SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
Report of Foreign Private Issuer
Pursuant to Rule 13a-16 or 15d-16 of the
Securities Exchange Act of 1934
For the month of February, 2024
Commission File Number 1565025
AMBEV S.A.
(Exact name of registrant as specified in its
charter)
AMBEV S.A.
(Translation of Registrant's name into English)
Rua Dr. Renato Paes de Barros, 1017 - 3rd
Floor
04530-000 São Paulo, SP
Federative Republic of Brazil
(Address of principal executive office)
Indicate by check mark whether the
registrant files or will file annual reports under cover Form 20-F or Form 40-F.
Form 20-F ___X___ Form 40-F _______
Indicate
by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information
to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.
Yes _______ No ___X____
| Page | 1 |
| |
AMBEV REPORTS 2023
FOURTH QUARTER AND FULL YEAR RESULTS1
“We delivered a strong finish to the
year, led by Brazil and CAC. 2023 was another year of consistent improvement, as the execution of our strategy delivered sustained growth
and better profitability.” – Jean Jereissati, CEO
|
|
|
|
|
Total Volume (organic) |
|
Net Revenue (organic) |
4Q: -0.1% vs LY |
FY: -1.1% vs LY |
|
4Q: 29.5% vs LY |
FY: 24.1% vs LY |
Total volumes in 4Q23 were virtually flat as growth in Central America and the Caribbean (“CAC”) (+7.7%) and Brazil (+0.8% resulting from +6.2% in NAB and -1.1% in Beer) was offset by Latin America South (“LAS”) (-3.8%) and Canada (-7.4%), where volumes continued to be primarily impacted by declining industries. |
|
Top
line performance was driven by net revenue per hectoliter (“NR/hl”) growth of
29.7% in 4Q23. Net revenue grew in most of our reported business units: LAS2
+110.2%, CAC +12.6%, Brazil Beer +6.1% and Brazil NAB +5.7%, while in Canada it was
down 3.6% impacted by volume decline. |
|
|
|
|
|
|
|
|
|
|
Normalized EBITDA (organic) |
|
Normalized Profit |
4Q: 49.0% vs LY |
FY: 42.6% vs LY |
|
4Q: R$ 4,667.5 million |
Normalized EBITDA growth in 4Q23 was driven by LAS (+107.5%), CAC (+29.2%), Brazil Beer (+27.3%) and Brazil NAB (+15.3%), and partially offset by Canada (-1.5%). Ex-Argentina, Normalized EBITDA grew by 19.9%. Gross margin expanded 280 bps while Normalized EBITDA margin expanded 470 bps. |
|
FY: R$ 15,227.2 million |
|
|
|
Despite Normalized EBITDA growth and lower financial expenses, Normalized Profit declined by 11.9% compared to R$ 5,299.7 million in 4Q22, due to FX depreciation in Argentina and phasing of IOC tax deductibility accrual. Nevertheless, FY23 Normalized Profit increased slightly (+0.4%) compared to R$ 15,166.8 million in FY22. |
|
|
|
|
|
|
|
|
|
|
Cash flow from operating activities |
|
Sustainability |
4Q: R$ 13,949.0 million |
|
|
|
FY: R$ 24,711.4 million |
|
|
Cash flow from operating activities increased by 18.1% compared to R$ 11,810.8 million in 4Q22 due to better working capital cycle driven mostly by increased payables and reduced inventories. In FY23, cash flow from operating activities increased by 19.7% compared to R$ 20,642.2 million in FY22. |
|
As part of our decarbonization plan, we ended the year with 15 carbon neutral plants, with additional four carbon neutral breweries delivered in Brazil in 4Q23: Uberlândia, Colorado, Viamão and Cuiabá. |
1
The following operating and financial information, unless otherwise indicated, is presented in nominal Reais and prepared according to
the International Financial Reporting Standards (“IFRS”) issued by the International Accounting Standards Board (“IASB”)
and to the accounting practices issued by the Brazilian Accounting Standards Committee ("CPC”) and approved by the Brazilian
Securities and Exchange Commission (“CVM”). The information herein should be read together with our financial information
for the twelve-month period ended December 31, 2023, filed with the CVM and submitted to the U.S. Securities and Exchange Commission (“SEC”).
2
The impacts resulting from applying Hyperinflation Accounting for our Argentinean subsidiaries, in accordance with IAS 29, are detailed
in the section Financial Reporting in Hyperinflationary Economies - Argentina (page 15).
| | |
ambev.com.br | | Press Release – February 29, 2024 |
| Page | 2 |
| |
MANAGEMENT
COMMENTS
Continued to deliver bottom
line growth with margin expansion, despite the accounting impact of the currency devaluation in Argentina
In 2023, we continued to progress in our transformation
journey and delivered on our strategy of leading and growing the category, digitizing and monetizing our ecosystem, and optimizing our
business.
Brazil led the way once more, driven by the
disciplined execution of our commercial strategy. Recovery in CAC was driven by the Dominican Republic, which delivered a record year.
Canada delivered Normalized EBITDA growth amid a tough industry backdrop. And LAS performance was materially impacted by the currency
devaluation in Argentina; however, our preparedness in the country paid off and we managed to generate more cash flow in USD than in 2022.
Our digital initiatives continued to scale
up. BEES is now present in 8 of our top 10 markets, and we offer third-party products in 7 of those. Gross Merchandise Value (GMV) of
BEES marketplace grew over 44% versus FY22. As for direct-to-consumer, Zé Delivery expanded coverage and awareness in Brazil, reaching
5.7 million Monthly Active User (MAU) (+19% vs. LY), and Ta Da is live in 6 markets.
We also managed to deliver improved operational
leverage, with gross and Normalized EBITDA margins expanding (+240bps and +430bps, respectively) thanks to net revenue growth, greater
FX and commodity tailwinds versus FY22 and disciplined cost and expense management.
Financial highlights - Ambev consolidated |
4Q22 |
4Q23 |
% As Reported |
% Organic |
FY22 |
FY23 |
% As Reported |
% Organic |
R$ million |
Volume ('000 hl) |
52,169.3 |
52,091.6 |
-0.1% |
-0.1% |
185,749.7 |
183,659.0 |
-1.1% |
-1.1% |
Net revenue |
22,693.0 |
19,989.2 |
-11.9% |
29.5% |
79,708.8 |
79,736.9 |
0.0% |
24.1% |
Gross profit |
11,707.8 |
10,688.0 |
-8.7% |
36.4% |
39,286.8 |
40,445.3 |
2.9% |
30.3% |
% Gross margin |
51.6% |
53.5% |
190 bps |
280 bps |
49.3% |
50.7% |
140 bps |
240 bps |
Normalized EBITDA |
7,109.3 |
7,151.5 |
0.6% |
49.0% |
23,770.9 |
25,455.4 |
7.1% |
42.6% |
% Normalized EBITDA margin |
31.3% |
35.8% |
450 bps |
470 bps |
29.8% |
31.9% |
210 bps |
430 bps |
|
|
|
|
|
|
|
|
|
Profit |
5,083.4 |
4,528.4 |
-10.9% |
|
14,891.3 |
14,960.5 |
0.5% |
|
Normalized profit |
5,299.7 |
4,667.5 |
-11.9% |
|
15,166.8 |
15,227.2 |
0.4% |
|
EPS (R$/shares) |
0.33 |
0.29 |
-12.7% |
|
0.94 |
0.94 |
0.2% |
|
Normalized EPS (R$/shares) |
0.33 |
0.29 |
-12.6% |
|
0.93 |
0.93 |
0.3% |
|
Ambev as a platform
To deliver on the strategy, the focus remained
on executing each of the pillars of our platform framework, which has evolved to also include a 6th pillar – “Sustainable
Value Creation” – that encompasses operational excellence and capital allocation efficiency in order to maximize long-term
value creation.
| | |
ambev.com.br | | Press Release – February 29, 2024 |
| Page | 3 |
| |
Sustainability
The tone starts at the top, with all
members of our Executive Board having a sustainability-related target in 2023. The year was also marked by consistent improvement in terms
of our 2025 environmental commitments, which are all on track (see table below). An important milestone was being the first company of
the brewing sector in Latin America to receive final approval for our emission reduction target from the Science-based Targets Initiative
(SBTi). In addition, we closed 2023 with an average of 2.37 liters of water used per liter of beverage produced, improving over 8% versus
2022.
|
|
BRAZIL |
LAS |
CAC |
CANADA |
AMBEV |
Goal
2025 |
Status
2023 |
WATER
STEWARD |
Watersheds & Forests
(High risk sites in benefit monitoring phase as per 7-step charter)(1) |
100% |
0% |
- |
- |
72.7% |
100% |
On Track |
AMA
(Number of people benefitted) |
953,000 |
- |
- |
- |
953,000 |
1,000,000 |
Better |
CLIMATE
ACTION |
Renewable electricity
(% of total electric energy contracted) |
100% |
90.5% |
78.6% |
92.5% |
95.7% |
100% |
On track |
GHG emission – Intensity (kg CO2e/Hl)
(% reduction of CO2 intensity versus baseline (2017); Scope 1, 2 and 3) |
8.9% |
27.2% |
62.3% |
7.4% |
19.0% |
25% |
On Track |
GHG emission – Absolute (t CO2e)
(% reduction of CO2 absolute emissions versus baseline (2017); Scope 1 and 2 – Owned Operations) |
40.1% |
41.8% |
20.9% |
40.2% |
34.2% |
35% |
Better |
CIRCULAR
PACKAGING |
Glass
(% of glass used that was recycled) |
43.6% |
44.0% |
44.3% |
40.7% |
43.6% |
≥ 50.1% |
On Track |
Aluminum
(% of aluminum used that was recycled) |
78.0% |
76.7% |
48.2% |
68.4% |
75.2% |
≥ 50.1% |
Achieved |
Plastic (PET)
(% of plastic used that was recycled) |
54.8% |
8.4% |
30.4% |
- |
40.3% |
≥ 50.1% |
On Track |
Plastic Commitment |
64% |
- |
- |
- |
64% |
100% |
On Track |
SUSTAINABLE AGRICULTURE |
Skilled producers(2) |
98% |
90% |
- |
- |
92% |
100% |
Better |
Connected producers(3) |
99% |
100% |
- |
- |
100% |
100% |
Better |
Financially empowered producers(4) |
98% |
100% |
- |
- |
99% |
100% |
Better |
| (1) | 7-Step Charter consists of: (i) engagement; (ii) problem
identification/prioritization; (iii) solutions agreed; (iv) plan implementation; (v) governance; (vi) communication; and (vii) monitoring.
|
| (2) | Producer must have (i) access to a variety of crops
approved by Ambev for production, (ii) technical protocol for production, and (iii) at least two technical visits during the culture cycle. |
| (3) | Producer must be registered in Agroportal platform
or another similar platform (e.g. SmartBarley, ManejeBem etc.). |
| (4) | Producer has access to the tools to reduce production
risks (e.g. agricultural insurance, specific financing etc.). |
2024 OUTLOOK
Since 2020 we have operated amid volatility
and uncertainty. Nonetheless, we have managed to overcome the challenges and improve our commercial and financial performance year after
year. Top line-led recovery was followed by bottom-line recovery, and profitability has been coming back, first through better ROIC and
since last year with better operational leverage. And cash flow generation has remained resilient throughout.
As a result, we begin the new year better
positioned than we began 2023: our brands are healthier, the innovation pipeline remains solid, and the digital strategy is working. In
addition, we expect to face less input cost pressure given currency and commodities tailwinds partially offset by mix and fair value adjustment
of payables (due to lower interest rate) in Brazil. Therefore, assuming current commodity and FX prices (BRL/USD hedge rate for 2024 at
4.97), we expect our Cash COGS per hectoliter in Brazil Beer (excluding non-Ambev marketplace products) to decrease between 0.5-3.0% in
the year.
2024 also brings a few important challenges:
| · | Following the Argentinean Peso
devaluation in December, we expect a tough start to the year as the economy adjusts to a higher inflationary environment. Although we
begin the year with no FX hedge coverage, we have adapted quickly and will continue to focus on improving our free cash flow generation
in USD. |
| · | In Brazil, legislation enacted
in December 2023 and effective as of January 2024 changed the rules regarding deductibility for income tax purposes of IOC and State VAT
government grants. Regarding the IOC, the main change is that certain amounts recorded in “Carrying Value Adjustments” will
now be considered for purposes of the IOC calculation basis, resulting in a reduction thereof. As for the State VAT government grants,
given that the legislative changes have led to litigation by several parties on constitutional grounds, the extent of the impact (if any)
remains unclear. |
All in all, we will work to deliver another
year of net revenue and EBITDA growth, as well as gross and EBITDA margins expansion, driven by a better balance between volume and NR/hl
growth, and cost and expense discipline leading to operational leverage once again.
| | |
ambev.com.br | | Press Release – February 29, 2024 |
| Page | 4 |
| |
KEY
MARKETS PERFORMANCES
Brazil Beer: mid-single
digit top line and double-digit bottom-line growth translating into margin expansion once again
| · | Operating performance: volumes were down
1.1% on the back of a tough comp from FIFA World Cup™. Top line grew by 6.1% as the continued disciplined execution of our revenue
management strategy coupled with positive brand mix drove NR/hl sequential and year-over-year growth (+7.2% vs. 4Q22). Cash COGS/hl excluding
the sale of non-Ambev marketplace products dropped by 2.4% primarily due to FX and commodities tailwinds, while Cash SG&A was down
2.3% led mainly by lower distribution expenses. |
In FY23, net revenue grew by 8.7%
(volumes -1.0% and NR/hl +9.8%), Cash COGS per hectoliter (excluding the sale of non-Ambev marketplace products) was up 3.2% (within our
guidance for the year), and Normalized EBITDA increased by 28.9%, with gross margin expansion of 260 bps, and Normalized EBITDA margin
expansion of 500 bps.
| · | Commercial highlights: in FY 23, our premium and super premium
beer brands grew by mid-twenties, led by Corona, Spaten and Original, with improvements in brand health indicators and market share gains,
according to our estimates. In the core plus segment, Budweiser family increased volumes by mid-teens, with Budweiser Zero distribution
expanding over six times versus last year. Our core segment remained resilient, with a low-single digit decline year-over-year.
