China: Budweiser Brewing Company APAC sees first-quarter earnings fall on weak China demand

Brewer Budweiser Brewing Company APAC said on May 8 its first-quarter earnings fell 18 percent year-on-year, weighed down by an unfavorable geographic and channel mix in China, The Standard reported.

Asia’s largest beer maker by sales posted a net profit of US$234 million (HK$1.83 billion) in the first three months, down 18.47 percent from a year earlier.

Total volumes fell 6.1 percent during the quarter, driven by softness in China, though this was partially offset by strong performance in South Korea. Revenue slid 7.5 percent, while revenue per hectoliter declined 1.5 percent.

"While our performance in China has continued to be impacted by a soft industry in our key regions and channels, we see opportunities for improvement there, complemented by our continued strong performance in South Korea," chief executive Cheng Yanjun said in an exchange filing.