Anheuser Busch InBev Stock Rises Amid Positive Q2 Performance
Rising sales
InBev reported mixed results across its business that ultimately translated into weaker global sales. Revenue rose 3% as price increases offset a 1% drop in worldwide volumes.
The company is still facing soft beer demand in the U.S. market due to a contracting industry. The good news is that InBev is gaining market share despite those challenges and is boosting profitability, as well, thanks to price increases and cost cuts. "We are encouraged by our results to start the year," CEO Michel Doukeris said in a press release.
Looking ahead
Investors can look for rising profit margins throughout the rest of the year, which will likely power improving earnings trends in 2024 and beyond. As for growth, InBev is focused on several promising initiatives, including supporting popular brands like Corona and Stella Artois while pushing into more non-beer beverages.
It may take time for these efforts to speed sales growth, as most Wall Street pros see revenue rising by just 5% in 2025. Still, continued steady progress should support more positive shareholder returns from the alcoholic-beverage giant.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.