Prost! AB InBev’s global results reveal just how well beer builds better business

The brewing giant’s 13.2% top-line growth was driven by pricing actions, ongoing premiumisation and other revenue management initiatives. 

Ebitda increased by 13.6% despite expected commodity cost headwinds, while increasing sales and marketing investments in its brands. Underlying dollar earnings per share increased by 8.7%.

About 62% of group revenue was driven through B2B digital platforms, with the monthly active user base of BEES (its business-to-business e-commerce platform) reaching 3.1 million users. More than $100-million of group revenue was generated by its digital direct-to-consumer ecosystem.

AB InBev launched BEES three years ago to empower its small and medium-sized retail partners and help grow their businesses.

BEES captured about $8.2-billion of gross merchandise value (GMV) – a 32% increase on Q1 of 2022, with 62% of revenue through B2B digital channels.

The BEES Marketplace is live in 15 markets and generated an annualised GMV of about $1.2-billion, with 59% of BEES customers now also marketplace buyers.

Outside their respective home markets, Budweiser, Stella Artois and Corona increased by 15.4% in combined revenues.

More than 30% of AB InBev’s global revenue growth came from its no-alcohol beer portfolio, chiefly Budweiser Zero in Brazil and the US, where the brand was the #1 no-alcohol beer by volume in Q1 2023, and growth of Corona Cero across Canada and Europe. 

Its digital direct-to-consumer products are also driving a better understanding of its customers, through “consumption occasions” such as soccer sponsorships (eg Brahma Soccer Wednesdays) and Corona Sunsets music festivals.

AB InBev’s premium beer portfolio grew revenue by mid-teens, led by double-digit growth of Michelob ULTRA in the US and Mexico, and double-digit growth of Original and Spaten in Brazil. Global brands grew revenue by 15.4% outside their home markets, led by Budweiser (up 17.8%), supported by the return of consumer demand in China and continued growth in India. 

Stella Artois grew by 13.3% and Corona by 11.9%.

The Beyond Beer business contributed over $325-million of revenue and grew by low-single digits as growth globally was partially offset by a soft malt-based seltzer industry in the US. 

Within the spirits-based ready-to-drink segment, Cutwater and NÜTRL vodka seltzer combined grew revenues by over 50% in that market. 

In Brazil, Beats delivered over 75% revenue growth. 

SA operations