From CNBC: 2025-01-10 13:29:04

Constellation Brands reported disappointing quarterly results with net sales of $2.46 billion, missing estimates of $2.53 billion. Adjusted EPS of $3.25 fell short of expectations at $3.31. The beer segment is the most attractive part of the business, but wine and spirits are struggling. Management revised full-year guidance, projecting lower sales growth and operating income. Beer sales increased 3%, but wine and spirits fell 14%. Operating income dropped over 25% for wine and spirits. Adjusted EPS outlook was reduced to $13.40 to $13.80. Free cash flow guidance increased to $1.6B to $1.8B. Stock declined over 16% to near $180. The company is considering divesting its wine and spirits business. Beer segment saw a 1.7% increase in operating income. Net sales are expected to grow 2% to 5% year over year. Beer unit sales are forecasted to increase by 4% to 7%. Wine and spirits are projected to decline by 5% to 8%. Adjusted operating income is expected to grow between 6% and 9%. Full-year free cash flow guidance improved to $1.6B to $1.8B.



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