over the full year. Performance was “impacted by inventory management” issues as well as “continued weakness in the on-premise channel”, AB InBev said. There were also volume declines in the mid-teens in Argentina over the quarter, where consumer demand was “impacted by inflationary pressures”.
Beer volumes in Europe were in “slight” growth over the full year, despite falling by mid-single digits in the final quarter, AB InBev said. Performance was driven by Corona and Stella Artois, which “successfully activated the category in key moments such as the Olympic Games, Roland Garros and Wimbledon”, it said.
As of January 2025, the brewer has strengthened its portfolio in the UK with the addition of the San Miguel brand.
Alcohol-free brew Corona Cero, meanwhile, is now available in 27 markets and in double-digit volume growth.
Looking ahead, the brewer said it expected operating profit growth of between 4% and 8% in 2025.
“The strength of our 2024 results is a testament to the consistent execution of our strategy and the hard work and dedication of our people,” said AB InBev CEO Michel Doukeris. “We delivered EBITDA growth at the top end of our outlook and a step-change in our free cashflow generation. We are investing for the long term and are confident in our ability to lead and grow the category.”
Analysts at Bernstein added: “Despite a miss on volumes, AB InBev beat expectations on all other metrics, led by impressive margin expansion.”
AB InBev’s results come after brewing rival Heineken posted a strong set of full-year results earlier this month.
The Dutch brewer saw organic operating profit rise 8.3% in 2024, exceeding analysts’ forecasts of 5.3% and its own expectations of between 4% and 8%.
Its global beer volumes, meanwhile, were up 1.6% with growth across all regions.
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