Anheuser-Busch InBev Earnings: Record Revenue & Strong Cash Flow Boost Growth
- Hardik Shah
- Feb 26
- 3 min read
TL;DR
Financial Performance: Revenue grew to $59.8 billion (+2.7% YoY), EBITDA rose 8.2%, and underlying EPS increased 15.4% to $3.53.
Market & Operational Trends: Strong performance in premium and no-alcohol beer segments, offset by weak consumer demand in China and Argentina.
Future Growth Drivers: Investments in digital platforms, premium brands, and market expansion to sustain momentum.
Anheuser-Busch InBev Earnings Q4'24
Revenue & Volume Trends
Total revenue reached $59.8 billion, growing 2.7% YoY, driven by premiumization and digital expansion.
Revenue per hectoliter increased by 4.3%, reflecting pricing power and premium mix.
Total volume declined by 1.4%, impacted by weak consumer demand in China and Argentina.
Excluding China and Argentina, volumes grew by 0.9%, indicating strength in other key markets.
Profitability & Margins
Normalized EBITDA grew 8.2% YoY to $20.96 billion, with a 179bps margin expansion to 35.1%.
Underlying profit increased 15% YoY to $7.06 billion.
Gross margin expanded 143bps to 55.3%, driven by pricing and operational efficiencies.
EBIT margin improved 160bps to 25.9%, reflecting strong cost control.
Earnings Per Share & Cash Flow
Underlying EPS grew 15.4% YoY to $3.53, supported by strong EBITDA growth and lower finance costs.
Free cash flow surged $2.5 billion, reaching $11.3 billion, reinforcing AB InBev’s financial flexibility.
Balance Sheet & Capital Allocation
Net debt-to-EBITDA improved to 2.89x, falling below 3.0x for the first time since 2015.
Dividend per share proposed at €1.00, marking a 22% increase YoY.
Share Buyback: $750 million of the $2 billion program completed.
"We delivered EBITDA growth at the top end of our outlook and a step change in our free cash flow generation. We are investing for the long term and are confident in our ability to lead and grow the category." – Michel Doukeris, CEO
Operational Performance
Industry & Market Trends
Premiumization Continues: Premium and super-premium beer now account for 35% of revenue, with Corona and Budweiser leading growth.
No-Alcohol Beer Growth: Corona Cero saw triple-digit volume growth, reinforcing AB InBev’s leadership in the segment.
Digital Acceleration: 75% of AB InBev’s revenue now comes from B2B digital platforms like BEES, which saw 57% GMV growth YoY.
Key Business Milestones
Strong U.S. Performance: Michelob Ultra and Busch Light were the #1 and #2 volume share gainers in the industry.
Expanding in Emerging Markets: Mexico, Colombia, and South Africa saw record-high volumes.
Resilience in Europe: Premium brands Stella Artois and Corona outperformed the market.
Challenges in China & Argentina: Soft consumer demand led to volume declines, but AB InBev remains committed to long-term growth in these markets.
"Our diversified geographic footprint and leadership positions across markets position us well to capture future category growth." – Michel Doukeris, CEO
Strategic Initiatives
AB InBev continues to execute on its three-pillar strategy:
Lead & Grow the Category:
$7.2 billion invested in sales & marketing.
Premium brands accounted for 57% of revenue, growing 4.6% YoY.
Major sponsorships include Super Bowl, FIFA Club World Cup, and Lollapalooza.
Digitize & Monetize the Ecosystem:
BEES Marketplace saw 57% GMV growth to $2.5 billion.
DTC platforms like Zé Delivery and TaDa Delivery generated $560 million in revenue.
Optimize the Business:
EBITDA margin expanded 179bps due to cost efficiencies.
Net CapEx declined to $3.7 billion, reflecting disciplined resource allocation.
Debt reduced by $6.9 billion, reinforcing financial health.
"We are uniquely positioned to activate the category, connect with consumers, and create a future with more cheers." – Michel Doukeris, CEO
The Bottom Line
AB InBev delivered record revenue and strong earnings growth in FY24 despite volume pressures. The company’s premiumization strategy, digital acceleration, and disciplined cost management are driving sustained profitability. With strong free cash flow, increased dividends, and capital flexibility, AB InBev is well-positioned for continued growth in 2025.
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