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AB InBev (BUD) Surpasses Earnings & Revenue Estimates in Q1
AB InBev (BUD) Surpasses Earnings & Revenue Estimates in Q1
About this update from Coca-cola Femsa Sab De Cv Units Cons Of 5 Shs -l- + 3 Shs Series -b-
Anheuser-Busch InBev SA/NV BUD, alias AB InBev, reported solid results in first-quarter 2024. The company’s revenues and earnings beat the Zacks Consensus Estimate and improved on a year-over-year basis.Top and bottom-line growth reflected a positive business momentum, owing to relentless execution, investment in its brands and accelerated digital transformation. Results also benefited from continued consumer demand for its brand portfolio. Backed by the ongoing business momentum, the company outlined its view for 2024.Shares of the Zacks Rank #3 (Hold) company have lost 4.7% in the past year compared with the industry’s decline of 14.5%. Q1 HighlightsAB InBev reported an underlying EPS (normalized EPS, excluding mark-to-market gains and losses related to the hedging of share-based payment programs, and the impacts of hyperinflation) of 75 cents in first-quarter 2024, up 15.4% from the 65 cents earned in the year-ago quarter. The bottom line beat the Zacks Consensus Estimate of 72 cents. On an organic basis, the underlying EPS rose 16% year over year on slight EBITDA growth, margin expansion and the optimization of net finance costs.Revenues of $14.5 billion increased 2.3% from the year-ago quarter and surpassed the Zacks Consensus Estimate of $14,407 million. The company registered organic revenue growth of 2.6%, primarily driven by robust revenue per hectoliter (hl) growth and revenue growth in 75% of its markets. Revenues benefited from pricing actions, continued premiumization and other revenue-management initiatives. Accelerated digital transformation also contributed to top-line growth in the quarter.Revenues reflected strong performances of its megabrands — Budweiser, Corona, Stella Artois, Corona and Michelob Ultra — which collectively advanced 6.7% year over year outside their home markets in the first quarter. This growth was led by a 15.5% rise in Corona outside of its home markets.Anheuser-Busch InBev SA/NV Price, Consensus and EPS SurpriseAnheuser-Busch InBev SA/NV price-consensus-eps-surprise-chart | Anheuser-Busch InBev SA/NV QuoteRevenue per hl improved 3.3% year over year on an organic basis, backed by revenue-management initiatives and premiumization efforts. However, the company’s total organic volume dipped 0.6% as the declines in the APAC and North America regions were offset by growth in the Middle Americas, South America, Africa and...