If 2023 was a year to celebrate with the end of the pandemic, then this year is looking far more sober for Budweiser Brewing Co. APAC Ltd. (1876.HK), the Asia arm of one of the world’s top beer makers. After booming last year, the company’s business has gone into reverse in 2024, dragged down by weakness in China, its largest market.
Budweiser APAC said it sold 7.12 billion liters of beer in the first nine months of this year, down 8.1% year-on-year, according to a third-quarter business review issued at the end of last month. Its revenue slipped by a slightly smaller 6.1% to $5.1 billion, while its profit fell by 15% to $780 million. The company said China’s economic slowdown was the biggest drag on its overall sales, partly offset by a strong performance in South Korea.
Budweiser APAC operates across East and South Asia, with markets including South Korea, Japan, China, India and Southeast Asia, as well as New Zealand. The company didn’t break down revenue for China specifically in the nine-month figures. But the market dominates the company’s West APAC region, which accounts for nearly 90% of its overall sales.