We estimate our market share slightly declined in the year as our value brands offset premium and super premium performance. |
Brazil Beer3 |
4Q22 |
Scope |
Currency Translation |
Organic Growth |
4Q23 |
% As Reported |
% Organic |
R$ million |
Volume ('000 hl) |
26,605.0 |
- |
|
(285.0) |
26,320.0 |
-1.1% |
-1.1% |
Net revenue |
10,794.5 |
- |
- |
658.2 |
11,452.7 |
6.1% |
6.1% |
Net revenue/hl (R$) |
405.7 |
- |
- |
29.4 |
435.1 |
7.2% |
7.2% |
COGS |
(5,401.6) |
- |
- |
147.5 |
(5,254.1) |
-2.7% |
-2.7% |
COGS/hl (R$) |
(203.0) |
- |
- |
3.4 |
(199.6) |
-1.7% |
-1.7% |
COGS excl. deprec. & amort. |
(4,950.6) |
- |
- |
152.4 |
(4,798.2) |
-3.1% |
-3.1% |
COGS/hl excl. deprec. & amort. (R$) |
(186.1) |
- |
- |
3.8 |
(182.3) |
-2.0% |
-2.0% |
Gross profit |
5,392.8 |
- |
- |
805.7 |
6,198.5 |
14.9% |
14.9% |
% Gross margin |
50.0% |
|
|
|
54.1% |
410 bps |
410 bps |
SG&A excl. deprec. & amort. |
(3,073.1) |
- |
- |
70.2 |
(3,002.9) |
-2.3% |
-2.3% |
SG&A deprec. & amort. |
(376.6) |
- |
- |
(151.7) |
(528.3) |
40.3% |
40.3% |
SG&A total |
(3,449.8) |
- |
- |
(81.5) |
(3,531.2) |
2.4% |
2.4% |
Other operating income/(expenses) |
332.6 |
185.4 |
- |
(32.5) |
485.5 |
46.0% |
-9.8% |
Normalized Operating Profit |
2,275.7 |
185.4 |
- |
691.7 |
3,152.7 |
38.5% |
30.4% |
% Normalized Operating margin |
21.1% |
0.0% |
0.0% |
0.0% |
27.5% |
640 bps |
480 bps |
Normalized EBITDA |
3,103.4 |
185.4 |
- |
848.2 |
4,137.0 |
33.3% |
27.3% |
% Normalized EBITDA margin |
28.7% |
|
|
|
36.1% |
740 bps |
570 bps |
|
|
|
|
|
|
|
|
Brazil Beer |
FY22 |
Scope |
Currency Translation |
Organic Growth |
FY23 |
% As Reported |
% Organic |
R$ million |
Volume ('000 hl) |
94,042.6 |
- |
|
(931.1) |
93,111.6 |
-1.0% |
-1.0% |
Net revenue |
35,857.8 |
- |
- |
3,128.1 |
38,985.9 |
8.7% |
8.7% |
Net revenue/hl (R$) |
381.3 |
- |
- |
37.4 |
418.7 |
9.8% |
9.8% |
COGS |
(18,765.3) |
- |
- |
(612.4) |
(19,377.7) |
3.3% |
3.3% |
COGS/hl (R$) |
(199.5) |
- |
- |
(8.6) |
(208.1) |
4.3% |
4.3% |
COGS excl. deprec. & amort. |
(17,077.6) |
- |
- |
(440.7) |
(17,518.3) |
2.6% |
2.6% |
COGS/hl excl. deprec. & amort. (R$) |
(181.6) |
- |
- |
(6.5) |
(188.1) |
3.6% |
3.6% |
Gross profit |
17,092.5 |
- |
- |
2,515.8 |
19,608.3 |
14.7% |
14.7% |
% Gross margin |
47.7% |
|
|
|
50.3% |
260 bps |
260 bps |
SG&A excl. deprec. & amort. |
(10,262.9) |
- |
- |
(196.2) |
(10,459.0) |
1.9% |
1.9% |
SG&A deprec. & amort. |
(1,251.1) |
- |
- |
(537.1) |
(1,788.2) |
42.9% |
42.9% |
SG&A total |
(11,514.0) |
- |
- |
(733.2) |
(12,247.3) |
6.4% |
6.4% |
Other operating income/(expenses) |
1,884.5 |
(670.9) |
- |
260.5 |
1,474.1 |
-21.8% |
25.3% |
Other operating income/(expenses) excl. impair. |
1,884.5 |
(670.9) |
- |
266.3 |
1,479.9 |
-21.5% |
25.9% |
Normalized Operating Profit |
7,463.0 |
(670.9) |
- |
2,043.0 |
8,835.1 |
18.4% |
30.9% |
% Normalized Operating margin |
20.8% |
0.0% |
0.0% |
0.0% |
22.7% |
190 bps |
380 bps |
Normalized EBITDA |
10,401.8 |
(670.9) |
- |
2,757.6 |
12,488.5 |
20.1% |
28.9% |
% Normalized EBITDA margin |
29.0% |
|
|
|
32.0% |
300 bps |
500 bps |
3
In 4Q23, net revenue per hectoliter and Cash COGS per hectoliter, excluding the sale of non-Ambev products
on the marketplace, were R$ 425.2 (7.2% organic growth) and R$ (173.9) (2.4% organic decline), respectively. In FY23, net revenue
per hectoliter and Cash COGS per hectoliter, excluding the sale of non-Ambev products on the marketplace, were R$ 407.5 (9.7% organic
growth) and R$ (178.3) (3.2% organic growth), respectively. The scope change in Brazil Beer refers to tax credits and related effects.
| | |
ambev.com.br | | Press Release – February 29, 2024 |
| Page | 5 |
| |
Brazil NAB: double-digit
bottom-line growth, with margin expansion
| · | Operating
performance: positive volume performance
(+6.2%) led by the consistent execution of our commercial strategy drove a top line growth of 5.7%, despite NR/hl drop (-0.5%) mostly
due to increased ICMS (VAT) taxable base for carbonated soft drinks and channel mix (increased third-party distribution). Cash COGS/hl
declined by 7.2%, mostly driven by to FX tailwinds and sugar reduction, while Cash SG&A was
down 2.2%, benefitting from efficiencies on commercial and distribution expenses. |
In
FY23, net revenue increased by 8.8% (volumes +3.6% and NR/hl
+5.0%), and Normalized EBITDA rose by 19.7%, with gross
margin expansion of 250 bps, and Normalized EBITDA margin expansion of 230 bps.
| · | Commercial
highlights: in FY23, we reached record volumes, with stable market share, according to our
estimates. Energy and health & wellness brands outperformed in volumes, led mainly by Fusion (which almost doubled its volumes vs.
FY22), diet/light/zero portfolio and Gatorade. Within diet/light/zero brands, Guaraná Antarctica Zero grew volumes by high teens,
while Pepsi Black more than doubled its volumes versus FY22, and more than quintuplicated them versus FY21. We also delivered a sugar
reduction of over 17% versus FY22 and 25% versus FY21 in our non-alcoholic portfolio. |
Brazil NAB4 |
4Q22 |
Scope |
Currency Translation |
Organic Growth |
4Q23 |
% As Reported |
% Organic |
R$ million |
Volume ('000 hl) |
9,032.4 |
- |
|
558.6 |
9,590.9 |
6.2% |
6.2% |
Net revenue |
2,022.3 |
- |
- |
115.3 |
2,137.6 |
5.7% |
5.7% |
Net revenue/hl (R$) |
223.9 |
- |
- |
(1.0) |
222.9 |
-0.5% |
-0.5% |
COGS |
(1,118.8) |
- |
- |
(14.0) |
(1,132.8) |
1.2% |
1.2% |
COGS/hl (R$) |
(123.9) |
- |
- |
5.8 |
(118.1) |
-4.6% |
-4.6% |
COGS excl. deprec. & amort. |
(1,060.4) |
- |
- |
15.6 |
(1,044.8) |
-1.5% |
-1.5% |
COGS/hl excl. deprec. & amort. (R$) |
(117.4) |
- |
- |
8.5 |
(108.9) |
-7.2% |
-7.2% |
Gross profit |
903.5 |
- |
- |
101.3 |
1,004.8 |
11.2% |
11.2% |
% Gross margin |
44.7% |
|
|
|
47.0% |
230 bps |
230 bps |
SG&A excl. deprec. & amort. |
(608.8) |
- |
- |
13.3 |
(595.5) |
-2.2% |
-2.2% |
SG&A deprec. & amort. |
(60.3) |
- |
- |
(1.8) |
(62.1) |
3.0% |
3.0% |
SG&A total |
(669.1) |
- |
- |
11.5 |
(657.6) |
-1.7% |
-1.7% |
Other operating income/(expenses) |
128.2 |
32.7 |
- |
(70.8) |
90.1 |
-29.7% |
-55.2% |
Normalized Operating Profit |
362.5 |
32.7 |
- |
42.0 |
437.3 |
20.6% |
11.6% |
% Normalized Operating margin |
17.9% |
0.0% |
0.0% |
0.0% |
20.5% |
260 bps |
100 bps |
Normalized EBITDA |
481.3 |
32.7 |
- |
73.4 |
587.4 |
22.1% |
15.3% |
% Normalized EBITDA margin |
23.8% |
|
|
|
27.5% |
370 bps |
220 bps |
|
|
|
|
|
|
|
|
Brazil NAB |
FY22 |
Scope |
Currency Translation |
Organic Growth |
FY23 |
% As Reported |
% Organic |
R$ million |
Volume ('000 hl) |
32,141.8 |
- |
|
1,166.3 |
33,308.1 |
3.6% |
3.6% |
Net revenue |
6,777.9 |
- |
- |
597.9 |
7,375.8 |
8.8% |
8.8% |
Net revenue/hl (R$) |
210.9 |
- |
- |
10.6 |
221.4 |
5.0% |
5.0% |
COGS |
(3,971.5) |
- |
- |
(166.9) |
(4,138.4) |
4.2% |
4.2% |
COGS/hl (R$) |
(123.6) |
- |
- |
(0.7) |
(124.2) |
0.6% |
0.6% |
COGS excl. deprec. & amort. |
(3,747.0) |
- |
- |
(167.9) |
(3,914.9) |
4.5% |
4.5% |
COGS/hl excl. deprec. & amort. (R$) |
(116.6) |
- |
- |
(1.0) |
(117.5) |
0.8% |
0.8% |
Gross profit |
2,806.4 |
- |
- |
431.0 |
3,237.4 |
15.4% |
15.4% |
% Gross margin |
41.4% |
|
|
|
43.9% |
250 bps |
250 bps |
SG&A excl. deprec. & amort. |
(1,808.0) |
- |
- |
(165.1) |
(1,973.1) |
9.1% |
9.1% |
SG&A deprec. & amort. |
(199.9) |
- |
- |
(48.5) |
(248.4) |
24.2% |
24.2% |
SG&A total |
(2,008.0) |
- |
- |
(213.5) |
(2,221.5) |
10.6% |
10.6% |
Other operating income/(expenses) |
476.9 |
(102.1) |
- |
43.4 |
418.3 |
-12.3% |
12.7% |
Normalized Operating Profit |
1,275.4 |
(102.1) |
- |
260.9 |
1,434.2 |
12.5% |
22.9% |
% Normalized Operating margin |
18.8% |
0.0% |
0.0% |
0.0% |
19.4% |
60 bps |
220 bps |
Normalized EBITDA |
1,699.8 |
(102.1) |
- |
308.3 |
1,906.1 |
12.1% |
19.7% |
% Normalized EBITDA margin |
25.1% |
|
|
|
25.8% |
70 bps |
230 bps |
4 The
scope change in Brazil NAB refers to tax credits and related effects.
| | |
ambev.com.br | | Press Release – February 29, 2024 |
| Page | 6 |
| |
BRAZIL
Brazil5 |
4Q22 |
Scope |
Currency Translation |
Organic Growth |
4Q23 |
% As Reported |
% Organic |
R$ million |
Volume ('000 hl) |
35,637.4 |
- |
|
273.6 |
35,910.9 |
0.8% |
0.8% |
Net revenue |
12,816.7 |
- |
- |
773.5 |
13,590.2 |
6.0% |
6.0% |
Net revenue/hl (R$) |
359.6 |
- |
- |
18.8 |
378.4 |
5.2% |
5.2% |
COGS |
(6,520.4) |
- |
- |
133.5 |
(6,386.9) |
-2.0% |
-2.0% |
COGS/hl (R$) |
(183.0) |
- |
- |
5.1 |
(177.9) |
-2.8% |
-2.8% |
COGS excl. deprec. & amort. |
(6,010.9) |
- |
- |
168.0 |
(5,843.0) |
-2.8% |
-2.8% |
COGS/hl excl. deprec. & amort. (R$) |
(168.7) |
- |
- |
6.0 |
(162.7) |
-3.5% |
-3.5% |
Gross profit |
6,296.3 |
- |
- |
907.0 |
7,203.3 |
14.4% |
14.4% |
% Gross margin |
49.1% |
|
|
|
53.0% |
390 bps |
390 bps |
SG&A excl. deprec. & amort. |
(3,682.0) |
- |
- |
83.6 |
(3,598.4) |
-2.3% |
-2.3% |
SG&A deprec. & amort. |
(436.9) |
- |
- |
(153.5) |
(590.5) |
35.1% |
35.1% |
SG&A total |
(4,118.9) |
- |
- |
(70.0) |
(4,188.9) |
1.7% |
1.7% |
Other operating income/(expenses) |
460.8 |
218.1 |
- |
(103.3) |
575.6 |
24.9% |
-22.4% |
Normalized Operating Profit |
2,638.2 |
218.1 |
- |
733.7 |
3,590.0 |
36.1% |
27.8% |
% Normalized Operating margin |
20.6% |
0.0% |
0.0% |
0.0% |
26.4% |
580 bps |
420 bps |
Normalized EBITDA |
3,584.6 |
218.1 |
- |
921.7 |
4,724.4 |
31.8% |
25.7% |
% Normalized EBITDA margin |
28.0% |
|
|
|
34.8% |
680 bps |
520 bps |
|
|
|
|
|
|
|
|
Brazil |
FY22 |
Scope |
Currency Translation |
Organic Growth |
FY23 |
% As Reported |
% Organic |
R$ million |
Volume ('000 hl) |
126,184.4 |
- |
- |
235.2 |
126,419.7 |
0.2% |
0.2% |
Net revenue |
42,635.7 |
- |
- |
3,726.1 |
46,361.8 |
8.7% |
8.7% |
Net revenue/hl (R$) |
337.9 |
- |
- |
28.8 |
366.7 |
8.5% |
8.5% |
COGS |
(22,736.8) |
- |
- |
(779.2) |
(23,516.0) |
3.4% |
3.4% |
COGS/hl (R$) |
(180.2) |
- |
- |
(5.8) |
(186.0) |
3.2% |
3.2% |
COGS excl. deprec. & amort. |
(20,824.6) |
- |
- |
(608.6) |
(21,433.2) |
2.9% |
2.9% |
COGS/hl excl. deprec. & amort. (R$) |
(165.0) |
- |
- |
(4.5) |
(169.5) |
2.7% |
2.7% |
Gross profit |
19,898.9 |
- |
- |
2,946.8 |
22,845.7 |
14.8% |
14.8% |
% Gross margin |
46.7% |
|
|
|
49.3% |
260 bps |
260 bps |
SG&A excl. deprec. & amort. |
(12,070.9) |
- |
- |
(361.3) |
(12,432.2) |
3.0% |
3.0% |
SG&A deprec. & amort. |
(1,451.1) |
- |
- |
(585.5) |
(2,036.6) |
40.4% |
40.4% |
SG&A total |
(13,522.0) |
- |
- |
(946.8) |
(14,468.8) |
7.0% |
7.0% |
Other operating income/(expenses) |
2,361.4 |
(772.9) |
- |
304.0 |
1,892.5 |
-19.9% |
22.2% |
Other operating income/(expenses) excl. impair. |
2,361.4 |
(772.9) |
- |
309.7 |
1,898.2 |
-19.6% |
22.6% |
Normalized Operating Profit |
8,738.3 |
(772.9) |
- |
2,304.0 |
10,269.4 |
17.5% |
29.7% |
% Normalized Operating margin |
20.5% |
0.0% |
0.0% |
0.0% |
22.2% |
170 bps |
350 bps |
Normalized EBITDA |
12,101.6 |
(772.9) |
- |
3,065.9 |
14,394.6 |
18.9% |
27.6% |
% Normalized EBITDA margin |
28.4% |
|
|
|
31.0% |
260 bps |
450 bps |
5
In 4Q23, net revenue per hectoliter and Cash COGS per hectoliter, excluding the sale of non-Ambev products
on the marketplace, were R$ 371.1 (5.2% organic growth) and R$ (156.5) (3.8% organic decline), respectively. In FY23, net revenue
per hectoliter and Cash COGS per hectoliter, excluding the sale of non-Ambev products on the marketplace, were R$ 358.5 (8.5% organic
growth) and R$ (162.3) (2.4% organic growth), respectively. The scope change in Brazil refers to tax credits and related effects.
