Sector: Consumer Staples|Industry: Beverages - Brewers|Market Cap: $41.45B|Employees: 10.6K
Constellation Brands is an international producer and marketer of beer, wine, and spirits. The company's core business model revolves around building and marketing high-quality, consumer-connected brands, with a focus on the high-end segment of the beverage alcohol market. Constellation Brands holds the position of the second-largest beer company in the U.S. and is a key player in the wine and spirits sector, with a strong presence in the U.S., Mexico, New Zealand, and Italy.
Net sales increased by 3% year-over-year, with the Beer segment experiencing growth due to shipment volume and favorable pricing, while the Wine and Spirits segment saw a decline due to lower branded shipment volume and unfavorable product mix.
The company reported an operating loss due to a significant goodwill impairment in the Wine and Spirits segment, which offset improvements in the Beer segment from volume growth, favorable pricing, and cost of product savings.
Net loss attributable to CBI increased due to the goodwill impairment, but this was partially offset by a benefit from income taxes compared to a provision in the prior year.