AB InBev Efes AB InBev Efes

AB InBev Efes is one of the largest players in the Russian brewing market.

Aktivs

As of January 2024, the company has 11 breweries in Vladivostok, Volzhsky, Ivanovo, Kazan, Kaluga, Klin, Novosibirsk, Omsk, Saransk, Ulyanovsk, Ufa and three malting complexes in Kazan, Omsk and Saransk.

AB InBev Efes' brand portfolio consists of more than 75 well-known brands. Among the main brands of beer presented in Russia:

• Stella Artois,
• Velkopopovický Kozel,
• Hoegaarden (beer drink),
• "Old Miller of the Keg,"
• "Klinskoe,"
• "Polar Bear" and others.

Performance indicators

2023: Revenue growth by 11.4% to RUB 108.64 billion

In 2023, AB InBev Efes, Russia's largest beer producer, received revenue of 108.64 billion rubles. This is 11.4% more than in 2022, when the figure was 97.52 billion rubles. Such data are given in the financial report published in early April 2024.

AB InBev Efes's net profit was recorded at 16.72 billion rubles. For comparison: a year earlier, the figure was 12.16 billion rubles. Thus, the growth is approximately 38%.

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The fastest growing categories outside the company's brewing range were ciders and power. In 2023, 23.2 million hectoliters (gcl) of beer and 527.7 thousand gcl of kvass, cider and water were produced. 527.7 thousand gcl of beer of its own production was sold for export. Among the buyers Azerbaijan Armenia Belarus are,,,,,,, and Great Britain Germany Georgia Israel France other countries.

In 2023, the Russian brewing market stabilized and showed moderate growth. Rosstat According to the data, production increased by 1.8% compared to the previous year. The dynamics of AB InBev Efes production, as noted, was comparable to the market trend.

The fastest growing categories outside the company's brewing portfolio were ciders and power. Bon Season cider continued to show double-digit growth rates and ranked first in sales in traditional retail, the company said.

It is noted that in 2023 the best performance was shown by the category of premium brands: Velkopopovický Kozel, Essa and El Capulco. After a period of stagnation in 2022, the non-alcoholic beer segment resumed growth in the market. In 2023, the company began partnering with one of the largest hotel operators, Cosmos Hotel Group, and Volt Energy became a strategic partner in the TrueGamers cyber club network.^[1]

2022

Online sales growth of 40%

AB InBev Efes on March 3, 2023 announced results for 2022.

According to, in to data Rosstat 2022, the brewer's production volume industries Russia remained practically unchanged compared to the same period in 2021, showing a slight drop of 0.4%. With the positive dynamics of the first half of the year, the overall indicator was influenced by a drop in production in the III and especially in the IV quarters. AB InBev Efes sales in 2022 contracted slightly amid a challenging economic situation, falling purchasing power and household savings, inflationary processes sanctions and pressures.

The highest growth was demonstrated by the low-price (0.6pp) and premium categories (0.9pp). As for the beer segments, despite the still greater popularity of the lager, its market share is decreasing (-0.6pp), and the largest growth was demonstrated by taste (+ 0.6pp), unfiltered (+ 0.1pp) and strong (+ 0.1pp) varieties.

As for the company's brands, the best dynamics in 2022 were shown by the "Old Cask Miller" (+ 0.3pp), GMB (+ 0.3pp) and ESSA (+ 0.2pp). Among sales channels, the only one that showed significant positive dynamics was e-commerce - in 2022, the company's online sales grew by 40%, due to an increase in sales of non-alcoholic products, although the category itself for the first time in several years showed near-zero dynamics. As for other channels, in the HoReCa segment and traditional trading, sales of the company decreased.

In 2022, AB InBev Efes continued to implement its ESG strategy. Thus, thanks to the further development of its own Agroprogramm, the volume of purchases of barley from agricultural enterprises in Russia increased by 15%. In addition, as part of the global ambition to achieve carbon neutrality by 2040, AB InBev Efes, together with Sibsteklo, in 2022 developed the "lightest" glass bottle for brewing products in Russia: its weight was reduced to a record 235 grams, which will reduce CO2 emissions by 10% in terms of production of one unit.

As for social initiatives, AB InBev Efes initiated the All-Russian project ART OF DRINKING, aimed at creating a culture of responsible alcohol consumption, in which 17 regions of the country, more than 3 thousand retail outlets and over 130 catering establishments took part.

In addition, in 2022, AB InBev Efes organized a charity event with its partners, following which it was possible to support volunteer projects, as well as services to help the elderly and homeless animals. The Company continued to focus on ethics and compliance issues and conducted more than 30 training sessions for the Company's employees and counterparties on ethics and business communication.

The share of sales through the portal in the off-trade and HoReCa channels increased by 9 percentage points.

On August 11, 2022, AB InBev Efes announced its financial results for the first half of 2022.

