The 10-second takeaway
For the quarter ended June 30 (Q2), Anheuser-Busch InBev beat slightly on revenues and whiffed on earnings per share.
Compared to the prior-year quarter, revenue expanded. Non-GAAP earnings per share contracted significantly. GAAP earnings per share grew significantly.
Margins grew across the board.
Anheuser-Busch InBev booked revenue of $10.59 billion. The 16 analysts polled by S&P Capital IQ predicted a top line of $10.40 billion on the same basis. GAAP reported sales were 7.3% higher than the prior-year quarter's $9.87 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures are normalized by S&P Capital IQ and may vary to maintain comparability with normalized estimates.
EPS came in at $0.89. The four earnings estimates compiled by S&P Capital IQ averaged $1.03 per share. Non-GAAP EPS of $0.89 for Q2 were 27% lower than the prior-year quarter's $1.22 per share. GAAP EPS of $4.53 for Q2 were 268% higher than the prior-year quarter's $1.23 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures are normalized by S&P Capital IQ and may vary to maintain comparability with normalized estimates.
For the quarter, gross margin was 58.0%, 60 basis points better than the prior-year quarter. Operating margin was 30.4%, 140 basis points better than the prior-year quarter. Net margin was 70.4%, much better than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $11.84 billion. On the bottom line, the average EPS estimate is $1.26.
Next year's average estimate for revenue is $44.09 billion. The average EPS estimate is $4.79.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 273 members out of 296 rating the stock outperform, and 23 members rating it underperform. Among 82 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 77 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 $106.29.
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