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(Sharecast News) - Shares in AB InBev fizzed on Tuesday, after first-quarter numbers at the world's largest brewer came in ahead of expectations.
The Belgian owner of Corona, Budweiser and Stella Artois posted a 5.8% uplift in revenues in the first three months of the year, to $15.3bn, while operating profits jumped 5.3%, also on an organic basis, to $5.4bn, well ahead of forecasts for 2.6% growth. Underlying earnings per share soared 21% to $0.97.
Volumes, which analysts had expected to fall, rose 0.8%, with an 1.2% uplift in beer volumes helping offset a 1.9% decline in non-beers.
AB InBev said it had been a "solid" start to the year, driven by strong demand for its so-called megabrands as well as the acceleration of its beyond beer portfolio, which includes Cutwater pre-mixed cocktails and Brutal Fruit spritzers.
Beer volumes rose 1.2%, with record performances in various countries including Mexico, Colombia and South Africa.
As at 0900 BST, the Belgium-listed stock was trading 7% stronger.
Michel Doukeris, chief executive, said: "Cheers to beers - the strength of the category and the consistent execution of our consumer-centric strategy drove continued momentum across our footprint. We are investing behind our megabrands and innovations to lead and growth the category."
He added that the company remained "well positioned" for 2026.
Jefferies, which has a 'buy' on the stock, said: "This is a high-quality print, with EPS well ahead. Expect the shares to be better to be better today; consistency of delivery and increasing cash returns should drive double digit total shareholder returns over the med-term and a re-rating."
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