SAO PAULO, August 2, 2026, 16:00 BRT
- Ambev S.A. (NYSE:ABEV; BVMF:ABEV3) ADRs ended trading on Friday at $3.11, marking a 1.6% increase over the week.
- Brazil accounted for 60.9% of normalized EBITDA in the second quarter, an increase of 5.6 percentage points.
- Organic EBITDA increased by 8.9%, versus a reported growth rate of 3.6%.
Ambev increased the proportion of its earnings generated in Brazil in the second quarter. Brazil accounted for 60.9% of total EBITDA, up from 55.3% in the same period last year.
The move is the most direct message to investors. Brazil Beer posted a 12.8% increase in EBITDA, as international divisions encountered softer volumes and negative currency effects.
The ADR posted a mild response, rising 0.65% on Thursday before slipping 0.32% on Friday. Markets in both the U.S. and Brazil were shut on Sunday.
| Session | ADR close | Daily move | Volume |
|---|---|---|---|
| July 24 | $3.060 | -0.97% | 16.44 million |
| July 30 | $3.120 | +0.65% | 59.90 million |
| July 31 | $3.110 | -0.32% | 57.17 million |
Closing prices indicate a 1.6% rise from July 24 to July 31.
Underlying operations performed better than the reported figures in reais suggest. Revenue growth was reduced by 5.8 points due to currency and scope impacts, while EBITDA growth was lowered by 5.3 points.
| Q2 year-on-year metric | Reported growth | Organic growth | Organic minus reported |
|---|---|---|---|
| Volume | +0.4% | +1.4% | 1.0 point |
| Net revenue | +0.3% | +6.1% | 5.8 points |
| Gross profit | +4.0% | +10.5% | 6.5 points |
| Normalized EBITDA | +3.6% | +8.9% | 5.3 points |
Ambev posted revenue of R$20.15 billion and normalized EBITDA totaling R$6.38 billion.
The composition of growth shifted compared to the first quarter, with volumes increasing more quickly, pricing gains moderating, and margin expansion becoming broader.
| Organic metric | Q1 2026 | Q2 2026 |
|---|---|---|
| Total volume up | +0.1% | +1.4% |
| Net revenue up | +8.1% | +6.1% |
| Normalized EBITDA up | +10.1% | +8.9% |
| EBITDA margin difference | +60 basis points | +80 basis points |
| Normalized EPS up | +0.5% | +24.2% |
Financial results for the first and second quarters are sourced from Ambev’s filings with regulators.
Brazil Beer drove overall growth, with volume increasing by 5.0% and premium brands seeing mid-twenties percentage gains in volume. In contrast, Brazil NAB volumes declined 4.4%. However, EBITDA rose 13.8%.
| Business unit | Volume growth | Revenue growth | EBITDA growth | Margin change | Group EBITDA share |
|---|---|---|---|---|---|
| Brazil Beer | up 5.0% | increased 8.9% | rose 12.8% | improved 110 bps | 51.4% |
| Brazil NAB | down 4.4% | up 1.4% | jumped 13.8% | rose 320 bps | 9.6% |
| Central America and Caribbean | grew 5.4% | climbed 7.1% | gained 4.9% | fell 90 bps | 15.9% |
| Latin America South | dropped 2.9% | advanced 4.4% | added 2.6% | decreased 30 bps | 9.4% |
| Canada | declined 1.8% | rose 2.1% | increased 2.9% | up 30 bps | 13.7% |
The numbers are based on organic growth and adjusted EBITDA.
Cash conversion improved. Operating cash flow climbed 54.5% to R$4.71 billion. Capital expenditures declined 19.1% to R$880 million.
| R$ billion | Q2 2025 | Q2 2026 | Change |
|---|---|---|---|
| Cash flow from operations | 3.050 | 4.711 | +54.5% |
| Capital spending | 1.088 | 0.880 | -19.1% |
| Operating cash flow after capex | 1.962 | 3.832 | +95.3% |
The last row represents a derived metric. This is not Ambev’s definition of free cash flow.
Management deployed the cash assertively, with approximately 95% of the buyback finished by the date of the filing. In addition, approval was given for a new R$1.1 billion interest-on-capital payout.
Chief Executive Carlos Lisboa stated that performance led to “another quarter of beer volume growth.” Premium volumes for the group climbed by a percentage in the high teens.
However, the quarter fell short of the market’s elevated expectations. Analysts had predicted Brazil Beer volume to rise by almost 7%, while the actual increase was 5%. One forecast came in 1.6 percentage points above the result.
Parent company Anheuser-Busch InBev (EBR:ABI) reported growth driven by the Americas. The group saw Q2 volumes increase by 0.9%, with revenue up 5.6% and EBITDA climbing 5.8%. These consolidated results account for Ambev.
Ambev maintained its forecast for Brazil Beer cash-cost growth at 4.5%-7.5% per hectoliter. This provides limited flexibility should currency or commodity conditions deteriorate.
Risks: A portfolio concentrated in Brazil heightens sensitivity to domestic weather, demand, and the real. Reported growth may remain skewed by Bolivia’s currency devaluation and inflation accounting in Argentina.
Ambev does not have any corporate events planned between August 3-7. Its upcoming earnings announcement is set for October 29. Market focus next week will be on whether shares hold their post-results advance in the face of persistent FX headwinds.
