Anheuser-Busch InBev Reports Strong Q1 2025 Earnings

Anheuser-busch Inbev ((BUD)) has held its Q1 earnings call. Read on for the main highlights of the call.

The recent earnings call for Anheuser-Busch InBev highlighted a robust financial performance, characterized by significant growth in EBITDA and notable advancements in the no-alcohol beer segment and digital platforms. Despite facing challenges such as a decline in volume due to calendar factors and underperformance in China, the company managed to achieve positive outcomes, including market share gains in the U.S. and digital growth, which outweighed the negatives.

Strong EBITDA Growth

Anheuser-Busch InBev reported a 7.9% growth in EBITDA, reaching the top end of their outlook range. This growth was accompanied by continued margin expansion, demonstrating the company’s effective cost management and operational efficiency.

No-Alcohol Beer Portfolio Outperformance

The no-alcohol beer portfolio showed impressive performance with a 34% increase in revenues globally. This growth highlights the rising consumer demand for no-alcohol options and the company’s successful positioning in this segment.

Marketplace GMV Increase

The company’s beer marketplace GMV saw a substantial increase of 53% compared to the previous year, reaching $645 million. This growth reflects the company’s strategic focus on enhancing its digital sales channels.

U.S. Market Share Gains

Anheuser-Busch InBev made significant strides in the U.S. market, gaining volume market share in both the beer industry and the spirits-based ready-to-drink category. This achievement underscores the company’s competitive strength in a key market.

Record High Volumes in South America

In South America, particularly Brazil, the company delivered record high volumes for both beer and non-beer products, with a total volume increase of 1.4%. This growth was driven by strong consumer demand in the region.

Corona’s Global Growth

Corona continued its global expansion, with revenue growing by 11.2% outside of Mexico. The brand was also recognized as the most valuable beer brand in the world in 2025, reinforcing its international appeal.

Strong Digital Platform Performance

The company’s digital platform, BEES, captured $11.6 billion in GMV, marking a 10% increase from the previous year. With 32 million orders transacted, the platform’s performance highlights the company’s digital transformation success.

Optimized Business Operations

Anheuser-Busch InBev achieved a 218 basis point improvement in EBITDA margins, with expansion in four out of five operating regions. This optimization reflects the company’s focus on enhancing operational efficiency.

Volume Decline

Overall volume performance was negatively impacted by calendar-related factors, resulting in a 2.2% decline. Despite this setback, the company managed to maintain revenue growth through strategic initiatives.

Adverse Weather Impact in the U.S.

Adverse weather conditions and the later timing of Easter affected the overall industry performance in the U.S. during the first quarter, presenting challenges for the company’s operations.

Underperformance in China

The company faced underperformance in China, primarily due to softness in key regions and the on-trade channel. This remains a challenge for Anheuser-Busch InBev as it seeks to strengthen its presence in the Chinese market.

Forward-Looking Guidance

During the earnings call, Anheuser-Busch InBev provided forward-looking guidance emphasizing reliable growth and strategic priorities. The company maintained its 2025 outlook of 4% to 8% EBITDA growth and highlighted ongoing optimization efforts, contributing to a 218 basis point improvement in EBITDA margins. The diversified geographic footprint and strong performance in regions like Middle Americas, South America, Africa, and Europe support consistent results.

In summary, Anheuser-Busch InBev’s earnings call painted a picture of strong financial health, with significant growth in key areas such as EBITDA and digital platforms. Despite facing challenges in volume decline and underperformance in China, the company’s strategic initiatives and market share gains in the U.S. demonstrate its resilience and potential for future growth.