(Courtesy Anheuser-Busch InBev)

Ouch…And the company expects its second quarter results to be worse.

Citing sales that “increased significantly toward the end of the quarter,” in its first-quarter results Anheuser-Busch InBev reported that its total volumes fell by 9.3% and that it expects second-quarter volumes to decline even more.

AB InBev’s total revenue also declined by 5.8%. And the company, home to popular brands such as Budweiser, Bud Light, Michelob Ultra and Stella Artois, expects the impact of coronavirus lockdowns will be “materially worse” later in the year.

Total volumes fell 32% in April, when AB InBev was forced to close its brewing facility in Mexico to adhere to the country’s own social distancing measures. And adjusted earnings fell 14%, slightly below analyst’s expectations.

The company was also affected by a number of countries that had banned the sale and production of alcohol, in markets such as Mexico, South Africa and Peru, where “brewery operations have been severely restricted.”

In a conference call with analyst, AB InBev stated that it will   “continue to work with governments in this fast-changing environment and are doing our part in the fight against COVID-19, “We look forward to resuming our operations when appropriate.”

The combined revenues of Budweiser, Stella Artois and Corona, declined by 11.0% globally and by 17.5% outside of their respective home markets.

“AB InBev is the latest brewer to report a sharp decline in beer sales at the start of the year, according to the Drinks Business.

Molson Coors has already announced a beer sales drop of nearly close to 9% in the first quarter. And Danish brewer Carlsberg reported a 7.4% decline in sales for the same period with CEO Cees t’Hart warning that “the worst is yet to come.”

Yep it’s bleak out there, but AB InBev did get some good news this month…

AB INBEV WINS LATEST LEGAL DECISION IN CORN SYRUP DISPUTE WITH MOLSON COORS