BUD is squeezing more profit from flat beer
- The company sold 561.1 million hectoliters in 2025, down 2.5%, but still grew organic EBITDA by 4.9%.
- Margins improved by 101 basis points in 2025, meaning profit margin rose by 1.01 percentage points.
- Beyond Beer revenue grew 23%, and non-alcohol beer revenue grew 34% in 2025.
- BEES Marketplace reached $3.5 billion of GMV after growing 61%.
- China is still the biggest open question after a weak 2025, even with better Q4 share trends.
Profit is moving before volume
AB InBev is not winning because people suddenly drink much more beer. Total reported volume fell 2.5% in 2025. The bull case is that the company still grew organic EBITDA by 4.9% and expanded margin by 101 basis points, helped by pricing, premium brands, and cost control.
The growth pieces are now easier to see. Beyond Beer revenue grew 23% in 2025, led by Cutwater and other ready-to-drink products. Non-alcohol beer revenue grew 34%. BEES Marketplace, the company’s digital ordering and third-party marketplace system, grew GMV by 61% to $3.5 billion.
The bear case is that beer is still a volume business. China had a hard 2025, with revenue down in the low teens in the internal view and volumes down 8.6% in the annual filing. Brazil was hurt by bad weather and a soft consumer. Emerging market currency moves also reduced reported revenue by $1.3 billion in 2025.
The 2026 setup has clear swing factors. The FIFA World Cup in North America, Budweiser’s 150-year anniversary, growth in no-alcohol beer, and China’s shift toward in-home and online-to-offline channels could help. The new problem is geopolitical control: AB InBev Efes Russian operations were placed under temporary management by Russian decree, which clouds the value of that investment.
Brands, routes, and cans
AB InBev makes money by brewing beer and other drinks, then selling them through wholesalers, retailers, bars, restaurants, stadiums, grocery stores, and digital channels. Its biggest edge is scale. A brand like Corona or Budweiser can be advertised globally, while local brands such as Busch Light can win in one market.
The company also tries to move drinkers toward higher-priced choices. That can mean premium beer, zero-alcohol beer, or spirits-based ready-to-drink cans. If consumers trade up, AB InBev can grow revenue even when liters sold are flat or down.
BEES is the digital layer. It helps small stores and other customers place orders, and it also runs a marketplace for third-party products. That can make the route to market stickier and add fee-like revenue over time, though it is still much smaller than the beer business.
The model breaks when consumers buy less, switch to cheaper brands, or move from higher-margin bars and restaurants to lower-margin home drinking. It also breaks when input costs, currencies, taxes, or weather move faster than the company can raise prices.
What BUD sells
Global mega-brands
Corona, Stella Artois, and Budweiser are the global flagships. They carry the premium story and help the company earn more per drink.
North American core brands
Michelob ULTRA and Busch Light are key share gainers in the U.S. They matter because the U.S. business is still a large profit pool.
Beyond Beer
This includes spirits-based ready-to-drink products such as Cutwater. Beyond Beer revenue grew 23% in 2025, and Cutwater has become a major U.S. spirits brand.
Non-alcohol beer
Corona Cero, Michelob Ultra Zero, and other no-alcohol beers give AB InBev a way to serve health-minded drinkers. Non-alcohol beer revenue grew 34% in 2025.
BEES and digital commerce
BEES helps customers order products and supports a third-party marketplace. Marketplace GMV reached $3.5 billion in 2025.
Packaging and supply chain assets
AB InBev reacquired the 49.9% minority stake in its U.S. metal container plants from Apollo for about $2.9 billion in January 2026. This gives the company more control over a key can supply asset.
Where sales come from
The mix below uses 2025 revenue by business segment from the 2025 Form 20-F. North America, Middle Americas, and South America together make up the majority of revenue, so weather, currencies, and consumer health in the Americas matter a lot.
What can go wrong
Consumers keep trading down
High impact · Medium oddsBeer demand depends on jobs, wages, inflation, and confidence. If shoppers keep choosing cheaper drinks or drink less, AB InBev may need promotions to protect share. That would pressure revenue per hectoliter and margins.
China stays weak
High impact · Medium oddsChina volumes fell 8.6% in 2025, and the internal view says revenue fell in the low teens. The company says Q4 share trends improved to flat, helped by Budweiser brand power and in-home channels. That needs to turn into real growth, not only stabilization.
Weather hits key regions
Medium impact · Medium oddsBeer is seasonal. Warm weather helps, while cool or wet weather hurts. Brazil was hurt by unseasonable weather in 2025 before volumes returned to growth in December as weather normalized.
Currencies and input costs move against BUD
Medium impact · High oddsAB InBev reports in U.S. dollars but sells in many local currencies. In 2025, currency translation reduced reported revenue by $1.3 billion. Aluminum, barley, energy, freight, and other costs can also squeeze margins if price increases lag.
Russia investment remains out of reach
Medium impact · Medium oddsA Russian decree placed AB InBev Efes Russian operations under temporary management. The company says there can be no assurance on the status of its investment. This is a direct geopolitical control risk, not a normal operating issue.
Cash returns outrun balance sheet progress
Medium impact · Low oddsAB InBev still carries large debt after years of dealmaking. Net debt was $60.9 billion at the end of 2025. The company is also buying back stock and reacquired the U.S. metal container stake for about $2.9 billion, so capital allocation needs to stay disciplined.
In one breath
What does Anheuser-Busch InBev own?
It owns or controls many beer brands, including Budweiser, Corona, Stella Artois, Michelob ULTRA, and Busch Light. It also sells ready-to-drink products, non-alcohol beer, and some third-party products through its distribution network.
Why does China matter so much for BUD?
China is part of the Asia Pacific segment and has been a major weak spot. Volumes fell 8.6% in 2025, but Q4 share trends improved to flat, so investors are watching whether the turnaround becomes real growth.
What is BEES Marketplace?
BEES is AB InBev’s digital ordering system for business customers. Its Marketplace lets customers buy more than AB InBev products, and GMV reached $3.5 billion in 2025.
What could help BUD in 2026?
The 2026 FIFA World Cup in North America, Budweiser’s 150-year anniversary, growth in no-alcohol beer, and better execution in China could all help. The main question is whether these catalysts can offset soft beer volumes and currency pressure.