| | |
ambev.com.br | | Press Release – February 29, 2024 |
| Page | 7 |
| |
Central America and
the Caribbean (CAC): continued recovery trend with another quarter of double-digit top and bottom line growth led by Dominican Republic
| · | Operating performance: volumes were up 7.7% driven by the Dominican
Republic performance in the context of a healthier beer industry. Net revenue grew by 12.6%, with NR/hl up 4.5% mostly due to revenue
management initiatives combined with positive brand and package mix (led by premium brands and single serves, respectively). Cash COGS/hl
continued to decelerate thanks to commodities lower prices and better package mix (especially due to returnable bottles recovery in the
Dominican Republic). |
In
FY23, net revenue grew by 10.9% (volumes +3.3% and
NR/hl +7.4%), and Normalized EBITDA was up 22.0%,
with gross margin expansion of 150 bps, and Normalized
EBITDA margin expansion of 350 bps.
| · | Commercial highlights: in the Dominican Republic, our premium segment grew volumes by mid-twenties
in FY23, led by Corona, while Presidente family of brands increased volumes by low teens, with enhanced brand health. In Panama, Balboa
family of brands continued to deliver positive performance, increasing volumes by twenties. |
CAC6 |
4Q22 |
Scope |
Currency Translation |
Organic Growth |
4Q23 |
% As Reported |
% Organic |
R$ million |
Volume ('000 hl) |
3,112.5 |
- |
|
240.8 |
3,353.3 |
7.7% |
7.7% |
Net revenue |
2,714.6 |
- |
(259.1) |
340.9 |
2,796.4 |
3.0% |
12.6% |
Net revenue/hl (R$) |
872.2 |
- |
(77.3) |
39.0 |
833.9 |
-4.4% |
4.5% |
COGS |
(1,336.6) |
- |
117.1 |
(120.9) |
(1,340.4) |
0.3% |
9.0% |
COGS/hl (R$) |
(429.4) |
- |
34.9 |
(5.2) |
(399.7) |
-6.9% |
1.2% |
COGS excl. deprec. & amort. |
(1,196.4) |
- |
102.0 |
(118.2) |
(1,212.5) |
1.3% |
9.9% |
COGS/hl excl. deprec. & amort. (R$) |
(384.4) |
- |
30.4 |
(7.6) |
(361.6) |
-5.9% |
2.0% |
Gross profit |
1,378.0 |
- |
(142.0) |
219.9 |
1,456.0 |
5.7% |
16.0% |
% Gross margin |
50.8% |
|
|
|
52.1% |
130 bps |
150 bps |
SG&A excl. deprec. & amort. |
(425.6) |
- |
43.6 |
(52.6) |
(434.5) |
2.1% |
12.4% |
SG&A deprec. & amort. |
(130.1) |
- |
6.2 |
60.1 |
(63.7) |
-51.0% |
-46.2% |
SG&A total |
(555.6) |
- |
49.9 |
7.5 |
(498.2) |
-10.3% |
-1.4% |
Other operating income/(expenses) |
(84.0) |
- |
(1.4) |
124.2 |
38.8 |
-146.1% |
-147.8% |
Normalized Operating Profit |
738.3 |
- |
(93.5) |
351.7 |
996.5 |
35.0% |
47.6% |
% Normalized Operating margin |
27.2% |
0.0% |
0.0% |
0.0% |
35.6% |
840 bps |
850 bps |
Normalized EBITDA |
1,008.6 |
- |
(114.8) |
294.4 |
1,188.1 |
17.8% |
29.2% |
% Normalized EBITDA margin |
37.2% |
|
|
|
42.5% |
530 bps |
540 bps |
|
|
|
|
|
|
|
|
CAC |
FY22 |
Scope |
Currency Translation |
Organic Growth |
FY23 |
% As Reported |
% Organic |
R$ million |
Volume ('000 hl) |
11,786.3 |
- |
|
388.3 |
12,174.6 |
3.3% |
3.3% |
Net revenue |
9,440.3 |
- |
(424.2) |
1,028.7 |
10,044.8 |
6.4% |
10.9% |
Net revenue/hl (R$) |
801.0 |
- |
(34.8) |
58.9 |
825.1 |
3.0% |
7.4% |
COGS |
(4,860.8) |
- |
197.8 |
(372.1) |
(5,035.1) |
3.6% |
7.7% |
COGS/hl (R$) |
(412.4) |
- |
16.2 |
(17.4) |
(413.6) |
0.3% |
4.2% |
COGS excl. deprec. & amort. |
(4,417.9) |
- |
172.7 |
(253.8) |
(4,498.9) |
1.8% |
5.7% |
COGS/hl excl. deprec. & amort. (R$) |
(374.8) |
- |
14.2 |
(8.9) |
(369.5) |
-1.4% |
2.4% |
Gross profit |
4,579.4 |
- |
(226.4) |
656.6 |
5,009.7 |
9.4% |
14.3% |
% Gross margin |
48.5% |
|
|
|
49.9% |
140 bps |
150 bps |
SG&A excl. deprec. & amort. |
(1,637.8) |
- |
73.5 |
(124.2) |
(1,688.5) |
3.1% |
7.6% |
SG&A deprec. & amort. |
(362.1) |
- |
10.6 |
108.9 |
(242.7) |
-33.0% |
-30.1% |
SG&A total |
(1,999.9) |
- |
84.0 |
(15.3) |
(1,931.2) |
-3.4% |
0.8% |
Other operating income/(expenses) |
(52.9) |
- |
(1.5) |
80.8 |
26.3 |
-149.7% |
-152.6% |
Normalized Operating Profit |
2,526.6 |
- |
(143.9) |
722.1 |
3,104.8 |
22.9% |
28.6% |
% Normalized Operating margin |
26.8% |
0.0% |
0.0% |
0.0% |
30.9% |
410 bps |
420 bps |
Normalized EBITDA |
3,331.7 |
- |
(179.5) |
731.5 |
3,883.7 |
16.6% |
22.0% |
% Normalized EBITDA margin |
35.3% |
|
|
|
38.7% |
340 bps |
350 bps |
6
In 4Q23, net revenue per hectoliter and Cash COGS per hectoliter, excluding the sale of non-Ambev products
on the marketplace, were R$ 803.8 (4.9% organic growth) and R$ (334.7) (2.8% organic growth), respectively. In FY23, net revenue
per hectoliter and Cash COGS per hectoliter, excluding the sale of non-Ambev products on the marketplace, were R$ 795.1 (9.2% organic
growth) and R$ (341.7) (5.8% organic growth), respectively.
| | |
ambev.com.br | | Press Release – February 29, 2024 |
| Page | 8 |
| |
Latin America South
(LAS): another quarter of consistent NR/hl performance leading to Normalized EBITDA growth despite macroeconomic challenges in Argentina
| · | Operating performance: volumes were down 3.8% driven by Argentina,
where highly inflationary pressures continued to impact overall consumer demand. Net revenue grew by 110.2%,
with NR/hl increasing by 118.5%, driven primarily by revenue management initiatives, while Cash COGS
and Cash SG&A were mostly impacted by inflation. |
In
FY23, net revenue grew by 84.4% (volumes -5.5% and
NR/hl +95.1%), and Normalized EBITDA rose by 102.1%,
with gross margin expansion of 340 bps, and Normalized EBITDA margin expansion
of 320 bps.
| · | Commercial highlights: in Argentina, we
sustained flat beer market share in the year, according to our estimates, with our commercial performance led by above core brands, driven
by Corona and Michelob Ultra. In Paraguay, we gained market share in the year, according to our estimates, and volumes positive performance
was driven by above core brands, which grew high-single digit versus FY22. In Bolivia, our volumes grew by low-single digit mostly due
to Paceña performance (especially in 269ml cans and 710ml returnable glass bottles). And, in Chile, above core brands gained weight
(led by Corona). |
LAS7 |
4Q22 |
Scope |
Currency Translation |
IAS 29
9M Impact |
Organic Growth |
4Q23 |
% As Reported |
% Organic |
R$ million |
Volume ('000 hl) |
11,222.7 |
- |
|
- |
(430.3) |
10,792.5 |
-3.8% |
-3.8% |
Net revenue |
4,814.3 |
- |
(13,618.2) |
4,507.8 |
5,797.4 |
1,501.2 |
-68.8% |
110.2% |
Net revenue/hl (R$) |
429.0 |
- |
(1,261.8) |
463.5 |
508.5 |
139.1 |
-67.6% |
118.5% |
COGS |
(2,184.6) |
- |
5,940.3 |
(1,971.3) |
(2,420.0) |
(635.6) |
-70.9% |
101.1% |
COGS/hl (R$) |
(194.7) |
- |
550.4 |
(202.2) |
(212.5) |
(58.9) |
-69.7% |
109.1% |
COGS excl. deprec. & amort. |
(2,006.8) |
- |
5,188.1 |
(1,716.7) |
(2,072.6) |
(608.0) |
-69.7% |
94.6% |
COGS/hl excl. deprec. & amort. (R$) |
(178.8) |
- |
480.7 |
(175.3) |
(183.0) |
(56.3) |
-68.5% |
102.3% |
Gross profit |
2,629.6 |
- |
(7,677.9) |
2,536.5 |
3,377.3 |
865.6 |
-67.1% |
117.7% |
% Gross margin |
54.6% |
|
|
|
|
57.7% |
310 bps |
200 bps |
SG&A excl. deprec. & amort. |
(937.3) |
- |
3,327.6 |
(1,136.5) |
(1,414.9) |
(161.1) |
-82.8% |
134.7% |
SG&A deprec. & amort. |
(87.9) |
- |
340.6 |
(112.0) |
(165.7) |
(25.0) |
-71.6% |
165.6% |
SG&A total |
(1,025.2) |
- |
3,668.1 |
(1,248.5) |
(1,580.5) |
(186.1) |
-81.8% |
137.4% |
Other operating income/(expenses) |
160.4 |
- |
(169.3) |
33.4 |
38.6 |
63.1 |
-60.7% |
23.6% |
Normalized Operating Profit |
1,764.8 |
- |
(4,179.0) |
1,321.4 |
1,835.4 |
742.6 |
-57.9% |
97.5% |
% Normalized Operating margin |
36.7% |
0.0% |
0.0% |
0.0% |
0.0% |
49.5% |
1280 bps |
-220 bps |
Normalized EBITDA |
2,030.5 |
- |
(5,271.8) |
1,688.0 |
2,348.5 |
795.2 |
-60.8% |
107.5% |
% Normalized EBITDA margin |
42.2% |
|
|
|
|
53.0% |
1080 bps |
-50 bps |
|
|
|
|
|
|
|
|
|
LAS |
FY22 |
Scope |
Currency Translation |
IAS 29
9M Impact |
Organic Growth |
FY23 |
% As Reported |
% Organic |
R$ million |
Volume ('000 hl) |
38,134.0 |
- |
|
|
(2,094.4) |
36,039.6 |
-5.5% |
-5.5% |
Net revenue |
17,371.2 |
- |
(24,907.0) |
6,924.1 |
14,408.9 |
13,797.2 |
-20.6% |
84.4% |
Net revenue/hl (R$) |
455.5 |
- |
(691.1) |
185.3 |
433.1 |
382.8 |
-16.0% |
95.1% |
COGS |
(8,553.1) |
- |
10,833.1 |
(2,913.6) |
(6,023.7) |
(6,657.3) |
-22.2% |
71.6% |
COGS/hl (R$) |
(224.3) |
- |
300.6 |
(78.1) |
(182.9) |
(184.7) |
-17.6% |
81.5% |
COGS excl. deprec. & amort. |
(7,753.2) |
- |
9,439.9 |
(2,542.1) |
(5,151.4) |
(6,006.8) |
-22.5% |
67.5% |
COGS/hl excl. deprec. & amort. (R$) |
(203.3) |
- |
261.9 |
(68.2) |
(157.1) |
(166.7) |
-18.0% |
77.3% |
Gross profit |
8,818.1 |
- |
(14,074.0) |
4,010.6 |
8,385.1 |
7,139.9 |
-19.0% |
96.8% |
% Gross margin |
50.8% |
|
|
|
|
51.7% |
90 bps |
340 bps |
SG&A excl. deprec. & amort. |
(4,024.8) |
- |
6,159.9 |
(1,717.7) |
(3,565.4) |
(3,147.9) |
-21.8% |
89.9% |
SG&A deprec. & amort. |
(396.6) |
- |
619.2 |
(162.8) |
(375.6) |
(315.8) |
-20.4% |
95.9% |
SG&A total |
(4,421.4) |
- |
6,779.1 |
(1,880.5) |
(3,941.0) |
(3,463.8) |
-21.7% |
90.4% |
Other operating income/(expenses) |
192.7 |
- |
(253.8) |
53.9 |
102.2 |
95.0 |
-50.7% |
53.6% |
Normalized Operating Profit |
4,589.4 |
- |
(7,548.6) |
2,183.9 |
4,546.3 |
3,771.1 |
-17.8% |
101.1% |
% Normalized Operating margin |
26.4% |
0.0% |
0.0% |
0.0% |
0.0% |
27.3% |
90 bps |
240 bps |
Normalized EBITDA |
5,785.9 |
- |
(9,561.0) |
2,718.2 |
5,794.3 |
4,737.4 |
-18.1% |
102.1% |
% Normalized EBITDA margin |
33.3% |
|
|
|
|
34.3% |
100 bps |
320 bps |
7
In 4Q23, net revenue per hectoliter and Cash COGS per hectoliter, excluding the sale of non-Ambev products
on the marketplace, were R$ 141.0 (115.3% organic growth) and R$ (57.7) (95.4% organic growth), respectively. In FY23, net revenue
per hectoliter and Cash COGS per hectoliter, excluding the sale of non-Ambev products on the marketplace, were R$ 379.2 (92.8% organic
growth) and R$ (163.5) (72.8% organic growth), respectively. Reported numbers are presented applying Hyperinflation Accounting for
our Argentinean operations, as detailed on page 15.
