Anheuser-Busch InBev (NYSE:BUD) announced its quarterly results today, saying that sales volumes grew sequentially for each month in its second quarter versus the year-ago period. From a decline of 32.4% in April, volumes were only down 21.4% in May, and grew by 0.7% in June.
Due to the coronavirus pandemic, the company said it performed an impairment review. It determined that a 30% probability of the worst-case scenario warranted taking a $2.5 billion noncash goodwill impairment charge. The risk it identified was for a recovery of sales in South Africa, as well as the rest of Africa. South Africa has recently banned the sale of alcohol for a second time in its attempt to slow the spread of the coronavirus.
AB InBev said total revenue for the second quarter decreased by 17.7%. It said combined global revenue from three of its big global brands, Budweiser, Stella Artois, and Corona, declined by 16.6% for the quarter.
The company pointed to several areas that drove the improvements it saw in June. It said Brazil showed "meaningful beer volume growth," and China "delivered exceptional results," resulting in record monthly volume.
Performance for the quarter in the U.S. was driven by the success of its premium brands, the company said. Quarterly revenue dropped 5.9% in the U.S., which was a relatively strong result, due to the "off-premise" channel, with many bars and restaurants remaining closed and people drinking at home.