Constellation Brands reported first quarter fiscal 2027 results that surpassed analyst expectations, with net sales of $2.43 billion and comparable EPS of $3.43. The performance was led by its Beer segment, though key brands showed volume weakness, while the Wine and Spirits segment posted strong organic growth.
Key Highlights
- Beer segment net sales grew 2% to $2.28 billion, with operating income also increasing by 2%.
- Overall beer depletions decreased 0.3%, reflecting declines in Modelo Especial (approx. -2%) and Corona Extra (over -5%) that were offset by growth in Pacifico (+21%) and Victoria (+14%).
- Wine and Spirits organic net sales grew 8%, driven by a 7.7% increase in organic shipment volumes and a 6.6% rise in depletions.
- Constellation affirmed its full-year fiscal 2027 comparable EPS guidance of $11.20 - $11.90 and free cash flow guidance of $1.6 - $1.7 billion.