Anheuser-Busch stock rallied Wednesday after the beer and beverage behemoth cleared estimates for first-quarter results. However, AB InBev is still seeing a decline in demand for Bud Light following the boycott that started in April 2023.
Anheuser-Busch InBev reported a 15.4% increase in earnings to 75 cents per share, beating FactSet expectations of 66 cents. Revenue climbed 2.6% to $14.55 billion, ahead of analyst forecasts of $14.43 billion.
Total beverage volumes declined by 0.6% for the quarter, with a 1.3% decline in its owned-beer volumes. Non-beer beverage volumes increased by 3.5%.
The Belgium-based brewer noted U.S. revenue fell 9.1% in Q1. Sales to U.S. retailers dropped 13.7%, primarily driven by volume declines in Bud Light. Sales to wholesalers decreased 10.1% as first-quarter shipments caught up with depletions in December 2023.
The company expects its 2024 EBITDA to grow in-line with its medium-term outlook of 4% to 8% growth, including inflation and macroeconomic conditions. FactSet analysts predict EBITDA rises 7.8% to $21.53 billion.
Anheuser-Busch Stock
Anheuser-Busch is primarily listed on the Euronext exchange under the ticker ABI. In the U.S., it trades in American depositary receipts (ADRs) under the ticker BUD on the New York Stock Exchange.
Anheuser-Busch stock rallied 4% Wednesday, on track to extend its advance above resistance at the 50-day moving average. BUD stock rebounded above that technical line on Tuesday after testing its 200-day line.
AB InBev has retreated about 2.5% in 2024.
You can follow Harrison Miller for more stock news and updates on Twitter @IBD_Harrison
