Ambev's Q3 Profit Jumps 8.7% Y/Y, Shares Gain On Higher Margins And Buyback

Author: Lekha Gupta | October 30, 2025 11:07am

Ambev SA (NYSE:ABEV) shares traded higher on Thursday after the company reported third-quarter FY25 results.

Details

Ambev reported quarterly earnings of 24 cents per share in Brazilian Reals (4 cents per share in USD), up 8.7% year over year (Y/Y), driven by lower taxes.

The company reported quarterly sales of 20.8 billion Brazilian Real ($3.826 billion), which declined 5.7% Y/Y.

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Normalized EBITDA, meanwhile, increased by 2.9% Y/Y organically, and margins expanded 50 basis points, led by disciplined cost and expense management and efficient resource allocation.

Segment Performance

Net revenue per hectoliter (NR/hl) grew by 7.4%, contributing to overall net revenue increases in most business units: Brazil non-alcoholic beverages (NAB) rose by 0.5%, Caribbean (CAC) by 2.2% and Latin America South (LAS) by 9.2%, while Canada and Brazil Beer saw a decline of 0.1% and 2.1%, respectively, due to volume decreases.

Organically, volumes declined 5.8% Y/Y mainly due to unseasonable weather and a challenging environment in key markets. By Segment, volumes fell in Brazil Beer (-7.7% Y/Y), Brazil NAB (-8.6% Y/Y), Canada (-2.0% Y/Y), and LAS (-0.8% Y/Y).

Other Key Metrics

The Board of Directors approved a share repurchase program of up to 208 million shares, valued at about 2.5 billion Brazilian Reals based on the October 29, 2025, closing price, to be executed over the next 18 months.

As of September 30, cash and cash equivalents (less bank overdrafts) stood at 18.31 billion Brazilian Real.

Price Action: ABEV shares are up 5.28% at $2.295 at the last check on Thursday.

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Posted In: ABEV