Belgian brewer reveals summer hangover
Stella Artois brewer InBev reported disappointing third quarter figures today after dismal summer weather dented sales in Europe.
InBev said UK volumes for the three months to September 30 declined 5.2% on a year earlier, reducing its market share in difficult trading conditions.
Overall volumes of Stella Artois were down 1.1% in the period, as the negative performance in the UK could not be fully offset by increases in the United States, Latin America and south and eastern Europe.
Beck’s volumes decreased by 5.5% following weaker sales in Germany, offset by better trading in the UK and central and eastern Europe.
The Belgium-based brewer has lost market share in the UK amid a wider tumble in demand for beer and lager in the region.
However, sales have been stronger in other countries, with total third quarter group revenues up by almost 5% to €3.78bn.
Despite the pressure on commodities, InBev said it was confident that its cost of sales figure will be below inflation for the full year. As a result net profits grew by 5% to €522m in the third quarter.
InBev chief executive Carlos Brito said: “Overall our Q3 performance was below our expectations. Cost management programmes were key to offset the weaker top line results, mainly in the UK and China, and the commodity price pressure.”
The company employs almost 88,000 people worldwide, with sales in over 130 countries. Other brands include Leffe and Brahma.