| | |
ambev.com.br | | Press Release – February 29, 2024 |
| Page | 9 |
| |
Canada: volume shortfall
driven by a challenging industry impacting top and bottom line performances in the quarter
| · | Operating performance: volumes dropped
by 7.4% in the context of challenging beer and beyond beer industries, impacting net revenue performance (-3.6%). NR/hl grew by 4.0% driven
by revenue management initiatives coupled with positive brand mix. Normalized EBITDA declined by 1.5%, due to the impact of lower volumes
in both net revenue and Cash COGS, partially offset by lower Cash SG&A. |
In FY23, net revenue
was down 0.2% (volumes -6.4% and NR/hl +6.7%), and Normalized EBITDA rose by 2.7%, with gross margin contraction of 120 bps, and
Normalized EBITDA margin expansion of 70 bps.
| · | Commercial highlights: in FY23, the consistent
execution of our premiumization strategy posted positive results, with our above core segments growing volumes, brand health and market
share (according to our estimates), led by Corona and Michelob Ultra families. As to our digital initiatives, BEES continued to expand
in the country, being now present in three provinces, bringing convenience to our customers and increasing our NPS. |
Canada8 |
4Q22 |
Scope |
Currency Translation |
Organic Growth |
4Q23 |
% As Reported |
% Organic |
R$ million |
Volume ('000 hl) |
2,196.8 |
- |
|
(161.8) |
2,035.0 |
-7.4% |
-7.4% |
Net revenue |
2,347.5 |
- |
(160.9) |
(85.1) |
2,101.4 |
-10.5% |
-3.6% |
Net revenue/hl (R$) |
1,068.6 |
- |
(79.1) |
43.1 |
1,032.6 |
-3.4% |
4.0% |
COGS |
(943.6) |
- |
71.8 |
(66.4) |
(938.3) |
-0.6% |
7.0% |
COGS/hl (R$) |
(429.5) |
- |
35.3 |
(66.8) |
(461.1) |
7.3% |
15.5% |
COGS excl. deprec. & amort. |
(880.3) |
- |
66.4 |
(53.9) |
(867.8) |
-1.4% |
6.1% |
COGS/hl excl. deprec. & amort. (R$) |
(400.7) |
- |
32.6 |
(58.3) |
(426.4) |
6.4% |
14.6% |
Gross profit |
1,403.8 |
- |
(89.2) |
(151.5) |
1,163.1 |
-17.1% |
-10.8% |
% Gross margin |
59.8% |
|
|
|
55.3% |
-450 bps |
-440 bps |
SG&A excl. deprec. & amort. |
(983.5) |
- |
60.3 |
134.2 |
(789.0) |
-19.8% |
-13.7% |
SG&A deprec. & amort. |
(70.0) |
- |
5.1 |
(1.7) |
(66.6) |
-4.8% |
2.5% |
SG&A total |
(1,053.5) |
- |
65.3 |
132.5 |
(855.6) |
-18.8% |
-12.6% |
Other operating income/(expenses) |
1.9 |
- |
0.0 |
(2.7) |
(0.8) |
-140.4% |
-142.9% |
Normalized Operating Profit |
352.3 |
- |
(23.8) |
(21.8) |
306.7 |
-12.9% |
-6.2% |
% Normalized Operating margin |
15.0% |
0.0% |
0.0% |
0.0% |
14.6% |
-40 bps |
-40 bps |
Normalized EBITDA |
485.5 |
- |
(34.2) |
(7.5) |
443.8 |
-8.6% |
-1.5% |
% Normalized EBITDA margin |
20.7% |
|
|
|
21.1% |
40 bps |
40 bps |
|
|
|
|
|
|
|
|
Canada |
FY22 |
Scope |
Currency Translation |
Organic Growth |
FY23 |
% As Reported |
% Organic |
R$ million |
Volume ('000 hl) |
9,645.0 |
- |
|
(619.9) |
9,025.2 |
-6.4% |
-6.4% |
Net revenue |
10,261.7 |
- |
(710.1) |
(18.4) |
9,533.2 |
-7.1% |
-0.2% |
Net revenue/hl (R$) |
1,063.9 |
- |
(78.7) |
71.0 |
1,056.3 |
-0.7% |
6.7% |
COGS |
(4,271.4) |
- |
304.1 |
(115.9) |
(4,083.1) |
-4.4% |
2.7% |
COGS/hl (R$) |
(442.9) |
- |
33.7 |
(43.3) |
(452.4) |
2.2% |
9.8% |
COGS excl. deprec. & amort. |
(4,011.1) |
- |
282.8 |
(68.6) |
(3,796.9) |
-5.3% |
1.7% |
COGS/hl excl. deprec. & amort. (R$) |
(415.9) |
- |
31.3 |
(36.2) |
(420.7) |
1.2% |
8.7% |
Gross profit |
5,990.3 |
- |
(405.9) |
(134.3) |
5,450.0 |
-9.0% |
-2.2% |
% Gross margin |
58.4% |
|
|
|
57.2% |
-120 bps |
-120 bps |
SG&A excl. deprec. & amort. |
(3,711.6) |
- |
246.7 |
153.2 |
(3,311.8) |
-10.8% |
-4.1% |
SG&A deprec. & amort. |
(314.5) |
- |
19.5 |
33.9 |
(261.2) |
-17.0% |
-10.8% |
SG&A total |
(4,026.1) |
- |
266.1 |
187.0 |
(3,573.0) |
-11.3% |
-4.6% |
Other operating income/(expenses) |
12.8 |
- |
(1.1) |
3.5 |
15.1 |
18.5% |
27.3% |
Normalized Operating Profit |
1,976.9 |
- |
(140.9) |
56.2 |
1,892.2 |
-4.3% |
2.8% |
% Normalized Operating margin |
19.3% |
0.0% |
0.0% |
0.0% |
19.8% |
50 bps |
50 bps |
Normalized EBITDA |
2,551.7 |
- |
(181.7) |
69.7 |
2,439.7 |
-4.4% |
2.7% |
% Normalized EBITDA margin |
24.9% |
|
|
|
25.6% |
70 bps |
70 bps |
8
In 4Q23, net revenue per hectoliter and Cash COGS per hectoliter, excluding the sale of non-Ambev products
on the marketplace, were R$ 1,029.4 (3.7% organic growth) and R$ (424.4) (14.0% organic growth), respectively. In FY23, net
revenue per hectoliter and Cash COGS per hectoliter, excluding the sale of non-Ambev products on the marketplace, were R$ 1,055.5
(6.6% organic growth) and R$ (420.2) (8.6% organic growth), respectively.
| | |
ambev.com.br | | Press Release – February 29, 2024 |
| Page | 10 |
| |
AMBEV
CONSOLIDATED
Ambev9 |
4Q22 |
Scope |
Currency Translation |
IAS 29
9M Impact |
Organic Growth |
4Q23 |
% As Reported |
% Organic |
R$ million |
Volume ('000 hl) |
52,169.3 |
|
- |
|
(77.7) |
52,091.6 |
-0.1% |
-0.1% |
Net revenue |
22,693.0 |
- |
(14,038.2) |
4,507.8 |
6,826.6 |
19,989.2 |
-11.9% |
29.5% |
Net revenue/hl (R$) |
435.0 |
|
(269.5) |
89.1 |
129.2 |
383.7 |
-11.8% |
29.7% |
COGS |
(10,985.3) |
- |
6,129.2 |
(1,971.3) |
(2,473.9) |
(9,301.3) |
-15.3% |
22.1% |
COGS/hl (R$) |
(210.6) |
|
117.7 |
(38.7) |
(46.9) |
(178.6) |
-15.2% |
22.3% |
COGS excl. deprec. & amort. |
(10,094.5) |
- |
5,356.5 |
(1,716.7) |
(2,076.7) |
(8,531.4) |
-15.5% |
20.2% |
COGS/hl excl. deprec. & amort. (R$) |
(193.5) |
|
102.8 |
(33.7) |
(39.4) |
(163.8) |
-15.4% |
20.4% |
Gross profit |
11,707.8 |
- |
(7,909.0) |
2,536.5 |
4,352.7 |
10,688.0 |
-8.7% |
36.4% |
% Gross margin |
51.6% |
|
|
|
|
53.5% |
190 bps |
280 bps |
SG&A excl. deprec. & amort. |
(6,028.3) |
- |
3,431.5 |
(1,136.5) |
(1,249.6) |
(4,983.0) |
-17.3% |
20.3% |
SG&A deprec. & amort. |
(724.9) |
- |
351.9 |
(112.0) |
(260.8) |
(745.8) |
2.9% |
36.0% |
SG&A total |
(6,753.2) |
- |
3,783.4 |
(1,248.5) |
(1,510.4) |
(5,728.8) |
-15.2% |
22.0% |
Other operating income/(expenses) |
539.1 |
218.1 |
(170.7) |
33.4 |
56.8 |
676.6 |
25.5% |
10.5% |
Normalized Operating Profit |
5,493.6 |
218.1 |
(4,296.3) |
1,321.4 |
2,899.1 |
5,635.8 |
2.6% |
51.7% |
% Normalized Operating margin |
24.2% |
0.0% |
0.0% |
0.0% |
0.0% |
28.2% |
400 bps |
410 bp |
Exceptional items above EBITDA |
(65.0) |
- |
46.9 |
(6.7) |
(30.2) |
(38.4) |
-40.9% |
45.3% |
Net finance results |
(1,079.9) |
|
|
|
|
(700.5) |
-35.1% |
|
Share of results of joint ventures |
(21.1) |
|
|
|
|
(170.2) |
nm |
|
Income tax expense |
755.9 |
|
|
|
|
(198.2) |
-126.2% |
|
Profit |
5,083.4 |
|
|
|
|
4,528.4 |
-10.9% |
|
Attributable to Ambev holders |
4,966.9 |
|
|
|
|
4,387.7 |
-11.7% |
|
Attributable to non-controlling interests |
116.5 |
|
|
|
|
140.8 |
20.8% |
|
|
|
|
|
|
|
|
|
|
Normalized profit |
5,299.7 |
|
|
|
|
4,667.5 |
-11.9% |
|
Attributable to Ambev holders |
5,182.4 |
|
|
|
|
4,526.6 |
-12.7% |
|
|
|
|
|
|
|
|
|
|
Normalized EBITDA |
7,109.3 |
218.1 |
(5,420.9) |
1,688.0 |
3,557.1 |
7,151.5 |
0.6% |
49.0% |
% Normalized EBITDA margin |
31.3% |
|
|
|
|
35.8% |
450 bps |
470 bps |
|
|
|
|
|
|
|
|
|
Ambev |
FY22 |
Scope |
Currency Translation |
IAS 29 9M Impact |
Organic Growth |
FY23 |
% As Reported |
% Organic |
R$ million |
Volume ('000 hl) |
185,749.7 |
|
- |
- |
(2,090.7) |
183,659.0 |
-1.1% |
-1.1% |
Net revenue |
79,708.8 |
|
(26,041.3) |
6,924.1 |
19,145.2 |
79,736.9 |
0.0% |
24.1% |
Net revenue/hl (R$) |
429.1 |
|
(141.8) |
37.3 |
109.5 |
434.2 |
1.2% |
25.5% |
COGS |
(40,422.1) |
|
11,335.0 |
(2,913.6) |
(7,290.9) |
(39,291.6) |
-2.8% |
18.1% |
COGS/hl (R$) |
(217.6) |
|
61.7 |
(15.7) |
(42.3) |
(213.9) |
-1.7% |
19.4% |
COGS excl. deprec. & amort. |
(37,006.8) |
|
9,895.5 |
(2,542.1) |
(6,082.3) |
(35,735.7) |
-3.4% |
16.5% |
COGS/hl excl. deprec. & amort. (R$) |
(199.2) |
|
53.9 |
(13.7) |
(35.5) |
(194.6) |
-2.3% |
17.8% |
Gross profit |
39,286.8 |
|
(14,706.3) |
4,010.6 |
11,854.3 |
40,445.3 |
2.9% |
30.3% |
% Gross margin |
49.3% |
|
|
|
|
50.7% |
140 bps |
240 bps |
SG&A excl. deprec. & amort. |
(21,445.1) |
- |
6,480.0 |
(1,717.7) |
(3,897.7) |
(20,580.4) |
-4.0% |
18.2% |
SG&A deprec. & amort. |
(2,524.3) |
- |
649.3 |
(162.8) |
(818.4) |
(2,856.3) |
13.2% |
32.4% |
SG&A total |
(23,969.4) |
- |
7,129.3 |
(1,880.5) |
(4,716.1) |
(23,436.7) |
-2.2% |
19.7% |
Other operating income/(expenses) |
2,513.9 |
(772.9) |
(256.4) |
53.9 |
490.5 |
2,028.9 |
-19.3% |
32.2% |
Other operating income/(expenses) excl. impair. |
2,513.9 |
(772.9) |
(256.4) |
53.9 |
496.2 |
2,034.7 |
-19.1% |
32.6% |
Normalized Operating Profit |
17,831.2 |
(772.9) |
(7,833.5) |
2,183.9 |
7,628.7 |
19,037.5 |
6.8% |
45.6% |
% Normalized Operating margin |
22.4% |
0.0% |
0.0% |
0.0% |
0.0% |
23.9% |
150 bps |
360 bps |
Exceptional items above EBITDA |
(143.3) |
- |
61.3 |
(5.8) |
(135.2) |
(206.4) |
44.0% |
94.9% |
Net finance results |
(3,423.2) |
|
|
|
|
(3,609.8) |
5.5% |
|
Share of results of joint ventures |
(29.1) |
|
|
|
|
(185.4) |
nm |
|
Income tax expense |
655.6 |
|
|
|
|
(75.5) |
-111.5% |
|
Profit |
14,891.3 |
|
|
|
|
14,960.5 |
0.5% |
|
Attributable to Ambev holders |
14,457.9 |
|
|
|
|
14,501.9 |
0.3% |
|
Attributable to non-controlling interests |
433.3 |
|
|
|
|
458.5 |
5.8% |
|
|
|
|
|
|
|
|
|
|
Normalized profit |
15,166.8 |
|
|
|
|
15,227.2 |
0.4% |
|
Attributable to Ambev holders |
14,731.5 |
|
|
|
|
14,767.0 |
0.2% |
|
|
|
|
|
|
|
|
|
|
Normalized EBITDA |
23,770.9 |
(772.9) |
(9,922.3) |
2,718.2 |
9,661.5 |
25,455.4 |
7.1% |
42.6% |
% Normalized EBITDA margin |
29.8% |
|
|
|
|
31.9% |
210 bps |
430 bps |
9
In 4Q23, net revenue per hectoliter and Cash COGS per hectoliter, excluding the sale of non-Ambev products
on the marketplace, were R$ 377.0 (29.3% organic growth) and R$ (158.0) (19.3% organic growth), respectively. In FY23, net revenue
per hectoliter and Cash COGS per hectoliter, excluding the sale of non-Ambev products on the marketplace, were R$ 425.7 (25.4% organic
growth) and R$ (187.1) (17.5% organic growth), respectively. The scope changes refer to tax credits and related effects in Brazil.
