Constellation Brands Beats On Q2 Earnings, Beer Business Achieved Solid Mid-Single-Digit Sales Growth

Constellation Brands, Inc. (NYSE:STZ) shares are trading slightly lower on Thursday. The company reported second-quarter adjusted earnings per share of $4.32, beating the analyst consensus of $4.08. Quarterly revenues of $2.92 billion beat the street view of $2.90 billion. The company reported a loss per share of $6.59, including a non-cash goodwill impairment loss for the Wine and Spirits business of $2.25 billion. The Beer business achieved solid mid-single-digit net sales growth while sustain Read More...

Constellation Brands, Inc. (NYSE:STZ) shares are trading slightly lower on Thursday.

The company reported second-quarter adjusted earnings per share of $4.32, beating the analyst consensus of $4.08. Quarterly revenues of $2.92 billion beat the street view of $2.90 billion.

The company reported a loss per share of $6.59, including a non-cash goodwill impairment loss for the Wine and Spirits business of $2.25 billion.

The Beer business achieved solid mid-single-digit net sales growth while sustaining momentum in operating margin expansion, resulting in double-digit operating income growth.

Constellation said in a release that beer business dollar sales are outperforming the total beverage industry and combined alcoholic beverage categories in Circana-tracked channels.

Disciplined operational efficiency and cost management initiatives have facilitated incremental marketing investments launched in the third quarter of fiscal 2025.

The Wine and Spirits business is progressing with commercial and operational initiatives aimed at improving sequential net sales and operating income in the third quarter and fourth quarter of fiscal 2025.

Also Read: Constellation Brands Gears Up For Q2 Print; Here Are The Recent Forecast Changes From Wall Street’s Most Accurate Analysts

On October 1, Constellation’s board of directors declared a quarterly cash dividend of $1.01 per share for Class A Common Stock. The dividend will be payable on November 21 to stockholders of record as of the close of business on November 5.

Outlook: Constellation Brands affirmed recently updated FY25 adjusted EPS forecast of $13.60 – $13.80, compared to the $13.69 estimate. The company continues to expect enterprise net sales growth of 4% to 6%. Last month, the company revised its FY25 outlook amid ongoing macroeconomic headwinds.

Price Action: STZ shares are trading lower by 1.03% to $253.04 at last check Thursday.

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This article Constellation Brands Beats On Q2 Earnings, Beer Business Achieved Solid Mid-Single-Digit Sales Growth originally appeared on Benzinga.com