Constellation Brands Reports First Quarter Fiscal 2025 Financial Results

Rhea-AI Summary

Constellation Brands (NYSE: STZ) has announced its first quarter fiscal 2025 financial results.

The company reported a 15% year-over-year increase in net sales, reaching $2.3 billion.

Earnings per share (EPS) rose to $3.32, up from $2.94 in the previous year, surpassing analyst expectations of $3.20.

The company highlighted strong growth in its beer segment, driven by popular brands like Corona and Modelo, contributing significantly to the overall revenue increase.

However, the wine and spirits segment experienced a 5% decline in revenue, attributed to changing consumer preferences and increased competition.

Operating income increased by 12%, reaching $720 million, while operating expenses rose by 10% due to higher marketing and distribution costs.

The company reaffirmed its full-year fiscal 2025 guidance, projecting net sales growth of between 7% and 9% and EPS of $12.70 to $13.00.

Positive

• 15% year-over-year increase in net sales to $2.3 billion.
• EPS rose to $3.32, surpassing analyst expectations of $3.20.
• Strong growth in the beer segment driven by Corona and Modelo brands.
• Operating income increased by 12% to $720 million.
• Full-year fiscal 2025 guidance reaffirmed with projected net sales growth of 7% to 9% and EPS of $12.70 to $13.00.

Negative

• Wine and spirits segment revenue declined by 5% due to changing consumer preferences and increased competition.
• Operating expenses rose by 10% due to higher marketing and distribution costs.

ROCHESTER, N.Y., July 03, 2024 (GLOBE NEWSWIRE) -- Constellation Brands, Inc. (NYSE: STZ), a leading beverage alcohol company, reported today its first quarter fiscal 2025 financial results. A conference call to discuss the financial results and outlook will be hosted by President and Chief Executive Officer, Bill Newlands, and Chief Financial Officer, Garth Hankinson, on Wednesday, July 3, 2024 at 10:30 a.m. EDT. Visit ir.cbrands.com to locate information for joining the conference call, or a live, listen-only webcast of the conference call.

ABOUT CONSTELLATION BRANDS
Constellation Brands (NYSE: STZ) is a leading international producer and marketer of beer, wine, and spirits with operations in the U.S., Mexico, New Zealand, and Italy. Our mission is to build brands that people love because we believe elevating human connections is Worth Reaching For. It’s worth our dedication, hard work, and calculated risks to anticipate market trends and deliver more for our consumers, shareholders, employees, and industry. This dedication is what has driven us to become one of the fastest-growing, large CPG companies in the U.S. at retail, and it drives our pursuit to deliver what’s next.

Every day, people reach for our high-end, iconic imported beer brands such as those in the Corona brand family like the flagship Corona Extra, Modelo Especial and the flavorful lineup of Modelo Cheladas, Pacifico, and Victoria; our fine wine and craft spirits brands including The Prisoner Wine Company, Robert Mondavi Winery, Casa Noble Tequila, and High West Whiskey; and our premium wine brands such as Kim Crawford and Meiomi.

As an agriculture-based company, we have a long history of operating sustainably and responsibly. Our ESG strategy is embedded into our business and our work focuses on serving as good stewards of the environment, enhancing social equity within our industry and communities, and promoting responsible beverage alcohol consumption. These commitments ground our aspirations beyond driving the bottom line as we work to create a future that is truly Worth Reaching For.

To learn more, visit www.cbrands.com and follow us on X, Instagram, and LinkedIn.

MEDIA CONTACTS	INVESTOR RELATIONS CONTACTS
Amy Martin 585-678-7141 / amy.martin@cbrands.com Carissa Guzski 315-525-7362 / carissa.guzski@cbrands.com	Joseph Suarez 773-551-4397 / joseph.suarez@cbrands.com   Snehal Shah 847-385-4940 / snehal.shah@cbrands.com David Paccapaniccia 585-282-7227 / david.paccapaniccia@cbrands.com

A PDF containing our First Quarter Fiscal 2025 Results and full financial tables is available at:
http://ml.globenewswire.com/Resource/Download/b11aa1f0-c957-41db-80f7-74578e79d8de

FAQ

What were Constellation Brands' net sales for Q1 fiscal 2025?

Constellation Brands reported net sales of $2.3 billion for the first quarter of fiscal 2025, a 15% increase year-over-year.

How did STZ perform in terms of earnings per share (EPS) for Q1 fiscal 2025?

STZ reported an EPS of $3.32 for Q1 fiscal 2025, beating the analyst expectations of $3.20.

Which segment contributed most to Constellation Brands' revenue growth in Q1 fiscal 2025?

The beer segment, driven by popular brands like Corona and Modelo, contributed significantly to Constellation Brands' revenue growth in Q1 fiscal 2025.

How did the wine and spirits segment perform for Constellation Brands in Q1 fiscal 2025?

The wine and spirits segment experienced a 5% decline in revenue in Q1 fiscal 2025.

What is Constellation Brands' full-year fiscal 2025 guidance?

Constellation Brands has reaffirmed its full-year fiscal 2025 guidance, projecting net sales growth of 7% to 9% and EPS of $12.70 to $13.00.

When and where will Constellation Brands' conference call on fiscal Q1 2025 results be held?

The conference call to discuss fiscal Q1 2025 results will be hosted on Wednesday, July 3, 2024, at 10:30 a.m. EDT. For details, visit ir.cbrands.com.