Constellation Brands, Inc. (NYSE: STZ) Q1 2026 Earnings | 07/02/2025

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Constellation Brands, Inc. (NYSE: STZ) reported its Q1 2026 results on July 2, 2025, revealing a challenging quarter with both revenue and earnings missing analyst expectations, but management reaffirming full-year guidance. Net sales declined 5.5% year-over-year to $2.52 billion, with comparable EPS dropping 10% to $3.22 and reported EPS falling 39% to $2.90. Net income attributable to shareholders fell 41% to $516 million, and operating income dropped 24% to $714 million. The company’s beer segment, led by Modelo Especial and Corona Extra, saw net sales fall 2% to $2.23 billion, while the wine and spirits segment posted a steeper 28% decline to $280.5 million and swung to an operating loss. Despite the soft quarter, Constellation Brands maintained strong cash flow, generating $637 million in operating cash and $444 million in free cash flow. The company returned $381 million to shareholders through share repurchases and declared a quarterly dividend of $1.02 per Class A share. Management reiterated its full-year comparable EPS guidance of $12.60–$12.90 and updated its reported EPS outlook to $12.07–$12.37, reflecting confidence in sequential improvement, especially in the beer segment, and ongoing cost control initiatives. CEO Bill Newlands highlighted resilience in the beer business, which continues to gain U.S. dollar share, and noted the company’s focus on operational discipline and marketing investments to support long-term brand health. The company expects ongoing headwinds in wine and spirits but remains committed to premiumization and portfolio optimization. Outlook: Fiscal 2026: Comparable EPS guidance reaffirmed at $12.60–$12.90; reported EPS outlook $12.07–$12.37 Beer segment: Projected organic net sales growth of 0–3%; wine and spirits segment expected to decline 17–20% Continued focus on cost control, capital allocation, and premium brand investment About Inside Ticker: For more expert analysis and real-time updates on Constellation Brands, Inc. (NYSE: STZ) and other market movers, follow Inside Ticker and visit InsideTicker.com for in-depth reports, financial insights, and the latest news on leading companies. #ConstellationBrands #STZ #Q12026 #Earnings #Beer #Wine #Spirits #Modelo #Corona #FinancialResults #Dividend #InvestorUpdate #InsideTicker