AmBev Reports Third Quarter 2009 Results Under IFRS
November 12 2009 - 1:00AM
PR Newswire (US)
SAO PAULO, Nov. 12 /PRNewswire-FirstCall/ -- Companhia de Bebidas
das Americas - AmBev (NYSE: ABV, ABVc; BOVESPA: AMBV4, AMBV3)
announced today its results for the third quarter of 2009 (Q3
2009). The following financial and operating information, unless
otherwise indicated, is presented in nominal Reais and prepared in
accordance with International Financial Reporting Standards (IFRS)
and should be read in conjunction with our quarterly financial
information for the three- and nine-month periods ended September
30, 2009 filed with the CVM and submitted to the SEC. This press
release segregates the impact of organic changes from those arising
from changes in scope or currency translation. Scopes represent the
impact of acquisitions and divestitures and the start-up or
termination of activities. Whenever used in this document, the term
"normalized" refers to performance measures (EBITDA, EBIT, Net
Income, EPS) before non-recurring items. Non-recurring 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 an indicator of the Company's performance. Comparisons, unless
otherwise stated, refer to the third quarter of 2008 (Q3 2008).
Values in this release may not add up due to rounding. OPERATING
AND FINANCIAL HIGHLIGHTS Top line performance: Net sales grew 9.8%
driven by volume growth and price increases across our regions.
Organic volume growth of 4.7% in the period was driven by a 9.5%
volume growth in Brazil, partly offset by a 5.6% and 4.5% decline
in South Latin America and Hila-Ex volumes, respectively. Cost of
Goods Sold (COGS) and Selling, General & Administrative
(SG&A) expenses: COGS per hectoliter increased by 1.4% as
inflation was partly offset in the quarter by expected gains on our
hedges, lower commodity prices for PET and corn and productivity
initiatives. SG&A (excluding depreciation & amortization)
increased organically by 18.7% driven by volume growth, inflation,
timing of certain investments and accruals for variable
compensation in the period. EBITDA, Operating Cash Flow and Net
Income: Our Normalized EBITDA reached R$2,373.8 million in Q3 2009,
an organic growth of +11.0%, while margin expanded 70 bps in the
period to 43.9%. Operating cash flow generation was R$1,829.4
million in Q3 2009, an increase of 3.3% yoy. Our Normalized Net
Income was R$1,232.5 million (+5.6%) in Q3 2009 while our
Normalized Earnings Per Share (EPS) grew 5.2% yoy. Payout and
Financial Discipline: In Q3 2009, we paid dividends and Interest on
Own Capital (IOC) totaling around R$0.7 billion. Since then, we
paid dividends and IOC of approximately R$1.0 billion on October 2,
2009 and announced a new IOC and dividend distribution totaling
R$1.3 billion to be paid beginning December 18, 2009. There were no
share buybacks in the quarter. Financial Highlights - AmBev
Consolidated % As % R$ million 3Q08 3Q09 Reported Organic Total
volumes 34,445.1 36,345.1 5.5% 4.7% Beer 24,387.5 26,217.7 7.5%
7.5% CSD and NANC 10,057.6 10,127.4 0.7% -1.1% Net sales 4,800.9
5,411.6 12.7% 9.8% Gross profit 3,101.6 3,552.8 14.5% 11.8% Gross
margin 64.6% 65.7% 100 bps 120 bps EBITDA 2,085.1 2,372.2 13.8%
11.1% EBITDA margin 43.4% 43.8% 40 bps 70 bps Normalized EBITDA
2,088.6 2,373.8 13.7% 11.0% Normalized EBITDA margin 43.5% 43.9% 40
bps 70 bps Net Income - AmBev holders 1,163.4 1,230.9 5.8%
Normalized Net Income - AmBev holders 1,167.0 1,232.5 5.6% No. of
share outstanding (millions) 614.0 616.4 EPS (R$/shares) 1.89 2.00
5.4% Normalized EPS 1.90 2.00 5.2% Financial Highlights - AmBev
Consolidated % As % R$ million YTD 08 YTD 09 Reported Organic Total
volumes 103,007.0 107,689.7 4.5% 4.7% Beer 73,629.0 77,031.6 4.6%
5.3% CSD and NANC 29,378.0 30,658.2 4.4% 2.8% Net sales 14,347.7
16,415.4 14.4% 9.8% Gross profit 9,329.7 10,935.1 17.2% 12.8% Gross
margin 65.0% 66.6% 160 bps 190 bps EBITDA 6,196.6 7,539.9 21.7%
17.2% EBITDA margin 43.2% 45.9% 270 bps 320 bps Normalized EBITDA
6,208.5 7,339.8 18.2% 13.7% Normalized EBITDA margin 43.3% 44.7%
140 bps 180 bps Net Income - AmBev holders 3,418.0 4,195.2 22.7%
Normalized Net Income - AmBev holders 3,430.0 3,995.1 16.5% No. of
share outstanding (millions) 614.0 616.4 EPS (R$/shares) 5.57 6.81
22.3% Normalized EPS 5.59 6.48 16.0% Note: Earnings per share
calculation is based on outstanding shares (total existing shares
excluding shares held in treasury). Contact: Myriam Bado Investor
Relations Department Email: Tel.: +55 11 2122 1414 DATASOURCE:
AmBev CONTACT: Myriam Bado, Investor Relations Department, AmBev,
+011-55-11-2122-1414, Web site: http://www.ambev.com.br/
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