Ambev S.A. (NYSE:ABEV) shares moved higher on Tuesday as investors reacted to the company’s latest quarterly update.
The brewer pointed to resilient category demand and ongoing digital initiatives supporting consumer engagement and commercial execution.
Earnings In Line, Revenue Misses Estimates
The company reported first-quarter adjusted earnings per share of five cents, in line with the analyst consensus estimate. Quarterly sales of $4.266 billion missed the Street view of $4.46 billion.
“Beer continues to be a beloved and culturally relevant category in our markets, with solid fundamentals and meaningful headroom for growth,” the company said.
Margins Expand Despite Mixed Volume Trends
Gross margin expanded 10 basis points on an organic basis to 51.6%, while normalized EBITDA margin jumped 60 basis points on an organic basis to 33.6%.
Consolidated volumes were broadly flat, reflecting mixed performance …