| | |
ambev.com.br | | Press Release – February 29, 2024 |
| Page | 11 |
| |
OTHER
OPERATING INCOME/EXPENSES
Other operating income/(expenses) |
4Q22 |
4Q23 |
FY22 |
FY23 |
R$ million |
|
|
|
|
|
Government grants/NPV of long term fiscal incentives |
408.4 |
392.3 |
1,289.3 |
1,573.2 |
Credits/(debits) taxes extemporaneous(i) |
(0.1) |
218.0 |
1,013.9 |
218.0 |
(Additions to)/reversals of provisions |
(19.9) |
(65.2) |
(77.2) |
(77.7) |
Gain/(loss) on disposal of fixed assets, intangible assets and operations in associates |
23.8 |
31.8 |
88.8 |
86.4 |
Net other operating income/(expenses) |
126.9 |
99.8 |
199.2 |
229.1 |
|
|
|
|
|
Other operating income/(expenses) |
539.1 |
676.6 |
2,513.9 |
2,028.9 |
(i) As detailed in notes 1 - Corporate
Information and 17.2 – Contingencies of our Financial Statement, we recorded PIS and COFINS credits arising from the
exclusion of ICMS (including in the tax substitution form) from their calculation basis in the item Other operating income/(expenses).
EXCEPTIONAL
ITEMS
Exceptional items corresponded to (i) restructuring
expenses primarily related to centralization and restructuring projects in Brazil, LAS, CAC and Canada; and (ii) legal fees in connection
with litigation related to warrants issued by Cervejaria Brahma in 2003. Several lawsuits were filed in order to discuss the criteria
used in calculating the exercise price of such warrants. In 2023, as successors of Cervejaria Brahma, we obtained definitive favorable
decisions against certain plaintiffs on the matter, which was already classified as a remote loss.
Exceptional Items |
4Q22 |
4Q23 |
FY22 |
FY23 |
R$ million |
|
|
|
|
|
Restructuring |
(47.5) |
(37.0) |
(101.7) |
(109.4) |
IAS 29/CPC 42 (hyperinflation) application effect |
(2.6) |
(1.4) |
(8.2) |
(2.3) |
COVID-19 impact |
1.7 |
- |
(16.7) |
- |
Write-off of investments |
(16.6) |
- |
(16.6) |
- |
Legal Fees |
- |
- |
|
(94.7) |
|
- |
- |
|
|
Exceptional Items |
(65.0) |
(38.4) |
(143.3) |
(206.4) |
| | |
ambev.com.br | | Press Release – February 29, 2024 |
| Page | 12 |
| |
NET
FINANCE RESULTS
Net finance results in 4Q23 totaled R$ (700.5)
million, a decrease of R$ 379.4 million compared to 4Q22, broken down as follows:
| · | Interest income totaled R$ 798.8 million, mainly
explained by: (i) interest income of R$ 377.1 million from cash balance investments in Brazil and Argentina; (ii) interest rate update
on Brazilian tax credits of R$ 113.0 million; and (iii) one-off tax credits of R$ 189.0 million. |
| · | Interest expense totaled R$ 524.4 million, mainly impacted by: (i) fair value adjustments of payables
pursuant to by IFRS 13 (CPC 46) of R$ 292.7 million; (ii) CND put option interest accruals of R$ 58.7 million; (iii) interest on debt
of R$ 48.1 million; and (iv) lease liabilities interest accruals of R$ 34.1 million in accordance with IFRS16 (CPC 06 R2). |
| · | Losses on derivative instruments of R$ 103.8 million, mainly explained by: (i) hedging carry costs related
to our FX exposure of US$ 364.7 million in Argentina, with approximately 239% carry cost; and (ii) hedging carry costs related to our
FX exposure of US$ 2.0 billion in Brazil, with approximately 3.9% carry cost. |
| · | Losses on non-derivative instruments of R$ 300.5 million, driven by losses on third-party payables and
intercompany balance sheet consolidation. |
| · | Taxes on financial transactions of R$ 28.9 million. |
| · | Other financial expenses of R$ 179.2 million, mainly explained by accruals on legal contingencies, letter
of credit expenses, pension plan expenses and bank fees. |
| · | Non-cash financial expenses of R$ 362.5 million resulting from the adoption of Hyperinflation Accounting
in Argentina. |
Net finance results |
4Q22 |
4Q23 |
FY22 |
FY23 |
R$ million |
|
|
|
|
|
Interest income |
532.7 |
798.8 |
2,167.7 |
2,085.6 |
Interest expenses |
(679.2) |
(524.4) |
(2,328.3) |
(2,432.2) |
Gains/(losses) on derivative instruments |
(531.3) |
(103.8) |
(3,158.4) |
(1,675.1) |
Gains/(losses) on non-derivative instruments |
(177.8) |
(300.5) |
(618.5) |
(1,034.8) |
Taxes on financial transactions |
(126.3) |
(28.9) |
(339.6) |
(178.3) |
Other net financial income/(expenses) |
(360.4) |
(179.2) |
(749.5) |
(551.1) |
Hyperinflation Argentina |
262.3 |
(362.5) |
1,603.5 |
176.1 |
|
|
|
|
|
Net finance results |
(1,079.9) |
(700.5) |
(3,423.2) |
(3,609.8) |
| | |
ambev.com.br | | Press Release – February 29, 2024 |
| Page | 13 |
| |
DEBT
BREAKDOWN
Debt breakdown |
December 31, 2022 |
December 31, 2023 |
R$ million |
Current |
Non-current |
Total |
Current |
Non-current |
Total |
|
|
|
|
|
|
|
Local Currency |
754.3 |
2,077.9 |
2,832.2 |
1,043.4 |
1,571.8 |
2,615.2 |
Foreign Currency |
228.2 |
710.3 |
938.5 |
254.7 |
631.2 |
885.9 |
Consolidated Debt |
982.6 |
2,788.1 |
3,770.7 |
1,298.1 |
2,203.0 |
3,501.1 |
|
|
|
|
|
|
|
Cash and Cash Equivalents less Bank Overdrafts |
|
|
14,852.1 |
|
|
16,059.0 |
Current Investment Securities |
|
|
454.5 |
|
|
277.2 |
|
|
|
|
|
|
|
Net debt/(cash) |
|
|
(11,535.9) |
|
|
(12,835.1) |
PROVISION
FOR INCOME TAX & SOCIAL CONTRIBUTION
The table below demonstrates the income tax and social contribution
provision.
Income tax and social contribution |
4Q22 |
4Q23 |
FY22 |
FY23 |
R$ million |
|
|
|
|
|
Profit before tax |
4,327.5 |
4,726.7 |
14,235.7 |
15,035.9 |
|
|
|
|
|
Adjustment on taxable basis |
|
|
|
|
Non-taxable other income |
(125.0) |
(296.6) |
(883.3) |
(919.0) |
Government grants (VAT) |
(786.8) |
(838.4) |
(2,535.1) |
(3,011.7) |
Share of results of joint ventures |
21.1 |
170.2 |
29.1 |
185.4 |
Expenses not deductible |
47.2 |
25.0 |
192.8 |
56.5 |
Worldwide taxation |
454.0 |
748.8 |
679.3 |
1,171.4 |
Total |
3,938.1 |
4,535.7 |
11,718.5 |
12,518.5 |
Aggregated weighted nominal tax rate |
29.4% |
27.1% |
29.5% |
28.3% |
Taxes – nominal rate |
(1,158.9) |
(1,229.9) |
(3,453.3) |
(3,542.3) |
|
|
|
|
|
Adjustment on tax expense |
|
|
|
|
Income tax incentive |
67.4 |
43.1 |
234.0 |
120.4 |
Tax benefit - interest on shareholders' equity |
1,631.4 |
1,151.0 |
4,079.9 |
3,909.8 |
Tax benefit - amortization on tax books |
4.3 |
4.3 |
27.2 |
17.2 |
Withholding income tax |
(99.6) |
(266.3) |
(164.5) |
(489.1) |
Argentina's hyperinflation effect |
(51.8) |
27.7 |
(249.0) |
(382.3) |
Other tax adjustments |
363.1 |
72.0 |
181.3 |
290.8 |
|
|
|
|
|
Income tax and social contribution expense |
755.9 |
(198.2) |
655.6 |
(75.5) |
Effective tax rate |
-17.5% |
4.2% |
-4.6% |
0.5% |
| | |
ambev.com.br | | Press Release – February 29, 2024 |
| Page | 14 |
| |
SHAREHOLDING
STRUCTURE
The table below summarizes Ambev S.A.’s
shareholding structure as of December 31, 2023.
Ambev S.A.'s shareholding structure |
|
ON |
% Outs |
Anheuser-Busch InBev |
9,729,336,918 |
61.8% |
FAHZ |
1,609,987,301 |
10.2% |
Market |
4,410,124,647 |
28.0% |
Outstanding |
15,749,448,866 |
100.0% |
Treasury |
4,384,418 |
|
TOTAL |
15,753,833,284 |
|
Free float B3 |
2,999,547,567 |
19.0% |
Free float NYSE |
1,410,577,080 |
9.0% |
| | |
ambev.com.br | | Press Release – February 29, 2024 |
| Page | 15 |
| |
FINANCIAL
REPORTING IN HYPERINFLATIONARY ECONOMIES - ARGENTINA
Following the categorization of Argentina
as a country with a three-year cumulative inflation rate greater than 100%, the country is considered highly inflationary in accordance
with IFRS.
Consequently,
starting from 3Q18, we have been reporting the operations of our Argentinean affiliates applying Hyperinflation Accounting. The IFRS and
CPC rules (IAS 29/CPC 42) require the results of our operations in hyperinflationary economies to be reported restating the year-to-date
results adjusting for the change in the general purchasing power of the local currency, using official indices, before converting the
local amounts at the closing rate of the period (i.e., December 31, 2023 closing rate for 4Q23 and FY23 results).
The FY23
Hyperinflation Accounting adjustment results from the combined effect of (i) the indexation to reflect
changes in purchasing power on the FY23 results against a dedicated line in the finance results;
and (ii) the difference between the translation of the FY23 results at the closing exchange rate
of December 30, 2023, and the translation using the average year to date rate on the reported period,
as applicable to non-inflationary economies.
The impacts
in 4Q22, FY22, 4Q23 and FY23 on Net Revenue and Normalized EBITDA were as follows:
Impact of Hyperinflation Accounting (IAS 29/CPC42) |
|
|
|
|
Revenue |
|
|
|
|
R$ million |
4Q22 |
4Q23 |
FY22 |
FY23 |
Indexation(1) |
779.6 |
686.3 |
2,521.2 |
2,717.4 |
Currency(2) |
(1,630.2) |
(4,443.2) |
(2,789.1) |
(6,604.8) |
Total Impact |
(850.6) |
(3,756.9) |
(267.9) |
(3,887.5) |
Normalized EBITDA |
|
|
|
|
R$ million |
4Q22 |
4Q23 |
FY22 |
FY23 |
Indexation(1) |
194.5 |
379.4 |
783.1 |
1,021.3 |
Currency(2) |
(566.3) |
(1,528.2) |
(947.2) |
(2,303.8) |
Total Impact |
(371.8) |
(1,148.8) |
(164.1) |
(1,282.4) |
|
|
|
|
|
ARS/BRL average rate |
|
|
24.7939 |
58.7210 |
ARS/BRL closing rate |
33.9460 |
166.9332 |
33.9460 |
166.9332 |
| (1) | Indexation calculated at each period’s closing
exchange rate. |
| (2) | Currency impact calculated as the difference between
converting the Argentinean Peso (ARS) reported amounts at the closing exchange rate compared to the average exchange rate of each period. |
Furthermore, IAS 29 requires adjusting non-monetary
assets and liabilities on the balance sheet of our operations in hyperinflationary economies for cumulative inflation. The resulting effect
from the adjustment until December 31, 2017 was reported in Equity and, the effect from the adjustment from this date on, in a dedicated
account in the finance results, reporting deferred taxes on such adjustments, when applicable.
In 4Q23, the
transition to Hyperinflation Accounting in accordance with the IFRS rules resulted in (i) a negative R$ 362.5 million
adjustment reported in the finance results, (ii) a negative impact on the Profit of R$ 775.7 million, (iii) a negative impact on the Normalized
Profit of R$ 788.1 million, and (iv) a positive impact of R$ 0.05 on EPS, as well as on Normalized
EPS.
In FY23, the consequences of the transition
were (i) a positive R$ 176.1 million adjustment reported in the finance results; (ii) a negative impact
on the Profit of R$ 1,275.0 million; (iii) a negative impact on the Normalized Profit of R$ 1,289.0
million, and (iv) negative impact of R$ 0.08 on EPS, as well as on Normalized EPS.
