Molson Coors reported Q2 earnings results today, reporting its best quarterly brand volume trends in the U.S. since 2008, with Coors Lite, Miller Lite and Coors Banquet each recording double-digit growth.
The company also posted its “single strongest quarter” of net sales since the 2005 merger of Molson and Coors.
Molson Coors recorded volume and net sales growth in its largest markets, the U.S., Canada and U.K., during the quarter.
Addressing the Bud Light boycott without naming names:
“The increase in U.S. volume was impacted by a shift in consumer purchasing behavior largely within the premium segment. Americas brand volumes increased 8.0%, including an 8.7% increase in the U.S. driven by growth in our core brands, with Coors Light, Miller Lite and Coors Banquet each growing double-digits.”
Molson Coors president and CEO Gavin Hattersley said:
“[M]ake no mistake: this is not simply a measure of the three months in the second quarter. These results are a measure of the past three years and a long-term strategy that has made our brands, our supply chain and our breweries demonstrably stronger. Collectively, the investments we have made over the past three years have made us more nimble, more prepared and singularly focused on strengthening our business, attracting consumers, meeting demand and sustaining our results.”
Q2 highlights:
- Net sales increased +11.8%;
- Net sales per hectoliter increased +8.7%;
- Net sales in the Americas increased +10.7%;
- Financial volumes in the Americas increased +5% due to increased U.S. shipments, volume growth of premium brands and higher shipments in Canada, cycling last year’s strike in Quebec.
It’s not just Coors Light, Miller Lite and Coors Banquet. Molson Coors chief communications and corporate affairs officer Adam Collins noted that Simply Spiked is exceeding expectations and the Simply Spiked Peach “was the top new performer in the quarter by dollar share.” Molson Coors also owns the No. 3 hard seltzer portfolio in the U.S, he added.
Molson Coors also raised its full year 2023 guidance, citing the performance of its “core brands in the U.S.” while also warning of “softness in the beer industry and continued caution around the consumer.”
As such, the company is projecting high single-digit net sales growth compared to 2022. Previously, the company projected a low single-digit increase.
Molson Coors is also projecting bottom-line growth of +23%-+26% year-over-year.