Ambev Stock – Ambev Stock – Brazil brewer Ambev beats second-quarter profit forecasts; shares up 9%
SAO PAULO (Reuters) – Brazilian beverages firm Ambev SA ABEV3.SA on Thursday posted a better-than-expected 8.5% rise in second-quarter net profit, triggering strong gains in its shares. The Latin American unit of Anheuser Busch InBev ABI.BR said net income reached 2.616 billion reais ($693.42 million), beating a consensus estimate of 2.286 billion reais ($606.58 million) compiled by Refinitiv. “2019 has been a good year for us and our portfolio is delivering healthy top line growth that is likely to continue going forward,” Chief Executive Officer Bernardo Paiva told analysts in a conference call. Ambev shares were up 9.13% in early afternoon trading at 19.60 reais. The stock has risen over 26% so far this year, more than recovering from a 25% drop in 2018. Paiva said the brewer is betting heavily on premium brands to further boost market share and has no plans to change its pricing strategy despite a still-challenging economic environment in some areas, particularly Brazil and Argentina.
JOIN OUR FREE NEWSLETTER
Remain an expert and save time ? Take few seconds to complete the registration form. Click here !