BREAKING: CBrands Sales Rise 7%, Comparable Net Jumps 16% in 2nd Period

Constellation Brands reports its sales for the fiscal second quarter rose 7% from a year earlier to $2.84 billion. Net income was $690 million, or $3.74 a share. On a comparable basis to last year's second quarter the company reports net income of $6.82 million, or $3.70 a share.

The Beer Business, CBrands principal driver of sales and earnings, saw net sales rise 12% driven by an  8.7% increase in shipments. .  Depletions were 7.9%, the company said, driven Modelo Especial, which grew nearly 9%; Modelo Chelada, which grew more than 40%; Corona Extra, with 1% growth, and Pacifico, whose growth accelerated to 15%

CBrands' Wine and Spirits Business delivered strong relative performance driven by the higher-end brands, including Meiomi and Kim Crawford, which rose 7% and 6% in dollar sales and volume growth, outpaced their categories in Circana Channels. The craft spirits portfolio delivered more than 30% depletion growth

Bill Newlands, president/CEO, said Modelo Especial continued to outperform the market as the top share gainer and solidified its position as the No. 1 beer in U.S. tracked channels. As for wines and spirits, Newlands said the company continues to expect solid growth acceleration and margin improvements from its wine and spirits business as a whole.  

For the ninth consecutive quarter, Constellation's beer business was the No. 1 sahre gainer and the No. 1 brand in the entire U.S. beer category in dollar sales.  Modelo Chelada brands contined to be the No. 1 chelada in the U.S. beer market, holding nearly 70% market share of the entire chelada segment.

In the fine wine portfolio and craft spirits portfolio, Prisoner Wine Co. portfolio saw depletions rise 2%, while Mi Campo depletions soared more than 60%.