Business Context and Reporting Period
Company: AMBEV S.A.
Filing Type: Form 6-K (Report of Foreign Private Issuer)
Reporting Period: First Quarter ended March 31, 2026 (1Q26)
Release Date: May 5, 2026
Ambev reported a solid start to 2026, characterized by consistent execution of its growth strategy. The company delivered positive beer volumes, double-digit Normalized EBITDA growth, and margin expansion. Performance was driven by growth in Central America and the Caribbean (CAC) and Brazil Beer, partially offset by declines in Latin America South (LAS), Canada, and Brazil Non-Alcoholic Beverages (NAB).
Key Financial Metrics
| Metric (R$ million) | 1Q25 | 1Q26 | Change (Organic) |
|---|---|---|---|
| Net Revenue | 22,497.4 | 22,464.5 | +8.1% |
| Normalized EBITDA | 7,444.6 | 7,555.0 | +10.1% |
| Normalized EBITDA Margin | 33.1% | 33.6% | +60 bps |
| Normalized Profit | 3,820.2 | 3,832.4 | +0.3% |
| Normalized EPS (R$) | 0.24 | 0.24 | +0.5% |
| Cash Flow from Operating Activities | 1,204.0 | 3,160.9 | +162.5% |
| Consolidated Debt | 3,386.9 | 3,105.7 | -8.3% |
| Net Debt/(Cash) | (16,933.0) | (16,534.9) | Net Cash Position |
Volume Performance: Consolidated organic volume was flat (+0.1%). Brazil Beer volumes grew +1.2% (record high for 1Q), while Brazil NAB declined -3.9%. CAC volumes grew +7.7%, while LAS and Canada declined -0.5% and -2.0% respectively.
Material Changes vs. Prior Period
- Revenue Growth: Organic net revenue increased 8.1%, driven primarily by Net Revenue per hectoliter (NR/hl) growth of 8.0% due to revenue management and brand mix improvements.
- Profitability: Normalized EBITDA grew 10.1% with margin expansion of 60 basis points. All business units delivered EBITDA growth.
- Cash Flow: Operating cash flow surged to R$ 3.2 billion, the highest 1Q performance in 10 years, driven by EBITDA growth and improved working capital dynamics.
- Cost Pressures: Cash COGS per hectoliter increased 8.5% (consolidated) due to FX and commodity impacts. Brazil Beer Cash COGS/hl rose 14.6%.
- Financial Expenses: Net finance results worsened to R$ (1,056.5) million from R$ (856.4) million, primarily due to higher carry costs on derivative instruments (FX hedging) and fair value adjustments.
Guidance, Outlook, and Management Commentary
- Capital Allocation: The Board approved a new Interest on Capital (IOC) distribution of approximately R$ 700 million (payable by Dec 2026) and confirmed the second tranche of the previous declaration (R$ 1.2 billion, payable July 6, 2026). The company continues its share buyback program.
- Guidance: Management maintained its guidance for Brazil Beer Cash COGS/hl (excluding non-Ambev marketplace products), expecting an increase between 4.5% and 7.5% for the full year 2026.
- Strategic Pillars:
- Lead and grow the category: Premium beer volumes grew mid-teens; balanced choices increased low-sixties; no-alcohol beer grew mid-teens.
- Digitize and monetize: BEES Marketplace GMV grew 59%; Zé Delivery expanded Monthly Active Users and GMV, serving as an innovation hub.
- Optimize business: Disciplined resource allocation supported cash generation despite cost headwinds.
- Risks & Contingencies:
- Argentina: Hyperinflation accounting (IAS 29) remains in effect. Organic revenue growth calculations for Argentina are capped at 2% per month (26.8% YoY) to mitigate volatility.
- Geopolitics: Management notes a dynamic global geopolitical environment and is monitoring developments across markets.
- FX Exposure: Significant hedging carry costs impacted financial results, particularly related to US$ 1.8 billion FX exposure in Brazil.
Investor Verification Checklist
- Argentina Accounting: Verify the impact of the 2% monthly price growth cap on reported organic revenue and EBITDA for the LAS segment.
- FX Hedging Costs: Review the R$ 537.6 million loss on derivative instruments and the sustainability of hedging carry costs given the R$ 1.8 billion exposure.
- Volume Mix: Assess the sustainability of volume growth in Brazil Beer (+1.2%) versus the decline in Brazil NAB (-3.9%) and the impact of weather on core segments.
- Deconsolidation Impact: Confirm the financial impact of the deconsolidation of assets in CAC on investing cash flows and future revenue baselines.
- Capital Returns: Monitor the execution of the R$ 700 million new IOC distribution and the ongoing share buyback program against cash flow generation.