The organic
4Q results are calculated by deducting from the FY results the HY results as published. Consequently, LAS and consolidated 4Q23,
4Q22, FY23 and FY22 results are impacted by the adjustment of YTD September results for the cumulative inflation between reporting periods,
as well as by the translation of YTD September results at the FY closing exchange rate, of December 31, as follows:
| | |
ambev.com.br | | Press Release – February 29, 2024 |
| Page | 16 |
| |
LAS - 9M As Reported |
FY22 |
Scope |
Currency Translation |
Organic Growth |
FY23 |
% Organic |
Net revenue |
17,371.2 |
- |
(24,907.0) |
14,408.9 |
13,797.2 |
84.4% |
COGS |
(8,553.1) |
- |
10,833.1 |
(6,023.7) |
(6,657.3) |
71.6% |
COGS excl. deprec. & amort. |
(7,753.2) |
- |
9,439.9 |
(5,151.4) |
(6,006.8) |
67.5% |
Gross profit |
8,818.1 |
- |
(14,074.0) |
8,385.1 |
7,139.9 |
96.8% |
SG&A excl. deprec. & amort. |
(4,024.8) |
- |
6,159.9 |
(3,565.4) |
(3,147.9) |
89.9% |
SG&A deprec. & amort. |
(396.6) |
- |
619.2 |
(375.6) |
(315.8) |
95.9% |
SG&A total |
(4,421.4) |
- |
6,779.1 |
(3,941.0) |
(3,463.8) |
90.4% |
Other operating income/(expenses) |
192.7 |
- |
(253.8) |
102.2 |
95.0 |
53.6% |
Normalized Operating Profit |
4,589.4 |
- |
(7,548.6) |
4,546.3 |
3,771.1 |
101.1% |
Normalized EBITDA |
5,785.9 |
- |
(9,561.0) |
5,794.3 |
4,737.4 |
102.1% |
LAS - 9M Recalculated at FY Exchange Rates |
FY22 |
Scope |
Currency Translation |
Organic Growth |
FY23 |
% Organic |
Net revenue |
16,922.6 |
- |
(31,567.6) |
18,916.7 |
11,195.9 |
113.7% |
COGS |
(8,344.6) |
- |
13,725.6 |
(7,995.0) |
(5,527.6) |
97.4% |
COGS excl. deprec. & amort. |
(7,568.3) |
- |
11,953.5 |
(6,868.1) |
(5,025.1) |
92.3% |
Gross profit |
8,578.0 |
- |
(17,842.0) |
10,921.7 |
5,668.3 |
129.7% |
SG&A excl. deprec. & amort. |
(3,911.9) |
- |
7,839.6 |
(4,701.9) |
(2,491.9) |
122.0% |
SG&A deprec. & amort. |
(384.5) |
- |
783.1 |
(487.6) |
(251.8) |
128.4% |
SG&A total |
(4,296.4) |
- |
8,622.7 |
(5,189.5) |
(2,743.8) |
122.6% |
Other operating income/(expenses) |
189.3 |
- |
(303.1) |
135.6 |
75.7 |
72.4% |
Normalized Operating Profit |
4,470.9 |
- |
(9,522.4) |
5,867.7 |
3,000.2 |
134.1% |
Normalized EBITDA |
5,631.7 |
- |
(12,077.7) |
7,482.3 |
3,754.5 |
135.5% |
LAS - 9M Recalculation Impact in 4Q |
FY22 |
Scope |
Currency Translation |
Organic Growth |
FY23 |
% Organic |
Net revenue |
(448.6) |
- |
(6,660.6) |
4,507.8 |
(2,601.3) |
0.0% |
COGS |
208.5 |
- |
2,892.5 |
(1,971.3) |
1,129.7 |
0.0% |
COGS excl. deprec. & amort. |
184.8 |
- |
2,513.6 |
(1,716.7) |
981.7 |
0.0% |
Gross profit |
(240.1) |
- |
(3,768.0) |
2,536.5 |
(1,471.6) |
0.0% |
SG&A excl. deprec. & amort. |
112.9 |
- |
1,679.7 |
(1,136.5) |
656.0 |
0.0% |
SG&A deprec. & amort. |
12.1 |
- |
163.8 |
(112.0) |
64.0 |
0.0% |
SG&A total |
125.0 |
- |
1,843.5 |
(1,248.5) |
720.0 |
0.0% |
Other operating income/(expenses) |
(3.3) |
- |
(49.3) |
33.4 |
(19.3) |
0.0% |
Normalized Operating Profit |
(118.4) |
- |
(1,973.9) |
1,321.4 |
(770.9) |
0.0% |
Normalized EBITDA |
(154.2) |
- |
(2,516.7) |
1,688.0 |
(982.9) |
0.0% |
LAS 3M, 6M and 9M Recalculation Impact in FY |
FY22 |
Scope |
Currency Translation |
Organic Growth |
FY23 |
% Organic |
Net revenue |
291.6 |
- |
(9,858.0) |
6,924.1 |
(2,642.2) |
|
COGS |
(135.9) |
- |
4,193.6 |
(2,913.6) |
1,144.2 |
|
COGS excl. deprec. & amort. |
(124.8) |
- |
3,662.0 |
(2,542.1) |
995.0 |
|
Gross profit |
155.8 |
- |
(5,664.4) |
4,010.6 |
(1,498.1) |
|
SG&A excl. deprec. & amort. |
(58.5) |
- |
2,439.8 |
(1,717.7) |
663.6 |
|
SG&A deprec. & amort. |
(4.9) |
- |
232.1 |
(162.8) |
64.5 |
|
SG&A total |
(63.4) |
- |
2,671.9 |
(1,880.5) |
728.0 |
|
Other operating income/(expenses) |
2.0 |
- |
(75.2) |
53.9 |
(19.3) |
|
Normalized Operating Profit |
94.4 |
- |
(3,067.7) |
2,183.9 |
(789.4) |
|
Normalized EBITDA |
110.3 |
- |
(3,831.4) |
2,718.2 |
(1,003.0) |
|
In the corresponding sections, the impacts
above are excluded from organic calculation and are identified separately in the columns labeled “IAS 29 9M Impact”.
For 2024, the definition of organic revenue growth
will be amended to cap the price growth in Argentina to a maximum of 2% per month. Corresponding adjustments will be made to the organic
growth calculation of all income statement related items.
| | |
ambev.com.br | | Press Release – February 29, 2024 |
| Page | 17 |
| |
RECONCILIATION
BETWEEN NORMALIZED EBITDA & PROFIT
Both Normalized EBITDA and Normalized Operating
Profit are measures used by our management to measure the company’s performance.
Normalized EBITDA is calculated excluding
from Profit the following effects: (i) non-controlling interest; (ii) Income Tax expense; (iii) share of results of associates; (iv) net
finance results; (v) exceptional items; and (vi) depreciation & amortization.
EBITDA is calculated excluding from Normalized
EBITDA the following effects: (i) exceptional items; and (ii) share of results of associates.
Normalized EBITDA and Normalized Operating
Profit are not accounting measures under accounting practices in Brazil, IFRS or the United States of America (US GAAP) and should not
be considered as an alternative to Profit as a measure of operational performance or an alternative to cash flow as a measure of liquidity.
Normalized EBITDA and Normalized Operating Profit do not have a standard calculation method and our definition of Normalized EBITDA and
Normalized Operating Profit may not be comparable to that of other companies.
Reconciliation - Profit to EBITDA |
4Q22 |
4Q23 |
FY22 |
FY23 |
R$ million |
|
|
|
|
|
Profit - Ambev holders |
4,966.9 |
4,387.7 |
14,457.9 |
14,501.9 |
Non-controlling interest |
116.5 |
140.8 |
433.3 |
458.5 |
Income tax expense |
(755.9) |
198.2 |
(655.6) |
75.5 |
Profit before taxes |
4,327.5 |
4,726.7 |
14,235.7 |
15,035.9 |
Share of results of joint ventures |
21.1 |
170.2 |
29.1 |
185.4 |
Net finance results |
1,079.9 |
700.5 |
3,423.2 |
3,609.8 |
Exceptional items |
65.0 |
38.4 |
143.3 |
206.4 |
Normalized Operating Profit |
5,493.6 |
5,635.8 |
17,831.2 |
19,037.5 |
Depreciation & amortization – total* |
1,615.7 |
1,515.7 |
5,939.6 |
6,417.92 |
Normalized EBITDA |
7,109.3 |
7,151.5 |
23,770.9 |
25,455.4 |
Exceptional items without write-off of investments |
(48.4) |
(38.4) |
(126.7) |
(206.4) |
Share of results of joint ventures |
(21.1) |
(170.2) |
(29.1) |
(185.4) |
EBITDA |
7,039.7 |
6,942.8 |
23,615.1 |
25,063.6 |
* Includes write-off of investments. |
|
|
|
|
For illustration purposes only, if we
were to simulate the impact on our FY23 consolidated Profit of the devaluation of the Argentinean Peso that took place on December 13th,
2023 exclusively in terms of FX translation effects and transactional effects caused by FX exposure, we would have had a negative impact
of approximately 6%.
| | |
ambev.com.br | | Press Release – February 29, 2024 |
| Page | 18 |
| |
4Q
& FY 2023 EARNINGS CONFERENCE CALL
Speakers: |
|
Jean Jereissati Neto |
|
|
Chief Executive Officer |
|
|
|
|
|
Lucas Machado Lira |
|
|
Chief Financial and Investor Relations Officer |
|
|
|
Language: |
|
English and Portuguese (simultaneous translation) |
|
|
|
Date: |
|
February 29, 2024 (Thursday) |
|
|
|
Time: |
|
01:30 PM (Brasília) |
|
|
11:30 AM (New York) |
The
conference call will be transmitted live via webcast available at:
https://nucleodeimagem.com.br/ambev/4q23.htm.
Sell
side analysts covering the company as indicated in its website can participate and apply for Q&A at: https://us02web.zoom.us/webinar/register/WN_zWgyVb2rSueGxWJZvYmLnw.
For additional information, please contact
the Investor Relations team:
Guilherme Yokaichiya |
Mariana Sabadin |
Leandro Ferreira De Souza |
|
|
|
Guilherme.yokaichiya@ambev.com.br |
mariana.sabadin@ambev.com.br |
leandro.ferreira.souza@ambev.com.br |
ir.ambev.com.br
| | |
ambev.com.br | | Press Release – February 29, 2024 |
| Page | 19 |
| |
NOTES
This press release segregates the impact of
organic changes from those arising from changes in scope or currency translation. Scope changes represent the impact of acquisitions and
divestitures, the start up or termination of activities or the transfer of activities between segments, curtailment gains and losses and
year-over-year changes in accounting estimates and other assumptions that management does not consider as part of the underlying performance
of the business. Organic growth and normalized numbers are presented applying constant year-over-year exchange rates to exclude the impact
of the movement of foreign exchange rates.
Unless stated, percentage changes in this
press release are both organic and normalized in nature. Whenever used in this document, the term “normalized” refers to performance
measures EBITDA and Operating Profit before exceptional items and share of results of joint ventures and to performance measures Profit
and EPS before exceptional items adjustments. Exceptional items are either income or expenses which do not occur regularly as part of
the normal activities of the Company. They are presented separately because they are important for the understanding of the underlying
sustainable performance of the Company due to their size or nature. Normalized measures are additional measures used by management and
should not replace the measures determined in accordance with IFRS as indicators of the Company’s performance. Comparisons, unless
otherwise stated, refer to the fourth quarter of 2022 (4Q22). Values in this release may not add up due to rounding.
Statements contained in this press release
may contain information that is forward-looking and reflects management’s current view and estimates of future economic circumstances,
industry conditions, Company performance, and finance results. Any statements, expectations, capabilities, plans and assumptions contained
in this press release that do not describe historical facts, such as statements regarding the declaration or payment of dividends, the
direction of future operations, the implementation of principal operating and financing strategies and capital expenditure plans, the
factors or trends affecting financial condition, liquidity or results of operations, are forward-looking statements within the meaning
of the U.S. Private Securities Litigation Reform Act of 1995 and involve a number of risks and uncertainties. There is no guarantee that
these results will occur. The statements are based on many assumptions and factors, including general economic and market conditions,
industry conditions, and operating factors. Any changes in such assumptions or factors could cause actual results to differ materially
from current expectations.
