Month: February 2019

AB InBev posts weak results amid low consumer demand, hedging losses

BUSINESS
AB InBev on Thursday reported a 15% decline in profit for the full year 2018, to $6.8bn. The brewing giant put the blame on consumption contraction in key markets – Brazil, Argentina, United States and South Africa as well as hedging losses linked to its share-based payment programs. The company said that total beer volumes fell by 7.43%, although combined revenues of its three global beer brands – Budweiser, Stella Artois and Corona grew by 9%. The company said that full year revenue declined by 3% to $54.6bn from $56.4bn in 2017. In Nigeria AB InBev said that growth accelerated following the opening of its new Sagamu brewery mid-year 2018 to meet demand, with revenue growth of 50% in the fourth quarter and 25% growth in the full year. Revenue growth was driven by double-digit beer volume