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Feb 28
Constellation Brands Q4 2025 Earnings Report
Constellation Brands posted mixed results amid soft consumer demand and strategic restructuring actions.
Key Takeaways
Despite a net loss due to impairment charges, Constellation Brands saw strength in its Beer Business, maintained flat revenue, and improved comparable EPS. Restructuring efforts and divestitures are expected to streamline operations moving forward.
Constellation Brands
Constellation Brands
Constellation Brands Revenue by Segment
Constellation Brands Revenue by Geographic Location
Forward Guidance
Guidance for FY26 reflects expected declines from divestitures and restructuring, with Beer expected to remain stable and Wine & Spirits facing pressure.
Positive Outlook
- Operating cash flow projected at $2.7B–$2.8B
- Free cash flow expected between $1.5B–$1.6B
- Beer revenue forecasted to grow 0–3%
- Operating income for Beer expected to grow 0–2%
- EPS guidance (non-GAAP) between $12.60–$12.90
Challenges Ahead
- Wine & Spirits organic net sales expected to decline 17–20%
- Wine & Spirits operating income decline of 97–100% forecasted
- Overall enterprise sales could decline up to 2%
- Operating income (non-GAAP) expected to decline 1–3%
- Increased marketing and restructuring costs impacting margins
Revenue & Expenses
Visualization of income flow from segment revenue to net income