Constellation Brands: profit warning - shares tumble
(CercleFinance.com) - On Wednesday Constellation Brands warned that profit for its fiscal year 2018/2019 would be lower than expected, which has sent its shares down about 12%.
The world's largest wine producer, with brands such as Mondavi, Clos du Bois, or Ruffino, now expects to report earnings of 9.20-9.30 dollars per share, for its fiscal year ending in February.
The no. 3 brewer in the US, with imported brands such as Corona Extra, and Modelo Especial, Modelo Negra and Pacifico, previously forecast 9.60 dollars to 9.75 dollars.
For the wine and spirits business, the company now expects net sales and operating income to decline in low-single digits.
Third-quarter net sales rose by 9% to 1.97 billion dollars, while operating income increased by 14% to 557 million dollars.
Constellation shares were down 12% at 151 dollars on the New York Stock Exchange in early morning trading on Wednesday.
Copyright (c) 2019 CercleFinance.com. All rights reserved.
The world's largest wine producer, with brands such as Mondavi, Clos du Bois, or Ruffino, now expects to report earnings of 9.20-9.30 dollars per share, for its fiscal year ending in February.
The no. 3 brewer in the US, with imported brands such as Corona Extra, and Modelo Especial, Modelo Negra and Pacifico, previously forecast 9.60 dollars to 9.75 dollars.
For the wine and spirits business, the company now expects net sales and operating income to decline in low-single digits.
Third-quarter net sales rose by 9% to 1.97 billion dollars, while operating income increased by 14% to 557 million dollars.
Constellation shares were down 12% at 151 dollars on the New York Stock Exchange in early morning trading on Wednesday.
Copyright (c) 2019 CercleFinance.com. All rights reserved.