Strong Q3 for Anheuser-Busch InBev

04 November 2010

AMSTERDAM: Anheuser-Busch InBev has reported a rise in Q3 profits, despite continued difficulties in some markets caused by difficult economic conditions.

The world's largest brewer by sales said a robust performance in Brazil offset the prolonged weakness in the US and Europe, reflecting wider macroeconomic trends.

Anheuser-Busch InBev also believes the final quarter is likely to deliver even more impressive earnings.

For Q3, total revenue rose to $9.32 billion, (€6.64bn; £5.78bn) from $8.8 billion (€6.27bn; £5.45bn) a year ago.

The figures strip out currency movements as well as the effect of disposals.

The Belgium-based brewer of iconic brands such as Budweiser and Stella Artois said its comparable volumes rose by 4.1% during the period, helped by a 12.5% rise in Brazil, now one of its main markets.

Yet North America and western Europe remained challenging, the firm said, with sales volume declining to the low single digits in both regions.

In common with its rival, Heineken NV, Anheuser reported its biggest decline in the UK, traditionally a strong market for both beer firms.

But, unlike its Dutch rival, Anheuser was able to report a rise in volume in Russia for Q3.

While North American sales volumes slumped by a disappointing 1.5% during the third quarter period, Anheuser added that it was encouraged by improving trends.

It now expects a revenue per hectoliter growth ahead of inflation in the U.S. during Q4.

Over recent days, an overall decline in European beer sales volume has been reported by both Heineken and SABMiller.

Data sourced from Wall Street Journal; additional content by Warc staff