Slump From Post-Covid High Leaves Budweiser APAC With Earnings Hangover
Portfolio Pulse from The Bamboo Works
Budweiser APAC (OTC: BDWBY) reported a 0.4% decline in Q1 revenues and a 3.4% drop in profits, primarily due to decreased sales in China and South Korea. Despite a focus on high-end beers, competition in the premium beer market is intensifying. Analysts expect potential earnings improvement in the second half of the year.
May 17, 2024 | 2:00 pm
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Budweiser APAC reported a 0.4% decline in Q1 revenues and a 3.4% drop in profits, mainly due to decreased sales in China and South Korea. The company is focusing on high-end beers but faces intense competition. Analysts expect potential earnings improvement in the second half of the year.
The decline in revenues and profits, coupled with intense competition in the premium beer market, is likely to negatively impact Budweiser APAC's stock in the short term. However, potential earnings improvement in the second half of the year could mitigate some of the negative sentiment.
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