Anheuser Busch Inbev SA (NYSE:BUD) reported its third quarter results for 2025, revealing a 3.3% increase in normalized EBITDA and underlying earnings per share (EPS) growth of 1.0%. Revenue for the quarter rose by 0.9%, attributed to strong performance from megabrands such as Corona, which saw a 6.3% revenue increase outside its home market. Non-alcoholic beer saw revenue growth of 27% in the same period.
Despite revenue growth, volumes declined by 3.7%, with beer volumes down by 3.9%. This decline was largely affected by challenging conditions in China and adverse weather in Brazil. For the first nine months of 2025, reported revenue fell by 2.6% year-over-year to $43.764 billion, primarily due to unfavorable currency translation effects; on an organic basis, revenue grew 1.8% with normalized EBITDA up 5.8% and margin expansion.
The company announced a $6 billion share buyback program and an interim dividend of €0.15 per share, highlighting its focus on returning value to shareholders. Furthermore, normalized EBITDA for nine months rose by 5.8% with margin expansion.
#Investor Takeaway
AB InBev's solid earnings performance and capital return strategy are relevant for investors.
#Market Impact
The solid earnings report may boost investor confidence and provide upward momentum for shares. The approved buyback program signals a strong commitment to shareholder returns, potentially supporting share price stability or growth in the near term.
#What’s Next
Investors should closely monitor the execution of the share buyback program and the upcoming earnings reports for continued insights into the company’s performance and capital allocation strategy.