AB InBev posted its Q1 results today

AB InBev posted its Q1 results today

Earlier today, Anheuser-Busch InBev reported an increase in underlying Q1 net sales driven by its main brands, Budweiser, Corona and Stella Artois. Here, just-drinks takes a closer look at the company's quarterly performance by region.

Anheuser-Busch InBev First-Quarter 2017 - Sales by Region

Source: Company results

  • North America: sales -2%, volumes -4%

The US dragged down North American sales and volumes as AB InBev's sales to retailers (-3%) declined more than the industry average (-2%). The company said Bud Light volume trends were "mixed" following a few years of headwinds for the brand, which is the biggest by volume in the US. Overall, Bud Light volumes were down. Budweiser volumes were also down in the US, by mid-single digits, with a market share loss of approximately 35 bps, AB InBev said. Canada grew sales despite a volumes decline.

  • Latin America West : sales +3, volumes -0.5%

Colombian volumes fell by 8% and sales by 5% because of a VAT increase at the start of the year that weakened consumer demand. AB InBev still managed to gain share in the quarter. Mexico performed well, with volumes up low single digits and sales growing by high single digits. Meanwhile, Peru grew sales by 3% on flat volumes and Ecuador posted double-digit beer volume declines as the country continued to recover from a recession and the April 2016 earthquake.

  • Latin America North: US: sales +2%, volumes +2%

Brazil continued to struggle, with sales per hectolitre down 2% and EBITDA plunging 23%. However, beer volumes climbed by 3% against a decline in the overall market, and Budweiser volumes surged by 30%. Non-beer volumes were flat.

Anheuser-Busch InBev First-Quarter 2017 - Net Volumes by Region

Source: Company results

  • Latin America South: sales +27%, volumes +3%

Argentina, Chile, Bolivia, Uruguay and Paraguay delivered "strong" beer volume growth despite soft drinks declines, AB InBev said. The brewer added that its global brands, Budweiser, Corona and Stella Artois, performed especially well in the region, with volumes and sales up by double digits.

  • Europe, Middle East & Africa: sales +5%, volumes +3%

South Africa posted a mid-single-digit sales jump driven by pricing. Beer volumes fell 2%. Western Europe grew sales by mid-single digits, driven by double-digit growth in the UK assisted by the launch of Bud Light. Eastern Europe sales declined.

  • Asia-Pacific: sales +8%, volumes +2%

AB InBev said its China unit "had a great start to the year", with sales up 11% and volumes climbing by 5%. "The occasion-focused expansion strategy of Budweiser is helping the brand to gain momentum in key regions," the brewer said, adding that its overall market share in the country is now above 20%.