Corona and Modelo brewer Constellation Brands Inc (NYSE:STZ) climbed in pre-market trading after beating revenue and earnings expectations for the fourth quarter.
Revenue climbed 7% to US$2.14 billion over the final quarter, the beverage maker reported on Thursday, outdoing Wall Street expectations of US$2.10 billion.
Earnings also beat expectations, coming in at US$2.14 on a per-share basis, against an anticipated US$2.09.
“These results were driven by sustained growth of our industry-leading beer brands that continue to gain share,” chief executive Bill Newlands said.
“We remain confident and excited about the growth trajectory of our beer portfolio [and] continue to see growth potential in our wine and spirits business as we focus on strong commercial and operational execution.”
Over the year, revenue jumped 5% to US$9.96 billion, while operating income increased by 7% to US$3.25 billion.
Beer sales grew by 9% during 2023, led by the Modelo Especial brand, though wine and spirit sales declined 9% on unfavourable conditions in the US.
Constellation guided for overall sales to increase by 6% to 7% for the year ahead, on 7% to 9% growth in the beer category but likely flat wine and spirit performance.
Shares climbed 1% to US$267.50 in pre-market trading.