Analysis - Brazil bounces back for Anheuser-Busch InBev
A-B InBev released its H1 results yesterday
Anheuser-Busch InBev's second-quarter results show that Brazil's beer market has come back on track sooner than expected, analysts have said.
The brewer yesterday (31 July) posted a 0.4% drop in beer volumes for Q2 while beer sales-per-hectolitre grew by 10% in the three months to the end of June. The numbers represent a marked improvement on Q1 results, when beer volumes dropped by 8.2%.
Stifel analyst Mark Swartzberg admitted today that he was “surprised” by the bounce back and expects A-B InBev's Brazilian subsidiary, AmBev, to raise beer prices in October.
“We understand too that, although June was better than July, both months were positive and much better than the down-mid to high single-digits of January-through-April,” Swartzberg said.
Nomura's Ian Shackleton said that better weather was behind Brazil's improvement, while last month's Confederations Cup added around 1% to the country's beer volumes. Yesterday, CEO Carlos Brito told analysts that the football tournament lifted Brazil's volumes by 300,000 hectolitres and was a useful “dress rehearsal” for next summer's World Cup, which he expects to add around 1.2m hectolitres to A-B InBev's volumes.
Shackleton also said thateconomic headwinds in Brazil appear to be softening and the easing of food inflation is having a “positive impact” on disposable income.
Anheuser-Busch InBev Germany’s strategic direction is mainly in line with the international parent company and the company does not have a lot of room for self-governance. Partial autonomy is granted,...
Anheuser-Busch InBev's plan to buy back Oriental Brewery serves as the strongest indictment yet of the rude health the global brewer is currently in....
InBev Italia’s strategy for the forecast period will be to continue its occasion-based marketing, and to promote its products. The company will concentrate its efforts on meeting consumers’ expectatio...
Inbev will continue to focus on premiumisation, adding value and Increasing its channel coverage over the forecast period. The company will continue to invest heavily in marketing support and new prod...
AB InBev France SAS is strongly positioned in speciality, abbey-style dark beer in France and it is expected to maintain its stronghold in this category through innovation, continuing to launch new sp...
- American whiskey does a vodka - Analysis
- Battle continues for Pernod Ricard in US and China
- Pernod Ricard's FY Performance by Region, Brand
- Japan follows in Scotch whisky's footsteps
- Why consumers don't care about vodka's provenance
- Pernod Ricard "in line" after full-year results
- New whisky distillery set for Edinburgh
- India overtakes France for Pernod Ricard
- Diageo launches glass Bulleit & Cola bottles
- Corby's FY suffers from US focus
- Future growth opportunities for global spirits
- Global gin insights - market data, product innovation and consumer trends research
- Pernod Ricard SA - Mergers & Acquisitions (M&A), Partnerships & Alliances and Investment Report
- Global rum insights - market forecasts, product innovation and consumer trends research
- Global vodka insights - market forecasts, product innovation and consumer trends research