Anheuser-Busch InBev has reported weaker-than-expected figures for its fiscal first quarter, despite demand for its premium brands.
For the quarter, revenue was down 10% to $9.4bn, while volumes were down 1.7%. Net profit, meanwhile, slumped by 95%, largely due to refinancing costs related to the SABMiller acquisition.
The group said volume declines were hurt by weakness in Brazil (-10%), although this was somewhat offset by growth in Mexico (+13%). AB InBev also recorded modest growth in Europe (+1.8%), but recorded declines in North America (-1.1%) and Asia-Pacific (-0.5%).
Its three ‘global brands’ – Corona, Stella Artois and Budweiser – reported a 5.9% increase, as a 22% jump at Corona and a 0.6% uptick at Budweiser offset a 2% decline at Stella Artois.
AB InBev said it is making “good progress” towards getting regulatory clearances for the SABMiller deal, and still expects the same to be completed in the second half of 2016. It also reiterated its full-year forecast of revenue to grow “organically” ahead of inflation.