Constellation Brands

While beer consumers – particularly core craft fans – once cared more about brand and where a product was made, most bev-alc consumers are now prioritizing price, quality and availability, among other factors. This has caused not only a shift in how craft beer is produced and marketed (hello, contract brewing boom), but also trends in imported beer.

Constellation Brands unveiled today the Q2 financials that showed slowing growth, which led to the company lowering its fiscal year 2025 (FY25) guidance last month.

Constellation Brands may have lowered its fiscal year 2025 (FY25) guidance earlier today, but the company has not lost confidence in the continued growth of its beer brands.

Constellation Brands has revised its 2025 fiscal outlook amid ongoing struggles in its wine and spirits business and consumer headwinds. The company revised its wine and spirits net sales projections for its wine and spirits business from between -0.5% and +0.5%, to between -6% and -4%. The importer of Mexican brands Corona, Modelo, Pacifico and Victoria also ticked down its beer projections from between +7% and +9%, to between +6% and +8%.

Constellation Brands’ share price declines Wednesday seemed not to shake company leadership, who expressed optimism about continued growth during the company’s Q1 FY 2025 earnings call with investors and analysts.

Constellation Brands reported a strong first quarter of its 2025 fiscal year, with $2.662 billion in reported net sales, a +6% increase compared to the same quarter last year, according to its Q1 earnings report.

Anheuser-Busch InBev’s (A-B) trends continue to improve in the latest monthly off-premise scans report from market research firm Circana. Meanwhile, positive growth trends for Molson Coors and Constellation Brands – the two largest gainers from A-B’s declines – decelerated, according to data through May 19.

Move over domestic premiums, imports are king. Imports overtook domestic premiums in dollar sales in NIQ-tracked off-premise channels in the four-week period ending April 20, making imports the No. 1 beer segment in scans.

Consumer sentiment toward Anheuser-Busch InBev’s (A-B) Bud Light continues to decline more than a year after the initial boycott of the brand, according to a HundredX survey, shared by Goldman Sachs in its latest Beverage Bytes report.

Constellation Brands capped another strong year for its beer business with full-year net sales growth of +9% for its beer brands, hitting the top end of the company’s +8% to +9% growth expectations for fiscal year 2024, company leadership shared Thursday.

Constellation Brands is expected to be the biggest winner in shelf resets this spring, according to the most recent Beverage Bytes beer distributor survey by Goldman Sachs.

Beer had an expected St. Patrick’s Day boost, with dollar sales in Circana-tracked off-premise channels increasing +5.3% year-over-year (YoY) in the week ending March 17, according to the market research firm.

Modelo Especial is now a 200-million case brand, as depletions crossed that milestone in the latest rolling 52-week period, Greg Gallagher, VP of brand marketing for Constellation Brands’ beer division, shared during Tuesday’s Gold Network Summit in Las Vegas.

The “Internet Daddy” has found his beach. Pedro Pascal, star of The Mandalorian and The Last of Us, is the new lead brand ambassador for Corona.