Newsletter

Menu

Constellation Brands Q2 profit beats; stock dips on loss from Canopy investment

By Staff Correspondent |

Beverage company Constellation Brands (NYSE: STZ) reported a decline in second-quarter earnings, despite a modest increase in sales aided by strong beer sales. Earnings topped the Street view, while the top-line matched expectations. Meanwhile, the stock dropped early Thursday as the company incurred a bigger loss from investments in the shares of Canopy Growth (GCG).

Second-quarter earnings, on an adjusted basis, dropped to $2.72 per share from $2.87 per share last year. Analysts had forecast a faster year-over-year decline. Excluding the Canopy Growth equity losses, net earnings were $2.91per share.

Constellation Brands Q2 profit drops but beats estimates

On an unadjusted basis, the company reported a net loss of $525.2 million or $2.77 per share for the three-month period, compared to a profit of $1.15 billion or $5.87 per share in the second quarter of 2019.

Sales up 2%

There was a 2% increase in net sales to $2.34 billion during the quarter, which was in line with the market’s prediction.

“The winning streak for our beer business continues with Modelo Especial generating the most growth in the entire U.S. beer category. Our Wine & Spirits innovation pipeline is primed to launch impactful product introductions, as we head into the key selling season this fall,” said CEO Bill Newlands.

Outlook

Meanwhile, the management revised its full-year earnings forecast to the range of $0.55 per share to $0.75 per share, and the outlook for adjusted earnings to $9.00-$9.20 per share. The revised forecast assumes the closure of the Wine and Spirits transaction at the end of the third quarter and completion of the Black Velvet transaction in November.

Also see: Aurora, Canopy Growth to be the biggest gainers

The full-year cash flow target has been revised up to $2.2 billion and free cash flow estimate to $1.3-$1.4 billion. It continues to expect the beer business to register a 7-9% growth in net sales and operating income in fiscal 2020.

Stock Buyback

During the quarter, the company repurchased around 266,000 shares for $50 million. It also agreed to sell the Black Velvet Canadian Whisky business to Heaven Hill Brands for $266 million.

Related: Constellation Brands Q1 2020 Earnings Call Transcript

Constellation Brands shares have gained 22% so far this year, continuing the recovery that began towards the end of 2018. The stock lost about 3% early Thursday immediately after the earnings announcement, after closing the last session lower.

We’re on Apple News! Follow us to receive the latest stock market, earnings and financial news at your fingertips

Advertisement

More on this Company

Extreme Networks Advances Cloud and AI Networking Strategy

January 28, 2026

Extreme Networks Beats Q2 Estimates, SaaS Growth Drives Top-Line Gains

January 28, 2026

AT&T Surpasses 2025 Targets, Signals Growth in 5G and Fiber

January 28, 2026

79 responses to “Constellation Brands Q2 profit beats; stock dips on loss from Canopy investment”

  1. Bulk URL Shortener

    […]although internet sites we backlink to below are considerably not connected to ours, we really feel they’re essentially worth a go by means of, so have a look[…]

  8. mzplay

    […]check beneath, are some totally unrelated web-sites to ours, nonetheless, they may be most trustworthy sources that we use[…]

  9. seo wix

    […]Wonderful story, reckoned we could combine a handful of unrelated information, nonetheless definitely really worth taking a search, whoa did one understand about Mid East has got much more problerms as well […]

  10. dog collar chanel

    […]Wonderful story, reckoned we could combine a couple of unrelated data, nonetheless definitely really worth taking a search, whoa did one understand about Mid East has got much more problerms as well […]

  22. french bulldog adoption

    […]Wonderful story, reckoned we could combine some unrelated data, nevertheless genuinely really worth taking a appear, whoa did 1 discover about Mid East has got additional problerms as well […]

  24. Kinco

    […]always a major fan of linking to bloggers that I appreciate but do not get a good deal of link love from[…]

  27. sex chat

    […]Wonderful story, reckoned we could combine some unrelated information, nevertheless really really worth taking a look, whoa did 1 study about Mid East has got more problerms at the same time […]

  29. play net

    […]we like to honor a lot of other web sites around the web, even though they aren’t linked to us, by linking to them. Underneath are some webpages worth checking out[…]

  30. cancun mexico boat rental

    […]Wonderful story, reckoned we could combine some unrelated data, nonetheless definitely really worth taking a search, whoa did one study about Mid East has got much more problerms as well […]

  31. 스포츠중계

    […]very couple of web-sites that occur to be in depth below, from our point of view are undoubtedly effectively really worth checking out[…]

  32. blockchain

    […]very few websites that happen to be comprehensive below, from our point of view are undoubtedly very well really worth checking out[…]

  39. delta ESP

    […]Every once in a while we decide on blogs that we study. Listed beneath would be the most recent websites that we pick out […]

  49. 늑대닷컴

    […]that may be the end of this post. Here you’ll uncover some websites that we think you will appreciate, just click the links over[…]

  55. crypto news

    […]Wonderful story, reckoned we could combine a handful of unrelated data, nonetheless definitely worth taking a look, whoa did 1 master about Mid East has got additional problerms at the same time […]

  60. Dog Papers

    […]very handful of sites that come about to become detailed below, from our point of view are undoubtedly properly worth checking out[…]

  70. French Bulldog Rescue

    […]although sites we backlink to below are considerably not related to ours, we feel they are essentially really worth a go as a result of, so have a look[…]

  73. exotic bullies

    […]Every as soon as inside a when we pick blogs that we study. Listed beneath would be the most recent internet sites that we select […]

  76. grey fluffy french bulldog

    […]although internet websites we backlink to beneath are considerably not connected to ours, we really feel they’re actually really worth a go by, so possess a look[…]

Top