Budweiser parent cuts interim dividend, 3Q net profit falls
A Budweiser delivery truck parked on Higuera St. in San Luis Obispo, CA.
Anheuser-Busch InBev,slashed its proposed dividend by half on Thursday as improved beer sales in Mexico, Europe and parts of Africa offset declines in its largest markets of the United States and Brazil.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| BUD | ANHEUSER-BUSCH INBEV | 60.03 | -0.23 | -0.38% |
The Belgium-based brewer of Budweiser, Stella Artois and Corona said it will pay a dividend of 1.80 euros per share for 2018, including a 0.80 euro interim amount, compared with 3.60 euros last year.
The world's largest brewer said dividends would increase over time, but growth would be modest in the short term, according to Reuters.
AB InBev paid about $100 billion to buy its nearest rival SABMiller in 2016.
AB InBev's beer sales have declined in the United States, the company’s key market.
Revenues saw an increase this year, helped by price hikes and consumers' shift to higher-priced beers, however, core earnings dropped due to commodity costs.
In Brazil, the company's second-largest market, beer sales declined as disposable income barely rose and consumer sentiment fell.