The reports of Big Beer’s demise have been greatly exaggerated. Anheuser-Busch InBev (AB InBev) released their first quarter financials this week and the mega-brewer is alive and kicking. In fact, the Budweiser parent company’s 4.7% revenue growth surpassed analysts’ expectations, buoying the stock in the following days.
Revenue jumped to $13.07 billion from $12.92 billion. Net profit dropped to $1.02 billion from $1.40 billion but adjusted earnings rose 6.6% to $4.99 billion.
In the US, the Bud range continued to deliver lackluster results as a trend towards premium beers continued. The company also noted that unusually cold weather contributed to a slight (2%) dip in sales to retailers.
However, the domestic issues were offset by strong sales abroad especially in Mexico, Brazil and Argentina.
Corona, an A-B InBev brand logged 25.1% growth. Outside of the beer’s birthplace in Mexico, sales grew 40.3% according to the report. The parent company attributed this surge to upticks in China and Western Europe.
Stella Artois, another of the corporation’s labels, reported revenue growth of 12.3%with Argentina and the UK singled out as over performing markets.
Execs also took the regular filing as an opportunity to note Bud’s sponsorship of the forthcoming FIFA World Cup. The corporation expects the marketing partnership to yield increased sales of the flagship brew.