Results for the first half of 2022

According to the company, in the first half of 2022, the brewing industry in Russia showed insignificant negative dynamics. According to the RAR, despite the growth at the beginning of the year, by June the market showed a drop in sales by 1.4%, compared to the same period in 2021.

As for the company's performance, they were comparable to the general market dynamics. At the same time, brands from different price segments showed a positive trend: Hoegaarden (+ 20%), Zhigulevskoye (+ 15%), ESSA (+ 14%), Old Melnik from Kochonka (+ 13%), Gold Mine Beer (+ 12%).

In the first half of 2022, the company continued to follow a portfolio diversification strategy. Since the beginning of the year, AB InBev Efes has launched: the brand of natural apple cider Bon Season, produced according to the traditional recipe, grapefruit and wheat Hoegaarden 0.0% in a 0.33 ml slim jar, unfiltered lager Löwenbräu Ungefiltert and Essa - melon and strawberries.

AB InBev Efes continues to actively develop the YouBEERparadise multi-tender B2B platform for remote and contactless interaction with partners. In the first half of 2022, the share of sales through the portal in the off-trade and HoReCa channels increased by 9 percentage points. Also, a number of strategic partnerships with three stadiums have been concluded in the HoReCa segment since the beginning of the year.

AB InBev Efes continued its sustainability projects. In June 2022, the company presented a light glass beer bottle developed under a tripartite agreement with one of the manufacturers of glass containers - Siberian Glass - and the Government of the Novosibirsk Region. For the first time in the industry, AB InBev Efes and Sibsteclo managed to reduce the weight of a beer bottle from 265 grams to 235 grams, which reduces CO2 emissions by 10% per unit. Serial production of light beer glass is planned to begin before the end of 2022. The packaging is intended for alcoholic and non-alcoholic beer "Old Melnik from the keg," for August 2022 of the brand with the best-selling bottle in Russia.

In addition, from April to June 2022, all AB InBev Efes plants traditionally took part in promotions and events dedicated to World Environment Day. As part of the initiative, the company organized subbotniks at production facilities and carried out work on the improvement of public urban spaces in the regions of its presence, developing a culture of corporate eco-volunteering.

History

2024: Russian government does not allow Efes to buy stake in Russian brewing company AB InBev Efes

In August 2024, it became known that the government commission for monitoring the implementation of foreign investments refused Efes Breweries International BV, through which the Turkish beer producer Anadolu Efes works, to buy a share in the Russian joint venture AB InBev Efes from the Belgian Anheuser-Busch InBev (ABInBev). The reasons for the failure are not named. The parties had to agree on a deal with the Russian authorities on the basis of the requirements of presidential decrees establishing their special procedure for residents from unfriendly countries.

2023: Belgium's Anheuser-Busch InBev sells stake in Russian JV to Turkish partner Anadolu Efes

In December 2023 , Anheuser-Busch InBev agreed to sell its stake in the Russian joint venture to Turkish partner Anadolu Efes, one of the major European deals to sell its stake in Russia. Anadolu Efes becomes the sole owner of the enterprise. The deal is valued at between $1.1 billion and $1.3 billion, according to KPMG.

2022: Belgian ABInBev statement to sell stake in JV and write off $1.1 billion in losses

On April 22, 2022, the Belgian brewing concern Anheuser-Busch InBev, which produces beer under the Corona, Stella Artois, Hoegaarden and other brands, announced the sale of its stake in the Russian company AB InBev Efes. The transaction will lead to non-cash losses from write-offs in the amount of $1.1 billion.

The Turkish partner, the brewing company Anadolu Efes, is expected to buy a stake in this business. AB InBev's request to suspend the license to manufacture and sell Bud in Russia will also be part of a potential deal, Anheuser-Busch InBev said.

On April 22, 2022, the Belgian brewing concern Anheuser-Busch InBev, which produces beer under the Corona, Stella Artois, Hoegaarden and other brands, announced the sale of its stake in the Russian company AB InBev Efes.

The brewing company also announced a reduction in investments in the Russian company. Anheuser-Busch InBev estimated losses from the situation in Ukraine at $1.1 billion in the first quarter of 2022.

AB InBev Efes in Russia owns 11 plants and three malting complexes. The company produces Klinskoye, Corona Extra, Hoegaarden, Leffe, Spaten and BUD beers (by April 2022).^[2]

As of April 2022, the company had 11 breweries in Russia and 3 in Ukraine.

2020

As of August 2020, the Company owns 14 breweries and 3 malting complexes in Russia and Ukraine.

2019

As of August 2019, AB InBev Efes has 11 breweries in: Russia in Vladivostok Volzhsk Ivanovo Kazan To Kaluga,,,,,,,,,,. To wedge Novosibirsk Omsk Saransk Ulyanovsk To Ufa

2018: Formation of AB InBev Efes through the merger of AB InBev and Anadolu Efes in Russia and Ukraine

AB InBev Efes was formed in 2018 thanks to the merger of AB InBev and Anadolu Efes in Russia and Ukraine.

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