AB InBev (BUD) Shares Gain 7% as Q1 Results Top Forecasts

Summary

• AB InBev shares climbed approximately 7% following a Q1 earnings beat, with earnings per share reaching $0.97 compared to the $0.89 estimate.
• Organic total volumes increased by 0.8%, marking the first growth in this metric in three years.
• Beer-specific volumes rose 1.2%, fueled by record-breaking performance in Latin American markets.
• The company reported revenue of $15.27 billion, surpassing the $14.8 billion projected by analysts.
• Management maintained its full-year EBITDA growth forecast of 4%–8%, citing the upcoming FIFA World Cup as a major sales driver.

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(SeaPRwire) –   Wall Street responded positively to AB InBev’s first volume expansion in three years during the first quarter of 2026. Shares surged nearly 7% in early Tuesday trading as the Budweiser producer delivered results that exceeded expectations for both revenue and profit.

Anheuser-Busch InBev SA/NV, BUD

Adjusted earnings per share hit $0.97, an increase from $0.81 the previous year and higher than the $0.89 consensus. Revenue reached $15.27 billion, beating the $14.8 billion estimate with organic growth of 5.8%.

Total organic volumes saw a 0.8% uptick, ending a downward trend that began in mid-2023 due to inflationary pressures and a shift toward healthier lifestyles.

AB InBev Q1 26 Results: • Revenue: $15.27B (vs $14.84B expected) • Organic Revenue: +5.8% (vs +3.15% expected) • Organic Volume Growth: +0.8% (vs -0.31% expected) • Adj EBITDA Margin: 35.6% (vs 35.4% expected)

— First Squawk (@FirstSquawk) May 5, 2026

Specific to beer, volumes grew 1.2% year-over-year, supported by record sales across several Latin American regions.

CEO Michel Doukeris celebrated the results, stating, “Cheers to beer.”

However, North America remains a challenge, with beer volumes in the region continuing to slide year-over-year, serving as a reminder that some areas are still struggling.

Bud Light, formerly the top brand in the U.S., lost its lead in 2023 following marketing controversies. While Constellation Brands’ Modelo Especial briefly took the lead, Michelob Ultra has since risen in popularity due to its low-calorie and low-carb profile.

Investors remain curious if Michelob Ultra’s growth can offset the decline of older brands, a question that remains open.

Non-Alcoholic Portfolio Gains Momentum

The company’s expansion into non-alcoholic beer is becoming a significant revenue stream. Sales in this segment grew 27% in Q1 2026, following a 34% increase throughout 2025.

Corona Cero led this category with strong double-digit volume growth. Other alcohol-free options include Budweiser Zero, Michelob Ultra Zero, and alcohol-free versions of Stella Artois.

AB InBev is banking on the idea that health-conscious consumers will still choose beer, even if they are avoiding alcohol.

Adjusted net profit for the quarter was $1.92 billion, while EBITDA reached $5.44 billion, matching revenue growth with stable margins.

Focus on the World Cup

The company stood by its full-year EBITDA growth target of 4% to 8%. Executives highlighted a busy sports schedule, including the FIFA World Cup in the U.S., Canada, and Mexico, as a potential boost.

The Super Bowl and Winter Olympics were also mentioned as key events that could drive volume growth throughout the year.

RBC Capital Markets described the report as a “relief,” suggesting the Q1 performance supports the stock’s current valuation. Analysts anticipate full-year EBITDA growth of roughly 5.1%.

Similar volume recoveries reported by Carlsberg and Heineken suggest a broader industry-wide rebound is taking place.

AB InBev’s American depositary receipts rose 6.8% in Tuesday’s premarket, reaching the upper end of their recent trading range after a period of volatility that started in March.