Budweiser brewer Anheuser-Busch InBev said the soccer world championship and a focus on its more premium labels helped lift revenue and earnings above expectations at the start of the summer.
The world's largest brewer said total sales volumes were 0.9% higher on year organically over the quarter through June, driven by beer volumes rising 1.1%. Analysts had forecast volume growth of 0.7%, according to a consensus of estimates provided by the company.
The FIFA soccer championship that kicked off in June boosted growth of its brand Michelob Ultra in the U.S. and expanded the label across key market in Latin America, the company said.
Revenue outstripped volumes, meanwhile, rising 5.6% on year to $16.66 billion due in part to a concentration on the group's more premium labels. That beat analysts' expectations for revenue growth of 4.4%. The group's said some of its major labels like Corona, Stella Artois and Michelob Ultra booked double-digit revenue growth outside their home markets.
The performance continues a rebound begun at the beginning of the year, when volumes turned positive after a period of sliding demand.
Earnings before interest, taxes, depreciation and amortization meanwhile increased 5.8% on year to $5.94 billion, also ahead of analysts' expectations. Operating margins were "flattish" as the company invested in sales and marketing and offset currency effects, it said.
AB InBev backed its outlook for the year, with Ebitda expected to grow between 4% and 8% compared with a year earlier, in line with mid-term targets.
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