ABInBev(US:BUD)2026-02-12 15:00Financial Data and Key Metrics Changes - In 2025, the company achieved dollar-based EPS growth of 6% to $3.73 per share, with a 9.4% increase in constant currency, reflecting a CAGR of 6.7% since 2021 [20][21] - EBITDA increased by 4.9%, with margin expansion of 101 basis points, resulting in top-line growth of 2% [6][20] - Free cash flow was maintained at $11.3 billion, allowing for increased share buybacks and a 15% increase in dividends compared to the previous year [6][24] Business Line Data and Key Metrics Changes - The Mega Brands and premium portfolio outperformed the overall business, with Beyond Beer revenue increasing by 23% and non-alcohol beer revenue growing by 34% [5][15] - BEES Marketplace GMV increased by 61% to $3.5 billion, indicating strong growth in the digital marketplace segment [5][17] Market Data and Key Metrics Changes - Revenue increased in 65% of the company's markets, with EBITDA growth in four of five operating regions [7][8] - In the U.S., the company gained market share in both beer and spirits, with significant growth from brands like Michelob ULTRA and Busch Light [9][10] - In China, revenue declined by low teens, but market share trends improved in Q4, indicating potential for recovery [11][45] Company Strategy and Development Direction - The company continues to focus on premiumization, innovation, and expanding its digital ecosystem through the BEES Marketplace [12][17] - The strategy emphasizes long-term growth drivers such as balanced choices, premiumization, and the Beyond Beer segment, which is projected to grow at double the rate of the overall beer category [15][16] - The company aims to leverage its diversified geographic footprint to capture future industry growth, particularly in emerging markets [8][12] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the 2026 outlook, citing improved momentum exiting 2025 and upcoming major events like the FIFA World Cup as opportunities for growth [26][33] - The company remains committed to its strategic priorities despite challenges in 2025, with a focus on maintaining financial discipline and optimizing resource allocation [20][26] Other Important Information - The company achieved its sustainability goals related to water and agriculture, with ongoing efforts in climate and packaging [24][25] - The company plans to maintain a progressive dividend policy and has proposed a final dividend of 1 EUR per share for 2025 [24] Q&A Session Questions and Answers Question: Insights on the role of beer in consumer culture - Management highlighted that beer brings people together for moments of celebration and emphasized the importance of promoting moderate consumption [30][31] Question: Key elements of the U.S. market turnaround - Management credited consistency and strategic investments in brand segmentation as key to the U.S. market turnaround, with plans to apply these learnings to other markets, particularly China [36][40] Question: Update on commercial execution in China - Management noted significant progress in the off-trade channel and a stabilization in the on-trade channel, with cautious optimism for 2026 [43][45] Question: Thoughts on BEES Marketplace scaling - Management expressed confidence in the growth potential of the BEES Marketplace, particularly in the third-party segment, which is becoming increasingly profitable [73][76]