After Anheuser-Busch announced it was laying off less than 2% of its United States workforce last week, parent company AB InBev has reported a drop in U.S. revenue in the second quarter as Bud Light sales declined following a consumer boycott.
On Thursday, the beer company said revenue in the U.S. declined by 10.5%, from April to June, from a year earlier, “primarily due to the volume decline of Bud Light,” according to the second quarter report.
Anheuser-Busch has watched U.S. sales decline following a consumer boycott in response to Bud Light partnering with transgender influencer Dylan Mulvaney, which led to Mexican lager Modelo Especial decrowning the American-made beer as the top-selling beer in the U.S.
However, AB InBev expressed confidence that its U.S. market share has stabilized.
“Our total beer industry share declined this quarter but has been stable since the last week of April through the end of June,” the company said in the report.
AB InBev CEO says total revenue has increased 7.2% with help from global brands
During an earnings call Thursday, InBev CEO Michel Doukeris said the company plans to provide financial support to U.S. wholesalers through the end of December to make up for the low Bud Light sales, The Associated Press reported.
“We’ve had three months so far since this situation, and we continue to learn and we continue to move forward with the main activities that we know that work everywhere,” he said.
Overall, total revenue worldwide increased 7.2% in the second quarter, from the same period a year ago, as global brands in the AB InBev portfolio, such as Stella Artois and Corona, made up for Bud Light’s sales, the company said.
Anheuser-Busch to lay off hundreds of positions
Last week, Anheuser-Busch said less than 2% of its U.S. workforce would be laid off. According to the company’s website, Anheuser-Busch says it employs “more than 19,000 employees nationwide,” which would mean roughly 380 positions or less being…
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