News: Belgium-based brewer Anheuser-Busch InBev (AB InBev) registered a marginal decline in its profits for H112 (ended June 30) due to lower volumes in Q212 and higher transport costs in the US and Brazil. The firm's core operating profits declined 0.13% year-on-year (y-o-y) to US$7.15bn in H112. However, AB InBev's net profits increased 34% y-o-y to US$3.65bn and its net sales rose 1.3% y-o-y in H112. The firm's volumes in the US and Western Europe decreased in H112, although global volumes increased 1% y-o-y, helped by growth in China (5.9%) and Brazil (3.4%) in the same period.
BMI View: Anheuser-Busch InBev controls almost half of the US beer market. Brands include the flagship Budweiser, which is the world's best-selling beer brand; Bud Light, the world's best-selling light beer; and the Michelob and Natural ranges. InBev acquired Anheuser-Busch in August 2008, after increasing its offer to US$50bn. The enlarged firm has annual revenues of over US$36bn and earnings of nearly US$11bn, making it the world's largest brewer.