Financial Data and Key Metrics Changes - In Q1 2025, total volumes and revenue decreased by 6.1% and 7.5% respectively, with revenue per hectoliter declining by 1.5% due to negative geographic and channel mix [7][8] - Normalized EBITDA decreased by 11.2%, and the normalized EBITDA margin contracted by 140 basis points [7] - In APAC West, volumes and revenue decreased by 8.6% and 11.7% respectively, with normalized EBITDA decreasing by 17.6% [7][8] Business Line Data and Key Metrics Changes - In China, volumes declined by 9.2%, with revenue declining by 12.7% and revenue per hectoliter down by 3.9% [8] - The in-home channel saw increased volume and revenue contributions, indicating a shift towards premiumization in this segment [9] - In APAC East, volumes and revenues increased by 11.9% and 11.7% respectively, with normalized EBITDA increasing by 24.4% [11] Market Data and Key Metrics Changes - In South Korea, volume increased by double digits, supported by shipment phasing ahead of a price increase announced in April [12] - The company reported strong performance in the in-home channel, with a focus on expanding distribution and market share [30] Company Strategy and Development Direction - The company aims to adapt to evolving market conditions and execute with discipline to capture growth, focusing on market share, in-home channels, and mega brands like Budweiser and Harbin [5][20] - The strategy emphasizes premiumization and a digitalized ecosystem, with a commitment to optimizing business operations [20][76] Management's Comments on Operating Environment and Future Outlook - Management noted that consumer confidence in China remains low, impacting sales, particularly in Guangdong, but sees potential for improvement during holiday periods [17][56] - The company is focused on executing its strategy effectively, with an emphasis on enhancing distribution and expanding the in-home channel [49] Other Important Information - The company has increased marketing investments for Budweiser and Harbin to connect with consumers and drive market share [10] - The usage and reach of the BEES platform for B2B wholesaler and customer engagement continued to expand, indicating a focus on technology and commercial capabilities [11] Q&A Session Summary Question: Update on Q2 performance in China - Management indicated that consumer confidence remains low, particularly in key regions, but sees potential for improvement during holiday periods [17] Question: Competition in Guangdong province - Management acknowledged the competitive landscape in Guangdong and emphasized the importance of expanding in-home coverage and distribution to maintain market share [30] Question: Core plus plus strategy and trade-up volume - Management explained that the core plus plus segment serves as an accessible upgrade for consumers, with a focus on superior product offerings to drive growth [39] Question: Impact of tariffs in Guangdong - Management stated it is too early to quantify the impact of tariffs on consumer behavior but emphasized focusing on execution and adapting strategies as needed [46] Question: On-trade recovery in China - Management remains conservative about on-trade recovery, noting that consumer confidence is a key factor and that in-home consumption continues to grow [56] Question: Cooperation with Swire - Management highlighted successful trials in Hubei and Anhui provinces and expressed optimism about future collaboration opportunities [86] Question: Future of Harbin Beer - Management emphasized Harbin's unique position as a national brand with a strong heritage and commitment to premiumization, aiming to leverage its brand power for growth [92]