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Sep 30, 2024
Molson Coors Q3 2024 Earnings Report
Molson Coors' third quarter performance in 2024 was marked by a net sales decrease of 7.8% and a 39.1% decrease in income before income taxes.
Key Takeaways
Molson Coors reported a decrease in net sales by 7.8% in the third quarter of 2024. The U.S. market faced macroeconomic challenges, while EMEA&APAC and Canada showed strong performance. The company reaffirmed its bottom-line growth guidance for the year, while adjusting top-line guidance due to U.S. market conditions.
Net sales decreased by 7.8% as reported.
U.S. GAAP income before income taxes decreased 39.1% as reported.
Underlying income before income taxes decreased 8.7% in constant currency.
The company reaffirmed its bottom-line growth and Underlying Free Cash Flow guidance for the year.
Molson Coors
Molson Coors
Molson Coors Revenue by Segment
Revenue by Segment
Americas Revenue
CapyFin.comEMEA&APAC Revenue
CapyFin.com Forward Guidance
Molson Coors adjusts its full year 2024 top-line guidance, expecting an approximate 1% decline versus 2023 on a constant currency basis. The company continues to expect to achieve the remaining targets for the full year 2024.
Positive Outlook
- Underlying income (loss) before income taxes: mid single-digit increase compared to 2023 on a constant currency basis.
- Underlying diluted earnings per share: mid single-digit increase compared to 2023 but narrowing to the high end of the range.
- Capital expenditures: $750 million incurred, plus or minus 5%.
- Underlying free cash flow: $1.2 billion, plus or minus 10%.
- Underlying depreciation and amortization: $700 million, plus or minus 5%.
Challenges Ahead
- Net Sales: Approximate 1% decline versus 2023 on a constant currency basis from our previous guidance of low single-digit increase versus 2023 on a constant currency basis.
- The adjustment is due to the softness in the U.S. beer industry over the peak selling season.
- Underlying COGS per hectoliter are expected to be higher in full year 2024 as compared to full year 2023.
- This is due to expected continued, albeit moderating inflation, mix impacts from the wind down of contract brewing volume and volume deleverage related to the U.S. shipment drivers previously mentioned.
- Underlying net interest income (expense), net: $210 million expense, plus or minus 5%.
Revenue & Expenses
Visualization of income flow from segment revenue to net income