| | |
ambev.com.br | | Press Release – February 29, 2024 |
| Page | 20 |
| |
Ambev - Segment financial information |
|
|
|
Brazil |
|
|
|
|
|
CAC |
|
|
LAS |
|
|
Canada |
|
|
Ambev |
|
|
Organic results |
Beer |
|
|
NAB |
|
|
Total |
|
|
|
|
|
|
|
|
|
|
|
Consolidated |
|
|
|
4Q22 |
4Q23 |
% |
4Q22 |
4Q23 |
% |
4Q22 |
4Q23 |
% |
4Q22 |
4Q23 |
% |
4Q22 |
4Q23 |
% |
4Q22 |
4Q23 |
% |
4Q22 |
4Q23 |
% |
|
Volume ('000 hl) |
26,605.0 |
26,320.0 |
-1.1% |
9,032.4 |
9,590.9 |
6.2% |
35,637.4 |
35,910.9 |
0.8% |
3,112.5 |
3,353.3 |
7.7% |
11,222.7 |
10,792.5 |
-3.8% |
2,196.8 |
2,035.0 |
-7.4% |
52,169.3 |
52,091.6 |
-0.1% |
|
R$ million |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net revenue |
10,794.5 |
11,452.7 |
6.1% |
2,022.3 |
2,137.6 |
5.7% |
12,816.7 |
13,590.2 |
6.0% |
2,714.6 |
2,796.4 |
12.6% |
4,814.3 |
1,501.2 |
110.2% |
2,347.5 |
2,101.4 |
-3.6% |
22,693.0 |
19,989.2 |
29.5% |
|
% of total |
47.6% |
57.3% |
|
8.9% |
10.7% |
|
56.5% |
68.0% |
|
12.0% |
14.0% |
|
21.2% |
7.5% |
|
10.3% |
10.5% |
|
100.0% |
100.0% |
|
|
COGS |
(5,401.6) |
(5,254.1) |
-2.7% |
(1,118.8) |
(1,132.8) |
1.2% |
(6,520.4) |
(6,386.9) |
-2.0% |
(1,336.6) |
(1,340.4) |
9.0% |
(2,184.6) |
(635.6) |
101.1% |
(943.6) |
(938.3) |
7.0% |
(10,985.3) |
(9,301.3) |
22.1% |
|
% of total |
49.2% |
56.5% |
|
10.2% |
12.2% |
|
59.4% |
68.7% |
|
12.2% |
14.4% |
|
19.9% |
6.8% |
|
8.6% |
10.1% |
|
100.0% |
100.0% |
|
|
Gross profit |
5,392.8 |
6,198.5 |
14.9% |
903.5 |
1,004.8 |
11.2% |
6,296.3 |
7,203.3 |
14.4% |
1,378.0 |
1,456.0 |
16.0% |
2,629.6 |
865.6 |
117.7% |
1,403.8 |
1,163.1 |
-10.8% |
11,707.8 |
10,688.0 |
36.4% |
|
% of total |
46.1% |
58.0% |
|
7.7% |
9.4% |
|
53.8% |
67.4% |
|
11.8% |
13.6% |
|
22.5% |
8.1% |
|
12.0% |
10.9% |
|
100.0% |
100.0% |
|
|
SG&A |
(3,449.8) |
(3,531.2) |
2.4% |
(669.1) |
(657.6) |
-1.7% |
(4,118.9) |
(4,188.9) |
1.7% |
(555.6) |
(498.2) |
-1.4% |
(1,025.2) |
(186.1) |
137.4% |
(1,053.5) |
(855.6) |
-12.6% |
(6,753.2) |
(5,728.8) |
22.0% |
|
% of total |
51.1% |
61.6% |
|
9.9% |
11.5% |
|
61.0% |
73.1% |
|
8.2% |
8.7% |
|
15.2% |
3.2% |
|
15.6% |
14.9% |
|
100.0% |
100.0% |
|
|
Other operating income/(expenses) |
332.6 |
485.5 |
-9.8% |
128.2 |
90.1 |
-55.2% |
460.8 |
575.6 |
-22.4% |
(84.0) |
38.8 |
-147.8% |
160.4 |
63.1 |
23.6% |
1.9 |
(0.8) |
-142.9% |
539.1 |
676.6 |
10.5% |
|
% of total |
61.7% |
71.7% |
|
23.8% |
13.3% |
|
85.5% |
85.1% |
|
-15.6% |
5.7% |
|
29.8% |
9.3% |
|
0.4% |
-0.1% |
|
100.0% |
100.0% |
|
|
Normalized Operating Profit |
2,275.7 |
3,152.7 |
30.4% |
362.5 |
437.3 |
11.6% |
2,638.2 |
3,590.0 |
27.8% |
738.3 |
996.5 |
47.6% |
1,764.8 |
742.6 |
97.5% |
352.3 |
306.7 |
-6.2% |
5,493.6 |
5,635.8 |
51.7% |
|
% of total |
41.4% |
55.9% |
|
6.6% |
7.8% |
|
48.0% |
63.7% |
|
13.4% |
17.7% |
|
32.1% |
13.2% |
|
6.4% |
5.4% |
|
100.0% |
100.0% |
|
|
Normalized EBITDA |
3,103.4 |
4,137.0 |
27.3% |
481.3 |
587.4 |
15.3% |
3,584.6 |
4,724.4 |
25.7% |
1,008.6 |
1,188.1 |
29.2% |
2,030.5 |
795.2 |
107.5% |
485.5 |
443.8 |
-1.5% |
7,109.3 |
7,151.5 |
49.0% |
|
% of total |
43.7% |
57.8% |
|
6.8% |
8.2% |
|
50.4% |
66.1% |
|
14.2% |
16.6% |
|
28.6% |
11.1% |
|
6.8% |
6.2% |
|
100.0% |
100.0% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
% of net revenue |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net revenue |
100.0% |
100.0% |
|
100.0% |
100.0% |
|
100.0% |
100.0% |
|
100.0% |
100.0% |
|
100.0% |
100.0% |
|
100.0% |
100.0% |
|
100.0% |
100.0% |
|
|
COGS |
-50.0% |
-45.9% |
|
-55.3% |
-53.0% |
|
-50.9% |
-47.0% |
|
-49.2% |
-47.9% |
|
-45.4% |
-42.3% |
|
-40.2% |
-44.7% |
|
-48.4% |
-46.5% |
|
|
Gross profit |
50.0% |
54.1% |
|
44.7% |
47.0% |
|
49.1% |
53.0% |
|
50.8% |
52.1% |
|
54.6% |
57.7% |
|
59.8% |
55.3% |
|
51.6% |
53.5% |
|
|
SG&A |
-32.0% |
-30.8% |
|
-33.1% |
-30.8% |
|
-32.1% |
-30.8% |
|
-20.5% |
-17.8% |
|
-21.3% |
-12.4% |
|
-44.9% |
-40.7% |
|
-29.8% |
-28.7% |
|
|
Other operating income/(expenses) |
3.1% |
4.2% |
|
6.3% |
4.2% |
|
3.6% |
4.2% |
|
-3.1% |
1.4% |
|
3.3% |
4.2% |
|
0.1% |
0.0% |
|
2.4% |
3.4% |
|
|
Normalized Operating Profit |
21.1% |
27.5% |
|
17.9% |
20.5% |
|
20.6% |
26.4% |
|
27.2% |
35.6% |
|
36.7% |
49.5% |
|
15.0% |
14.6% |
|
24.2% |
28.2% |
|
|
Normalized EBITDA |
28.7% |
36.1% |
|
23.8% |
27.5% |
|
28.0% |
34.8% |
|
37.2% |
42.5% |
|
42.2% |
53.0% |
|
20.7% |
21.1% |
|
31.3% |
35.8% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Per hectoliter - (R$/hl) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net revenue |
405.7 |
435.1 |
7.2% |
223.9 |
222.9 |
-0.5% |
359.6 |
378.4 |
5.2% |
872.2 |
833.9 |
4.5% |
429.0 |
139.1 |
118.5% |
1,068.6 |
1,032.6 |
4.0% |
435.0 |
383.7 |
29.7% |
|
COGS |
(203.0) |
(199.6) |
-1.7% |
(123.9) |
(118.1) |
-4.6% |
(183.0) |
(177.9) |
-2.8% |
(429.4) |
(399.7) |
1.2% |
(194.7) |
(58.9) |
109.1% |
(429.5) |
(461.1) |
15.5% |
(210.6) |
(178.6) |
22.3% |
|
Gross profit |
202.7 |
235.5 |
16.2% |
100.0 |
104.8 |
4.7% |
176.7 |
200.6 |
13.5% |
442.7 |
434.2 |
7.6% |
234.3 |
80.2 |
126.4% |
639.0 |
571.6 |
-3.7% |
224.4 |
205.2 |
36.6% |
|
SG&A |
(129.7) |
(134.2) |
3.5% |
(74.1) |
(68.6) |
-7.4% |
(115.6) |
(116.6) |
0.9% |
(178.5) |
(148.6) |
-8.4% |
(91.4) |
(17.2) |
146.9% |
(479.6) |
(420.5) |
-5.6% |
(129.4) |
(110.0) |
22.1% |
|
Other operating income/(expenses) |
12.5 |
18.4 |
-8.8% |
14.2 |
9.4 |
-57.8% |
12.9 |
16.0 |
-23.0% |
(27.0) |
11.6 |
nm |
14.3 |
5.8 |
nm |
0.9 |
(0.4) |
-146.3% |
10.3 |
13.0 |
10.6% |
|
Normalized Operating Profit |
85.5 |
119.8 |
31.8% |
40.1 |
45.6 |
5.1% |
74.0 |
100.0 |
26.8% |
237.2 |
297.2 |
37.0% |
157.3 |
68.8 |
105.3% |
160.4 |
150.7 |
1.3% |
105.3 |
108.2 |
51.9% |
|
Normalized EBITDA |
116.6 |
157.2 |
28.7% |
53.3 |
61.2 |
8.5% |
100.6 |
131.6 |
24.8% |
324.0 |
354.3 |
19.9% |
180.9 |
73.7 |
115.8% |
221.0 |
218.1 |
6.3% |
136.3 |
137.3 |
49.2% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| | |
ambev.com.br | | Press Release – February 29, 2024 |
| Page | 21 |
| |
Ambev - Segment financial information |
Brazil |
CAC |
LAS |
Canada |
Ambev |
Organic results |
Beer |
NAB |
Total |
|
|
|
Consolidated |
|
FY22 |
FY23 |
% |
FY22 |
FY23 |
% |
FY22 |
FY23 |
% |
FY22 |
FY23 |
% |
FY22 |
FY23 |
% |
FY22 |
FY23 |
% |
FY22 |
FY23 |
% |
Volume ('000 hl) |
94,042.6 |
93,111.6 |
-1.0% |
32,141.8 |
33,308.1 |
3.6% |
126,184.4 |
126,419.7 |
0.2% |
11,786.3 |
12,174.6 |
3.3% |
38,134.0 |
36,039.6 |
-5.5% |
9,645.0 |
9,025.2 |
-6.4% |
185,749.7 |
183,659.0 |
-1.1% |
R$ million |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net revenue |
35,857.8 |
38,985.9 |
8.7% |
6,777.9 |
7,375.8 |
8.8% |
42,635.7 |
46,361.8 |
8.7% |
9,440.3 |
10,044.8 |
10.9% |
17,371.2 |
13,797.2 |
84.4% |
10,261.7 |
9,533.2 |
-0.2% |
79,708.8 |
79,736.9 |
24.1% |
% of total |
45.0% |
48.9% |
|
8.5% |
9.3% |
|
53.5% |
58.1% |
|
11.8% |
12.6% |
|
21.8% |
17.3% |
|
12.9% |
12.0% |
|
100.0% |
100.0% |
|
COGS |
(18,765.3) |
(19,377.7) |
3.3% |
(3,971.5) |
(4,138.4) |
4.2% |
(22,736.8) |
(23,516.0) |
3.4% |
(4,860.8) |
(5,035.1) |
7.7% |
(8,553.1) |
(6,657.3) |
71.6% |
(4,271.4) |
(4,083.1) |
2.7% |
(40,422.1) |
(39,291.6) |
18.1% |
% of total |
46.4% |
49.3% |
|
9.8% |
10.5% |
|
56.2% |
59.9% |
|
12.0% |
12.8% |
|
21.2% |
16.9% |
|
10.6% |
10.4% |
|
100.0% |
100.0% |
|
Gross profit |
17,092.5 |
19,608.3 |
14.7% |
2,806.4 |
3,237.4 |
15.4% |
19,898.9 |
22,845.7 |
14.8% |
4,579.4 |
5,009.7 |
14.3% |
8,818.1 |
7,139.9 |
96.8% |
5,990.3 |
5,450.0 |
-2.2% |
39,286.8 |
40,445.3 |
30.3% |
% of total |
43.5% |
48.5% |
|
7.1% |
8.0% |
|
50.7% |
56.5% |
|
11.7% |
12.4% |
|
22.4% |
17.7% |
|
15.2% |
13.5% |
|
100.0% |
100.0% |
|
SG&A |
(11,514.0) |
(12,247.3) |
6.4% |
(2,008.0) |
(2,221.5) |
10.6% |
(13,522.0) |
(14,468.8) |
7.0% |
(1,999.9) |
(1,931.2) |
0.8% |
(4,421.4) |
(3,463.8) |
90.4% |
(4,026.1) |
(3,573.0) |
-4.6% |
(23,969.4) |
(23,436.7) |
19.7% |
% of total |
48.0% |
52.3% |
|
8.4% |
9.5% |
|
56.4% |
61.7% |
|
8.3% |
8.2% |
|
18.4% |
14.8% |
|
16.8% |
15.2% |
|
100.0% |
100.0% |
|
Other operating income/(expenses) |
1,884.5 |
1,474.1 |
25.3% |
476.9 |
418.3 |
12.7% |
2,361.4 |
1,892.5 |
22.2% |
(52.9) |
26.3 |
-152.6% |
192.7 |
95.0 |
53.6% |
12.8 |
15.1 |
27.3% |
2,513.9 |
2,028.9 |
32.2% |
% of total |
75.0% |
72.7% |
|
19.0% |
20.6% |
|
93.9% |
93.3% |
|
-2.1% |
1.3% |
|
7.7% |
4.7% |
|
0.5% |
0.7% |
|
100.0% |
100.0% |
|
Normalized Operating Profit |
7,463.0 |
8,835.1 |
30.9% |
1,275.4 |
1,434.2 |
22.9% |
8,738.3 |
10,269.4 |
29.7% |
2,526.6 |
3,104.8 |
28.6% |
4,589.4 |
3,771.1 |
101.1% |
1,976.9 |
1,892.2 |
2.8% |
17,831.2 |
19,037.5 |
45.6% |
% of total |
41.9% |
46.4% |
|
7.2% |
7.5% |
|
49.0% |
53.9% |
|
14.2% |
16.3% |
|
25.7% |
19.8% |
|
11.1% |
9.9% |
|
100.0% |
100.0% |
|
Normalized EBITDA |
10,401.8 |
12,488.5 |
28.9% |
1,699.8 |
1,906.1 |
19.7% |
12,101.6 |
14,394.6 |
27.6% |
3,331.7 |
3,883.7 |
22.0% |
5,785.9 |
4,737.4 |
102.1% |
2,551.7 |
2,439.7 |
2.7% |
23,770.9 |
25,455.4 |
42.6% |
% of total |
43.8% |
49.1% |
|
7.2% |
7.5% |
|
50.9% |
56.5% |
|
14.0% |
15.3% |
|
24.3% |
18.6% |
|
10.7% |
9.6% |
|
100.0% |
100.0% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
% of net revenue |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net revenue |
100.0% |
100.0% |
|
100.0% |
100.0% |
|
100.0% |
100.0% |
|
100.0% |
100.0% |
|
100.0% |
100.0% |
|
100.0% |
100.0% |
|
100.0% |
100.0% |
|
COGS |
-52.3% |
-49.7% |
|
-58.6% |
-56.1% |
|
-53.3% |
-50.7% |
|
-51.5% |
-50.1% |
|
-49.2% |
-48.3% |
|
-41.6% |
-42.8% |
|
-50.7% |
-49.3% |
|
Gross profit |
47.7% |
50.3% |
|
41.4% |
43.9% |
|
46.7% |
49.3% |
|
48.5% |
49.9% |
|
50.8% |
51.7% |
|
58.4% |
57.2% |
|
49.3% |
50.7% |
|
SG&A |
-32.1% |
-31.4% |
|
-29.6% |
-30.1% |
|
-31.7% |
-31.2% |
|
-21.2% |
-19.2% |
|
-25.5% |
-25.1% |
|
-39.2% |
-37.5% |
|
-30.1% |
-29.4% |
|
Other operating income/(expenses) |
5.3% |
3.8% |
|
7.0% |
5.7% |
|
5.5% |
4.1% |
|
-0.6% |
0.3% |
|
1.1% |
0.7% |
|
0.1% |
0.2% |
|
3.2% |
2.5% |
|
Normalized Operating Profit |
20.8% |
22.7% |
|
18.8% |
19.4% |
|
20.5% |
22.2% |
|
26.8% |
30.9% |
|
26.4% |
27.3% |
|
19.3% |
19.8% |
|
22.4% |
23.9% |
|
Normalized EBITDA |
