Anheuser-Busch InBev, the world's largest brewer, cut its guidance for full-year growth after beer sales declined for a fourth quarter in a row in recession-hit Brazil, its second largest market.
The maker of Budweiser, Corona and Stella Artois said that volumes in Brazil, where AB InBev has two thirds of the market, dropped by 4.1% in the July to September period.
This brought the decline in the year to date to 6.4%.
"Most of our markets delivered solid results. However, these results were negatively impacted by a very weak quarter in Brazil," financial director Felipe Dutra said in a conference call.
The Belgium-based brewer said it no longer expects 2016 revenue in Brazil to be flat and also cut its overall guidance for net revenue per hectolitre.
"Given the weak results in Brazil, we now expect (overall) growth in line with inflation," AB InBev said. Its previous forecast was for growth ahead of inflation.
AB InBev said the performance in Brazil, suffering its worst recession in more than a century, was the result of a tough consumer environment, comparison with good results a year earlier and unfavourable foreign exchange hedges.
Mexico was the company's bright spot, with beer sales up 9.6%.
Core profit in the third quarter fell by 2% to $4.03 billion, the company said, below the average forecast of $4.43 billion in a Reuters poll.
The results come after AB InBev extended its global market leadership by buying nearest rival SABMiller for £79 billion this month. However, the figures are purely for the pre-takeover group.
Yet the weakness in Brazil highlights the company's need to look for new markets with high growth potential. The takeover of SABMiller adds countries in Latin America, such as Colombia and Peru, and takes it into Africa for the first time.
AB InBev also announced that it would pay an interim dividend of €1.60 per share, the same as in 2015.