Anheuser-Busch InBev SA ( BUD )/NV shares are trading higher after the company reported better-than-expected first-quarter FY24 earnings.

The company reported first-quarter FY24 sales growth of 2.6% organically year-on-year to $14.547 billion, beating the analyst consensus estimate of $14.416 billion.

On Organic basis, total volumes declined by 0.6%, with own beer volumes down by 1.3% and non-beer volumes up by 3.5%. Revenue per hl grew 3.3%.

Gross profit expanded 2.7% organically to $7.89 billion, and gross margin expanded marginally to 54.3%.

Normalized EBITDA for the quarter grew 5.4% organically to $4.9 billion, with the margin expanding 90 basis points to 34.3%.

Underlying profit for the quarter was $1.509 billion compared to $1.31 billion last year. Underlying EPS of $0.75 beat the consensus estimate of $0.67.

“The strength of the beer category, our diversified global footprint and the continued momentum of our megabrands delivered another quarter of broad-based top- and bottom-line growth,” said CEO Michel Doukeris.

Outlook: Anheuser-Busch InBev ( BUD ) expects its FY24 EBITDA to grow in line with its medium-term outlook of 4%-8%. It expects FY24 capital expenditure of $4 billion – $4.5 billion.

Price Action: BUD shares are trading higher by 4.84% at $63.50 in premarket at the last check Wednesday.

Image: Bud Light and Budweiser via Shutterstock