ThaiBev sees 6% drop in Q1 revenue but positive growth in spirits and beer sectors
ThaiBev reports a 6% decrease in Q1 sales to 86.703 billion baht, with growth in spirits and beer but challenges in non-alcoholic beverages and food sectors. EBITDA rises by 1.8%.
Thai Beverage Plc reported a total revenue of 86.703 billion baht in the first quarter of fiscal year 2026, representing a 6% decrease compared to the same period last year. Despite this decline, the company saw a positive EBITDA growth of 1.8%, largely driven by its spirits and beer segments, while the non-alcoholic beverage and food sectors faced challenges.
The results were released amid continued consumer uncertainty, which affected overall sales. However, the company’s focus on brand investment and efficient marketing strategies led to positive developments in key areas.
Spirits saw a 3.5% increase in sales, with revenue reaching 33.367 billion baht. The growth was largely driven by a 4.3% increase in sales volume, supported by effective brand building and marketing campaigns. EBITDA for the spirits business grew by 6.9%, reaching 8.496 billion baht.
The beer sector, on the other hand, faced a 14.4% decline in revenue, with total sales of 30.923 billion baht. The drop was largely attributed to a 9% decline in sales volume in the domestic market, combined with the impact of weather conditions and currency fluctuations in Vietnam. However, EBITDA for the beer segment grew by 4.7% to 4.641 billion baht, benefiting from reduced raw material costs and improved production efficiency.
Non-alcoholic beverages saw a decrease of 8.6% in sales, totalling 15.501 billion baht. This was due to a 5.6% drop in sales volume, reflecting subdued consumer demand. EBITDA for the non-alcoholic beverages business decreased by 13.1%, reaching 2.898 billion baht, as the company increased investment in branding to strengthen brand awareness.
The food sector saw a slight decline in sales, with a 1.2% drop to 5.621 billion baht. This was mainly due to increased competition within the industry. EBITDA in the food segment fell by 10.9% to 590 million baht, impacted by the expansion of branches for long-term growth and rising labour costs.
Despite challenges in the domestic market, ThaiBev's international operations continued to show strong performance, contributing positively to the overall results.
Looking ahead, ThaiBev remains focused on navigating current challenges while continuing to invest in its core sectors, with a strategic focus on brand development, operational efficiency, and expanding its international presence.
