Anheuser-Busch InBev Beats up on Analysts yet Again

Seth Jayson, The Motley Fool
Updated

Anheuser-Busch InBev (NYS: BUD) reported earnings on July 31. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended June 30 (Q2), Anheuser-Busch InBev met expectations on revenues and beat expectations on earnings per share.

Compared to the prior-year quarter, revenue contracted slightly and GAAP earnings per share expanded significantly.


Gross margins expanded, operating margins contracted, net margins expanded.

Revenue details
Anheuser-Busch InBev booked revenue of $9.87 billion. The 13 analysts polled by S&P Capital IQ looked for revenue of $9.85 billion on the same basis. GAAP reported sales were 0.8% lower than the prior-year quarter's $9.95 billion.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
EPS came in at $1.22. The four earnings estimates compiled by S&P Capital IQ predicted $1.12 per share. GAAP EPS of $1.19 for Q2 were 34% higher than the prior-year quarter's $0.89 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 57.4%, 90 basis points better than the prior-year quarter. Operating margin was 29.4%, 120 basis points worse than the prior-year quarter. Net margin was 19.9%, 530 basis points better than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $10.40 billion. On the bottom line, the average EPS estimate is $1.27.

Next year's average estimate for revenue is $39.96 billion. The average EPS estimate is $4.67.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 240 members out of 260 rating the stock outperform, and 20 members rating it underperform. Among 70 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 65 give Anheuser-Busch InBev a green thumbs-up, and five give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Anheuser-Busch InBev is outperform, with an average price target of $80.46.

The article Anheuser-Busch InBev Beats up on Analysts yet Again originally appeared on Fool.com.

Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool has no positions in the stocks mentioned above. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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