Budweiser APAC Results Call Tone & Key Takeaways 20260730

English summary

1. China: [On-trade] remains weak, no obvious recovery in Q2, and the market remains weak after July. Therefore, we remain cautious and it is hard to expect significant improvement in revenue and profit in Q3. [Off-trade] The phased increase in investment and lower profit margin compared to on-trade will both affect the company's profit margin. The company's top priority in the Chinese market remains stabilizing sales volume. Looking to H2, China sales may continue to face pressure, and the company will continue channel and brand investment. 2. South Korea: Against the backdrop of declining industry sales, Budweiser sales were roughly flat, indicating still solid performance, while profit margins also improved. As the company has hedged some costs for H2 and 2027, the Korean business will begin to face some cost pressure. 3. India: Continued positive surprises, with strong double-digit revenue growth and improving EBITDA. Although India's business is still small in scale, its contribution to the group's overall performance is gradually increasing. ...