AB InBev report 2018
AB InBev report 2018 shows 4.8% revenue growth. Caption: Felipe Tofani

Anheuser-Busch InBev (AB InBev), the world’s largest brewer, predicts strong revenue and profit growth in 2019 after recording higher than expected sales growth in 2018.

The Budweiser, Corona and Stella Artois brewer aims to draw developed market consumers back to beer from wine and spirits through a wider range of premium lagers, and attract emerging market drinkers with affordable beers.

Revenue grew by 4.8% in 2018 and by 5.3% in the fourth quarter (Q4) 2018 with revenue per hectolitre (hl) growth of 4.5% in 2018 and 4.9% in Q4 2018. AB InBev said these results were “driven by global premiumisation and revenue management initiatives”.

On a constant geographic basis, revenue per hl grew by 4.7% in 2018 and by 4.6% in Q4 2018.

Total volumes grew by 0.3% in 2018, with own beer volumes up 0.8% and non-beer volumes down 3.6%. Q4 total volumes increased by 0.3% with own beer volumes up by 1.2% and non-beer volumes down by 4.9%.

Combined revenues for the three global brands, Budweiser, Stella Artois and Corona, grew by 9% in full-year 2018 and by 9.8% in Q4 2018. Outside of their respective home markets, the global brands grew by 13.1% in full-year 2018 and by 12.6% in Q4 2018.

Cost of sales (CoS) increased by 4.7% in 2018 and by 4.3% on a per hl basis. On a constant geographic basis, CoS per hl increased by 4.6% in 2018. In Q4 2018 results, CoS increased by 6.5% and by 6% on a per hl basis. On a constant geographic basis, CoS per hl increased by 6% in Q4 2018.

Normalised profit attributable to equity holders of AB InBev was down to $6,793m in full-year 2018 from $7.967m in 2017, and was $1,574m in Q4 2018 from $2,054m in Q4 2017.