Brazil: Ambev’s Q3 net profit rises amid recovery from coronavirus pandemic

Ambev SA said on October 28 its net profit rose in the third quarter from a year earlier as the brewer's customers drank more beer amid a continuing recovery from the coronavirus pandemic.

The Sao Paulo-based company's profit attributable to shareholders increased to 3.6 billion reais, equivalent to $650 million, from BRL2.3 billion a year earlier, Ambev said. Diluted earnings per share increased to 22 centavos from 14 centavos.

Net revenue reached BRL18.5 billion, an increase of 18.5%, and normalized earnings before interest, taxes, depreciation and amortization rose 7.8% to BRL5.5 billion. Sales volumes increased 7.7% to 45.7 million hectolitres, the company said.

Ambev is controlled by Anheuser-Busch InBev SA, the world's biggest beer producer, and brews and markets brands including Budweiser, Brahma and Corona. Brazil is Ambev's biggest market, but the company also operates in other countries in the Americas including Canada, Argentina and Chile.

Beer consumption in Brazil, the company's main market, grew to 23.5 million hectolitres from 21.8 million hectolitres a year earlier, with net revenue up to BRL7.7 billion from BRL6.7 billion in the third quarter of last year, the company said.