Big Beer & the Pandemic: crisis, what crisis?
The Pandemic has hit beer and brewing hard. Independently owned pubs, craft breweries have suffered huge financial hits often with little Government help. Those who work in them perhaps particularly have often been furloughed at best and lost their income in many cases.
One sector however has not been so badly impacted.
The Financial Times (26th February) reported on giant brewer ABInBev’s latest results that a ‘smaller hit’ on profits than had been thought had taken place and expected better times ahead.
Like for like revenue was down 3.7% to $47bn. Beer volumes were up 1.6% in Q4 indicating the start of a recovery.
In 2020 drinks volumes were down everywhere except South America with Europe and Asia the worst hit. ABInBev noted that on-line sales in 2020 had reduced the impact of bar closures but expected its ‘strong portfolio’ to be a key factor when ‘consumers are allowed out’.
Shares were down 6% on concerns about margins.
Some reading this may need reminding we are talking about beer here rather than widgets and many others will feel the need for a beer though not one made by ABInBev I suspect.
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