Feb 26, 2025 08:25 AM IST
Budweiser Brewing Co APAC appoints Yanjun Cheng as CEO amid declining earnings in China, following a $16 million net loss
Beer maker Budweiser Brewing Co APAC has named Yanjun Cheng as its new chief executive officer, as weak consumer sentiment in China weighs on its earnings.
Cheng will succeed Jan Craps who will step down after seven years, according to a company filing.
The management change comes after the brewer posted a net loss of $16 million in the fourth-quarter, missing the $6.72 million profit projected by analysts. The company’s quarterly revenue trends also showed a decline for the fourth consecutive quarter.
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The company’s top priority in China is to reconnect with market share growth, the firm said in its earnings report. Full-year volumes in the country decreased by 11.8%, and total market share declined by 149 basis points.
Budweiser APAC’s new CEO could signal a renewed focus on revitalizing its struggling China business, said Bloomberg Intelligence analysts Ada Li and Joyce Ho.
Rival brewers also experienced a tough year in China. Both volume and revenue dropped for Carlsberg in China last year. The Chinese beer market declined by about 4% due to weak consumer environment and bad weather during the summer, according to the Danish brewer’s executives at the company’s recent earnings call.
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