AB InBev's Q4 Earnings Ahead: Will Results Surprise Investors?

Core Viewpoint - Anheuser-Busch InBev is expected to report year-over-year growth in both revenue and earnings for the fourth quarter of 2025, with anticipated revenues of $15.6 billion and earnings per share of 92 cents, reflecting growth of 5% and 4.6% respectively from the previous year [1][2][10] Financial Performance Expectations - The Zacks Consensus Estimate for quarterly revenues is $15.6 billion, indicating a 5% increase from the same quarter last year [2] - The consensus estimate for earnings per share is 92 cents, suggesting a 4.6% growth compared to the prior year's figure [2] - In the last reported quarter, the company's earnings per share exceeded the Zacks Consensus Estimate by 5.1%, with an average earnings surprise of 8.4% over the last four quarters [3] Factors Influencing Q4 Results - AB InBev's results are expected to benefit from strategic measures such as pricing actions, premiumization, and revenue management initiatives, alongside strong consumer demand for its brand portfolio [4] - The company's focus on premium beer offerings aligns with consumer preferences, and its diverse portfolio of global and specialty brands is expected to support performance [5] - However, the company faces challenges from soft volumes in key markets like China and Brazil, indicating that revenue growth is primarily driven by price/mix rather than consumption growth [6] Cost and Macro Challenges - Elevated costs from commodity inflation, supply chain issues, and investments for long-term growth are anticipated to impact quarterly performance [7] - A challenging macroeconomic environment, particularly in China and Argentina, along with currency and interest rate fluctuations, may also weigh on results [7] Valuation and Stock Performance - The stock has a forward 12-month price-to-earnings ratio of 18X, compared to a five-year high of 23.71X and the industry average of 16.37X [11] - Over the past six months, AB InBev shares have increased by 23.5%, outperforming the industry average increase of 9.9% [13]