Anheuser-Busch Inbev Earnings: BUD Stock Spills 10% on Revenue Miss

BUD missed EPS and revenue estimates for Q3

Anheuser-Busch Inbev (NYSE:BUD) earnings for the alcohol company’s third quarter of 2019 have BUD stock spilling on Friday. This is due to its normalized EPS with exceptions coming in at 94 cents. That’s a far cry from Wall Street’s estimate of $1.13 for the quarter. Revenue of $13.17 billion is also a bust by missing analysts’ estimates of $13.82 billion.

Anheuser-Busch Inbev Earnings: BUD Stock Spills 10% on Revenue Miss
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Let’s look further into the third-quarter Anheuser-Busch Inbev earnings report.

  • Normalized per-share earnings with exceptions are down 15.32% $1.11from the same time last year.
  • Revenue is up 1.94% YoY from $12.92 billion.
  • Gross margin for the quarter comes in at 61.00%, as compared to 62.40% in Q3 2018.
  • Profit from continuing operations for the quarter comes in at $2.93 billion.
  • This is a 250.06% increase over $837.00 million from the same time in 2018.
  • Anheuser-Busch Inbev earnings from the third quarter of 2019 have normalized profit sitting at $2.41 billion.
  •  That’s 58.55% better than its $1.52 billion from the same period of the year prior.

The Anheuser-Busch Inbev earnings report includes the following statement from management.

“The third quarter of 2019 was challenging, primarily driven by three anticipated factors: shipment phasing into 2Q19 in China ahead of summer activations, higher cost of sales per hl from significant commodity and transactional currency headwinds, and the year-over-year phasing of our sales and marketing investments driven by the 2018 FIFA World Cup RussiaTM. In addition, price increases implemented in South Korea and Brazil drove volume declines, which were exacerbated by softer consumer demand in light of difficult macroeconomic conditions.

BUD stock was down 10.70% as of Friday afternoon.

As of this writing, William White did not hold a position in any of the aforementioned securities.


Article printed from InvestorPlace Media, https://investorplace.com/2019/10/anheuser-busch-inbev-earnings-drop-bud-stock/.

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