Yahoo Finance

• Total Volumes: Decreased by 8.1% in the first 9 months of 2024.

• Revenue: Decreased by 6.1% in the first 9 months of 2024.

• Revenue per Hectoliter: Increased by 2.2%.

• Normalized EBITDA: Decreased by 6.2%.

• Normalized EBITDA Margin: Decreased by 4 basis points.

• Gross Profit Margin: Expanded by 108 basis points.

• Cost of Sales: Decreased by 8.1% overall, or 0.1% on a per hectoliter basis.

• APAC West Volumes: Decreased by 9.4%.

• APAC West Revenue: Decreased by 10.2%.

• APAC West Revenue per Hectoliter: Decreased by 0.9%.

• APAC West Normalized EBITDA: Decreased by 13.3%.

• China Volumes (Q3): Decreased by 14.2%.

• China Revenue (Q3): Decreased by 16.1%.

• China Revenue per Hectoliter (Q3): Decreased by 2.1%.

• APAC East Volumes: Increased by 2.2%.

• APAC East Revenue: Increased by 14.3%.

• APAC East Revenue per Hectoliter: Increased by 11.8%.

• APAC East Normalized EBITDA: Increased by 39.3%.

• APAC East EBITDA Margin: Expanded by 547 basis points.

• Warning! GuruFocus has detected 6 Warning Sign with BDWBF.

Release Date: October 31, 2024

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

• Budweiser Brewing Co APAC Ltd (BDWBF) achieved strong market share gains in South Korea, driven by mid-single-digit volume growth and mid-teens revenue increase.

• The company continues to lead the premiumization of the beer category in China, with Premium and Super Premium portfolios contributing approximately two-thirds of revenue.

• In India, Budweiser Brewing Co APAC Ltd (BDWBF) outperformed the industry with double-digit net revenue growth within its Premium and Super Premium portfolio.

• The company maintained a low-risk rating from Sustainalytics, ranking fourth among 85 beer, wine, and spirits companies, highlighting its commitment to sustainability.

• Budweiser Brewing Co APAC Ltd (BDWBF) expanded its geographic footprint, with Budweiser distribution targeted to increase from 220 to 235 cities in China, indicating a strategic focus on long-term growth.

Negative Points

• Total volumes for the first nine months of 2024 decreased by 8.1%, with revenue declining by 6.1%, reflecting challenges in key markets.

• In China, volumes decreased by 14.2% in the third quarter, impacted by weak consumer sentiment and a soft industry, particularly affecting the on-premise channels.

• Normalized EBITDA decreased by 6.2%, with a slight decrease in the EBITDA margin, indicating pressure on profitability.

• The company faced adverse channel mix effects, which partially offset the benefits from revenue management initiatives and favorable brand mix.

• Budweiser Brewing Co APAC Ltd (BDWBF) experienced market share losses in China, attributed to low consumer confidence and increased competition from other beer brands.