29.0% |
32.0% |
|
25.1% |
25.8% |
|
28.4% |
31.0% |
|
35.3% |
38.7% |
|
33.3% |
34.3% |
|
24.9% |
25.6% |
|
29.8% |
31.9% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Per hectoliter - (R$/hl) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net revenue |
381.3 |
418.7 |
9.8% |
210.9 |
221.4 |
5.0% |
337.9 |
366.7 |
8.5% |
801.0 |
825.1 |
7.4% |
455.5 |
382.8 |
95.1% |
1,063.9 |
1,056.3 |
6.7% |
429.1 |
434.2 |
25.5% |
COGS |
(199.5) |
(208.1) |
4.3% |
(123.6) |
(124.2) |
0.6% |
(180.2) |
(186.0) |
3.2% |
(412.4) |
(413.6) |
4.2% |
(224.3) |
(184.7) |
81.5% |
(442.9) |
(452.4) |
9.8% |
(217.6) |
(213.9) |
19.4% |
Gross profit |
181.8 |
210.6 |
15.9% |
87.3 |
97.2 |
11.3% |
157.7 |
180.7 |
14.6% |
388.5 |
411.5 |
10.7% |
231.2 |
198.1 |
108.2% |
621.1 |
603.9 |
4.5% |
211.5 |
220.2 |
31.8% |
SG&A |
(122.4) |
(131.5) |
7.4% |
(62.5) |
(66.7) |
6.8% |
(107.2) |
(114.5) |
6.8% |
(169.7) |
(158.6) |
-2.4% |
(115.9) |
(96.1) |
101.5% |
(417.4) |
(395.9) |
1.9% |
(129.0) |
(127.6) |
21.1% |
Other operating income/(expenses) |
20.0 |
15.8 |
26.6% |
14.8 |
12.6 |
8.8% |
18.7 |
15.0 |
22.0% |
(4.5) |
2.2 |
-150.9% |
5.1 |
2.6 |
62.5% |
1.3 |
1.7 |
36.1% |
13.5 |
11.0 |
33.8% |
Normalized Operating Profit |
79.4 |
94.9 |
32.2% |
39.7 |
43.1 |
18.6% |
69.3 |
81.2 |
29.5% |
214.4 |
255.0 |
24.5% |
120.3 |
104.6 |
112.8% |
205.0 |
209.7 |
9.9% |
96.0 |
103.7 |
47.2% |
Normalized EBITDA |
110.6 |
134.1 |
30.2% |
52.9 |
57.2 |
15.5% |
95.9 |
113.9 |
27.4% |
282.7 |
319.0 |
18.1% |
151.7 |
131.5 |
113.8% |
264.6 |
270.3 |
9.8% |
128.0 |
138.6 |
44.2% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| | |
ambev.com.br | | Press Release – February 29, 2024 |
| Page | 22 |
| |
CONSOLIDATED BALANCE SHEET |
|
|
R$ million |
December 31, 2022 |
December 31, 2023 |
|
|
|
Assets |
|
|
Current assets |
|
|
Cash and cash equivalents |
14,926.4 |
16,059.0 |
Investment securities |
454.5 |
277.2 |
Trade receivables |
5,349.1 |
5,741.5 |
Derivative financial instruments |
272.3 |
378.0 |
Inventories |
12,923.0 |
9,619.0 |
Recoverable indirect taxes |
2,853.5 |
3,435.7 |
Other assets |
1,037.9 |
1,052.7 |
Total |
37,816.7 |
36,563.1 |
|
|
|
Non-current assets |
|
|
Investment securities |
219.1 |
242.2 |
Derivative financial instruments |
1.5 |
1.7 |
Recoverable indirect taxes |
11,316.3 |
11,325.1 |
Deferred tax assets |
6,438.8 |
7,969.6 |
Other assets |
1,905.2 |
1,520.7 |
Employee benefits |
56.6 |
57.3 |
Long term assets |
19,937.5 |
21,116.5 |
|
|
|
Investments in joint ventures |
331.9 |
289.1 |
Property, plant and equipment |
30,055.7 |
26,630.2 |
Intangible |
9,222.2 |
10,041.7 |
Goodwill |
40,594.0 |
38,003.6 |
|
100,141.4 |
96,081.1 |
|
|
|
Total assets |
137,958.1 |
132,644.1 |
|
|
|
Equity and liabilities |
|
|
Current liabilities |
|
|
Trade payables |
24,328.5 |
23,195.1 |
Derivative financial instruments |
729.4 |
751.4 |
Interest-bearing loans and borrowings |
982.6 |
1,298.1 |
Bank overdrafts |
74.3 |
- |
Payroll and social security payables |
2,335.8 |
2,128.5 |
Dividends and interest on shareholder´s equity payable |
1,464.8 |
1,526.2 |
Income tax and social contribution payable |
1,118.6 |
1,340.5 |
Taxes and contributions payable |
5,812.9 |
6,236.6 |
Put option granted on subsidiaries and other liabilities |
3,512.8 |
4,110.1 |
Provisions |
180.7 |
418.4 |
|
40,540.5 |
41,004.9 |
|
|
|
Non-current liabilities |
|
|
Trade payables |
509.4 |
307.3 |
Derivative financial instruments |
- |
11.6 |
Interest-bearing loans and borrowings |
2,788.1 |
2,203.0 |
Deferred tax liabilities |
3,725.7 |
3,318.4 |
Income tax and social contribution payable |
1,598.6 |
1,487.1 |
Taxes and contributions payable |
671.0 |
513.3 |
Put option granted on subsidiary and other liabilities |
1,896.8 |
1,083.2 |
Provisions |
739.0 |
559.6 |
Employee benefits |
2,161.1 |
2,011.8 |
|
14,089.7 |
11,495.4 |
|
|
|
Total liabilities |
54,630.3 |
52,500.3 |
|
|
|
Equity |
|
|
Issued capital |
58,130.5 |
58,177.9 |
Reserves |
92,246.6 |
98,669.4 |
Comprehensive income |
(68,421.5) |
(77,878.0) |
Equity attributable to equity holders of Ambev |
81,955.6 |
78,969.3 |
Non-controlling interests |
1,372.2 |
1,174.5 |
Total Equity |
83,327.8 |
80,143.8 |
|
|
|
Total equity and liabilities |
137,958.1 |
132,644.1 |
| | |
ambev.com.br | | Press Release – February 29, 2024 |
| Page | 23 |
| |
CONSOLIDATED INCOME STATEMENT |
4Q22 |
4Q23 |
YTD22 |
YTD23 |
R$ million |
|
|
|
|
|
Net revenue |
22,693.0 |
19,989.2 |
79,708.8 |
79,736.9 |
Cost of goods sold |
(10,985.3) |
(9,301.3) |
(40,422.1) |
(39,291.6) |
Gross profit |
11,707.8 |
10,688.0 |
39,286.8 |
40,445.3 |
|
|
|
|
|
Distribution expenses |
(3,250.9) |
(2,544.4) |
(11,395.3) |
(10,750.6) |
Sales and marketing expenses |
(2,048.1) |
(1,803.9) |
(7,337.4) |
(7,412.5) |
Administrative expenses |
(1,454.2) |
(1,380.5) |
(5,236.8) |
(5,273.7) |
Other operating income/(expenses) |
539.1 |
676.6 |
2,513.9 |
2,028.9 |
|
|
|
|
|
Normalized Operating Profit |
5,493.6 |
5,635.8 |
17,831.2 |
19,037.5 |
|
|
|
|
|
Exceptional items |
(65.0) |
(38.4) |
(143.3) |
(206.4) |
|
|
|
|
|
Income from operations |
5,428.6 |
5,597.4 |
17,687.9 |
18,831.1 |
|
|
|
|
|
Net finance results |
(1,079.9) |
(700.5) |
(3,423.2) |
(3,609.8) |
Share of results of joint ventures |
(21.1) |
(170.2) |
(29.1) |
(185.4) |
|
|
|
|
|
Profit before income tax |
4,327.5 |
4,726.7 |
14,235.7 |
15,035.9 |
|
|
|
|
|
Income tax expense |
755.9 |
(198.2) |
655.6 |
(75.5) |
|
|
|
|
|
Profit |
5,083.4 |
4,528.4 |
14,891.3 |
14,960.5 |
Equity holders of Ambev |
4,966.9 |
4,387.7 |
14,457.9 |
14,501.9 |
Non-controlling interest |
116.5 |
140.8 |
433.3 |
458.5 |
|
|
|
|
|
Basic earnings per share (R$) |
0.32 |
0.28 |
0.92 |
0.92 |
Diluted earnings per share (R$) |
0.31 |
0.28 |
0.91 |
0.92 |
|
|
|
|
|
Normalized Profit |
5,299.7 |
4,667.5 |
15,166.8 |
15,227.2 |
|
|
|
|
|
Normalized basic earnings per share (R$) |
0.33 |
0.29 |
0.94 |
0.94 |
Normalized diluted earnings per share (R$) |
0.33 |
0.29 |
0.93 |
0.93 |
|
|
|
|
|
Nº of basic shares outstanding (million of shares) |
15,741.7 |
15,743.1 |
15,741.9 |
15,744.8 |
Nº of diluted shares outstanding (million if shares) |
15,848.4 |
15,837.0 |
15,848.6 |
15,838.6 |
| | |
ambev.com.br | | Press Release – February 29, 2024 |
| Page | 24 |
| |
CONSOLIDATED STATEMENT OF CASH FLOWS |
4Q22 |
4Q23 |
FY22 |
FY23 |
R$ million |
|
|
|
|
|
Profit |
5,083.4 |
4,528.4 |
14,891.3 |
14,960.5 |
Depreciation, amortization and impairment |
1,632.3 |
1,515.7 |
5,956.3 |
6,417.9 |
Impairment losses on receivables and inventories |
119.8 |
86.3 |
351.8 |
358.4 |
Additions/(reversals) in provisions and employee benefits |
83.4 |
126.5 |
232.7 |
233.8 |
Net finance cost |
1,079.9 |
700.5 |
3,423.2 |
3,609.8 |
Loss/(gain) on sale of property, plant and equipment and intangible assets |
(23.8) |
(31.8) |
(88.8) |
(86.4) |
Equity-settled share-based payment expense |
95.9 |
61.9 |
313.9 |
331.6 |
Income tax expense |
(755.9) |
198.2 |
(655.6) |
75.5 |
Share of result of joint ventures |
21.1 |
170.2 |
29.1 |
185.4 |
Hedge operations results |
(466.6) |
202.0 |
(466.6) |
(38.0) |
Other non-cash items included in the profit |
573.1 |
0.0 |
(17.3) |
(9.0) |
Cash flow from operating activities before changes in working capital and provisions |
7,442.6 |
7,558.0 |
23,969.9 |
26,039.5 |
(Increase)/decrease in trade and other receivables |
513.0 |
(792.4) |
(322.5) |
(1,373.9) |
(Increase)/decrease in inventories |
(851.4) |
466.8 |
(3,088.0) |
1,300.8 |
Increase/(decrease) in trade and other payables |
3,909.6 |
5,389.0 |
726.6 |
(223.1) |
Cash generated from operations |
11,013.8 |
12,621.4 |
21,286.0 |
25,743.3 |
Interest paid |
(406.8) |
(113.8) |
(826.3) |
(666.1) |
Interest received |
464.9 |
618.9 |
1,095.0 |
1,248.3 |
Dividends received |
1.0 |
1.7 |
6.6 |
12.9 |
Income tax and social contributions paid |
737.9 |
820.8 |
(919.0) |
(1,627.0) |
Cash flow from operating activities |
11,810.8 |
13,949.0 |
20,642.2 |
24,711.4 |
|
|
|
|
|
Proceeds from sale of property, plant, equipment and intangible assets |
35.9 |
70.4 |
133.9 |
154.1 |
Acquisition of property, plant, equipment and intangible assets |
(2,035.5) |
(2,272.7) |
(6,533.1) |
(6,004.1) |
Acquisition of subsidiaries, net of cash acquired |
(0.1) |
(0.0) |
(3.0) |
(46.5) |
Acquisition of other investments |
0.0 |
0.0 |
(30.0) |
(6.3) |
(Investments)/net proceeds of debt securities |
904.0 |
(54.8) |
1,413.0 |
136.4 |
Net proceeds/(acquisition) of other assets |
- |
0.4 |
15.0 |
0.4 |
Cash flow used in investing activities |
(1,095.7) |
(2,256.8) |
(5,004.1) |
(5,766.0) |
|
|
|
|
|
Capital increase |
- |
- |
23.8 |
14.5 |
Proceeds/(repurchase) of shares |
2.3 |
(39.8) |
(54.1) |
(119.0) |
Acquisition of non-controlling interests |
(0.0) |
- |
(0.1) |
- |
Proceeds from borrowings |
71.4 |
10.3 |
274.9 |
49.8 |
Repayment of borrowings |
(33.5) |
(47.4) |
(230.2) |
(227.4) |
Cash net finance costs other than interests |
(483.1) |
69.0 |
(3,255.1) |
(2,731.1) |
Payment of lease liabilities |
(277.7) |
(352.5) |
(854.7) |
(1,180.1) |
Dividends and interest on shareholders’ equity paid |
(11,959.8) |
(11,629.8) |
(12,242.3) |
(11,921.9) |
Cash flow from financing activities |
(12,680.3) |
(11,990.3) |
(16,337.9) |
(16,115.2) |
|
|
|
|
|
Net increase/(decrease) in Cash and cash equivalents |
(1,965.2) |
(298.0) |
(699.9) |
2,830.2 |
Cash and cash equivalents less bank overdrafts at the beginning of the period |
17,273.9 |
17,412.5 |
16,597.2 |
14,852.1 |
Effect of exchange rate fluctuations |
(456.6) |
(1,055.5) |
(1,045.2) |
(1,623.3) |
Cash and cash equivalents less bank overdrafts at the end of the period |
14,852.1 |
16,059.0 |
14,852.1 |
16,059.0 |
| | |
ambev.com.br | | Press Release – February 29, 2024 |
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
Date: February 29, 2024
|
|
|
|
AMBEV S.A. |
|
|
|
|
By: |
/s/ Lucas Machado Lira |
|
Lucas Machado Lira
Chief Financial and Investor Relations Officer |
Ambev (NYSE:ABEV)
Historical Stock Chart
From Jun 2024 to Jul 2024
Ambev (NYSE:ABEV)
Historical Stock Chart
From Jul 2023 to Jul 2024