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May 31, 2020

Constellation Brands Q1 2021 Earnings Report

Constellation Brands overcame headwinds to deliver solid first quarter results, marked by margin improvement and impressive depletion growth for the Beer Business and Wine & Spirits Power Brand portfolio.

Key Takeaways

Constellation Brands reported net sales of $1.963 billion and a net loss attributable to CBI of $(177.9) million, or $(0.94) per share. Comparable EPS was $2.30, or $2.44) excluding Canopy Growth equity losses. The company generated $687 million in operating cash flow and $542 million in free cash flow. Beer depletions remained strong, with production in Mexico returning to normal levels. The wine & spirits premiumization strategy gained momentum.

Generated reported basis EPS of $(0.94) and comparable basis EPS of $2.30, including Canopy Growth equity losses of $0.14; excluding Canopy Growth equity losses, achieved comparable basis EPS of $2.44

Generated $687 million of operating cash flow and $542 million of free cash flow, an increase of 16% and 24%, respectively

Beer depletions remain strong and consistent with long-term trends; production in Mexico returns to normal levels in June

Wine & spirits premiumization strategy gains momentum, with strong Power Brands performance in IRI channels

Total Revenue
$1.96B
Previous year: $2.1B
-6.4%
EPS
$2.3
Previous year: $2.21
+4.1%
Beer Shipments
76.2M
Wine & Spirits Shipments
10.8M
Cash and Equivalents
$303M
Free Cash Flow
$542M
Total Assets
$26.1B

Constellation Brands

Constellation Brands

Constellation Brands Revenue by Segment

Forward Guidance

Fiscal 2021 guidance is unavailable at this time due to the uncertainty and potential impacts on the business from COVID-19