The Belgium-based group – the world’s biggest brewer – said revenues rose 0.7% to an all-time high of $59.77bn (£47.27bn) in 2024
The brewing giant that serves up Corona and Stella Artois, AB InBev, has celebrated a peak in yearly sales, despite facing challenging times in the Chinese market.
The Belgium-headquartered operation—the largest brewery worldwide—boasted a revenue rise of 0.7% to $59.77bn (£47.27bn) in 2024. China posed challenges, with sales by volume experiencing a steep 19% decline in the year’s final quarter. This was partly attributed to stocking snags, complemented by faltering demands in watering holes across the country. China’s contribution to underlying earnings saw a dip of 11.9% throughout the year.
Nevertheless, the giant managed to counterbalance its Chinese setback, thanks largely to robust sales of its pricier premium brews like Corona and Michelob Ultra. Additionally, its no- and low-alcohol beverages notched impressive results, with the company’s alcohol-free range raking in a “low-20s revenue increase” spearheaded by Corona Cero.
“We are the leader in no-alcohol beer in many of our key markets, including the US, Brazil and Belgium, and see significant headroom for future growth,” the group expressed with confidence. .
On a wider scale, AB InBev relished an 8.2% surge in their underlying operating profits to $20.96bn (£16.58bn) for the year of 2024. Specifically, in the fourth quarter, it outdid predictions with organic operating profit growth reaching 10.1% at $5.23bn (£4.14bn), compared to analysts’ expectations of 7.7%—this news propelled shares up by 8%.
Looking forward, AB InBev is optimistic for the upcoming year. Despite the volatile market conditions in certain regions, the company expressed confidence in meeting its projections. Susannah Streeter, head of money and markets at Hargreaves Lansdown, commented: “AB InBev has managed to pour out impressive results despite a sharp drop in volumes in China and weakness in Argentina.
“Corona sales crowned company results, helping deliver record revenues. The label may be more expensive, but a combination of taste and branding has been a winning formula for the company. Although this shows that demand in other markets is still pumping and costs are being kept under control, there will be concerns about future growth if the slowdown in China takes hold,” she said.