E-Malt.com News article: 1067

Anheuser-Busch Cos. Inc, the world's biggest brewer, said on May 14 its annual profit would be slightly better than previous forecasts on expectations of higher beer prices. The company said it expected earnings per share growth for 2003 in the range of 12 percent to 13 percent. Anheuser-Busch said it expected 2004 earnings per share growth of 12 percent.

"We believe that U.S. beer pricing continues to be solid, and should more than compensate for the muted sales to retailers," Credit Suisse First Boston analyst Andrew Conway said in a research note. Anheuser-Busch's aggressive advertising strategy allows it to keep prices above most of its competitors, the company said. Anheuser-Busch's new products such as Michelob Ultra and Bacardi Silver, which are more expensive than typical beers, have also boosted profits in the past several quarters.

Analysts expected earnings between $2.45 and $2.52 per share in 2003, with an average estimate of $2.48, according to a survey by research firm Thomson First Call. Shares rose 33 cents to $51.18 Wednesday on the New York Stock Exchange, near a 52-week high of $55 last October.


15 May, 2003