Constellation Brands reports it earned $1.687 billion, or $9.61 a share, a 2.17% increase despite a 10% dreop in sales to $9.130 billion in fiscal 2026.

In reporting its results, its headlined its beer business continuing to lead the category in dollar share gains, outperforming the total beer category by approximately 2 percentage points in year-over-year dollar sales, and delivers depletion and net sales growth during the fourth quarter of 0.6% and over 1%, respectively.

But the Beer Business's actual net sales fell 3%, "driven by shipment declines of 3.8%, partially offset by favorable pricing net of mix. Depletions declined 2.1% largely driven by decreases in Modelo Especial, Corona Extra, and the Modelo Chelada brands of approximately 3%, 7%, and 1%, respectively, partially offset by strong depletion growth from Pacifico and Victoria of over 15% and 16%, respectively.

The Wine & SEpirits business saw net sales fall 51% to $823.8 million and shipments call to 8.3 million cases, a result of divestitures intended to focus on more profitable premium lines. But even after wiping out the divestitures, the company still saw wine and spirits shipments fall 6.7% and organic net sales fall 14%.

The company issued loweer-than-expected guidance for fiscal 2027 and withdrew its forecast for 2028.