While analysts expected the American alcoholic beverage manufacturer to report an expected second-quarter revenue of $2.82 billion, the company’s real sales from the three months were $2.84 billion; a 7% quarterly rise. This increase in sales comes after the company implemented some price increases in an effort to offset rising production costs.

Despite stubborn inflation and rising interest rates, consumer demand for alcoholic beverages appears to have remained steady. As a result of its strong sales performance, Constellation expects comparable earnings per share between $12.00 and $12.20 for 2024, compared to a previous forecast between $11.70 and $12.00 per share.

The post Corona Beer-Maker Constellation Lifts Profit Outlook appeared first on theprimarymarket.com.

A representative of Anheuser-Busch explained in a statement that the company will be restructured in a way to “simplify and reduce layers within its organization.” The layoffs will occur on the corporate side of the business, not affecting the jobs of “brewery and warehouse staff, drivers, and field sales, among others.”

The spokesperson explained that the layoffs would affect less than 2% of the company’s staff, adding that Anheuser-Busch employs over 19,000 employees across the United States. The 2% figure would account for around 380 positions.

CEO Brendan Whitworth claimed that the layoffs are a necessary step to maintain the health of the company, insisting that Anheuser-Busch remains poised for long-term success.

The post Bud Light Maker to Layoff Workers After Beer Loses Market Top Spot appeared first on theprimarymarket.com.

Following widespread backlash against the advertising campaign with transgender influencer Dylan Mulvaney on April 1, Bud Light sales have continued to fall in what has already been a challenging year for the beer brand. In the week ending May 20, sales were down by 24.3% on a year-to-year basis while declining by 21.6% compared to the previous week. Since the release of Mulvaney’s social media post, AB InBev’s shares have plunged by 18%.

Citi analyst Simon Hales observed that the drop in sales could in fact translate into a buying opportunity for investors. “There continues to be contagion to the wider AB InBev brand portfolio, with Budweiser, Busch and Michelob all weak again,” Hales wrote in a note to investors.

“Meanwhile, Coors Light continue to see share gains accelerate. The latest data shows little sign that consumers are moving on from the Bud Light controversy, and we expect these issues will continue to weigh on investor sentiment. Nevertheless, we believe the pullback creates an interesting entry point for longer-term investors.”

The post AB InBev Hit By Tumbling Bud Light Sales appeared first on theprimarymarket.com.

Currently the supplier of a quarter of all beers drunk globally, the Belgium-based distillery beer sales rose by 0.4% over the first three months of the year. Core profit rose by 13.6% from the previous quarter to $4.76 billion, thereby beating estimates of 5.6% as stipulated in a company-compiled poll.

The company’s rise in profit falls in line with an industry-wide trend, with rivals such as Heineken and Carlsberg also reporting strong results as consumers appeared to be willing to continue consuming beer from the companies despite rising prices.

With brands including Budweiser, Stella Artois and Corona, AB InBev reiterated that its 2023 core profit is expected to grow in line with its medium term outlook of between 4% and 8%.

The post AB InBev Reports Rise in Profit for Q1 appeared first on theprimarymarket.com.

Speaking recently with Yahoo Finance Live, Constellation CEO Bill Newlands said that the demand for their beer brands Corona, Modelo, and others, remains robust. He also added that he thinks the beer business is “recession resistant.”

“Consumer demand has been very strong,” Newlands shared. “We have the benefit in this industry in this category of being somewhat recession resistant. And we have seen no slowdown at a consumer level of purchasing against our brands.”

According to Newlands, his company, which also produces wine and spirits, expects the beer business to continue booming in 2023 as well. Constellation is projected to increase its beer sales early next year by up to 10 percent.

As a result of the profitable beer division, which outshined its wine and spirits business, Constellation Brands managed to keep its stock on a reasonably satisfying level. While companies in other industries have seen their shares dip up to 50 percent or more in value, Constellation stock is only 12.58 percent down year to date. Its most recent close was at 222.70 per share.

The post Constellation CEO Says Beer is “Recession Resistant” appeared first on theprimarymarket.com.

While analysts expected the American alcoholic beverage manufacturer to report an expected second-quarter revenue of $2.82 billion, the company’s real sales from the three months were $2.84 billion; a 7% quarterly rise. This increase in sales comes after the company implemented some price increases in an effort to offset rising production costs.

Despite stubborn inflation and rising interest rates, consumer demand for alcoholic beverages appears to have remained steady. As a result of its strong sales performance, Constellation expects comparable earnings per share between $12.00 and $12.20 for 2024, compared to a previous forecast between $11.70 and $12.00 per share.

The post Corona Beer-Maker Constellation Lifts Profit Outlook appeared first on theprimarymarket.com.

A representative of Anheuser-Busch explained in a statement that the company will be restructured in a way to “simplify and reduce layers within its organization.” The layoffs will occur on the corporate side of the business, not affecting the jobs of “brewery and warehouse staff, drivers, and field sales, among others.”

The spokesperson explained that the layoffs would affect less than 2% of the company’s staff, adding that Anheuser-Busch employs over 19,000 employees across the United States. The 2% figure would account for around 380 positions.

CEO Brendan Whitworth claimed that the layoffs are a necessary step to maintain the health of the company, insisting that Anheuser-Busch remains poised for long-term success.

The post Bud Light Maker to Layoff Workers After Beer Loses Market Top Spot appeared first on theprimarymarket.com.

Following widespread backlash against the advertising campaign with transgender influencer Dylan Mulvaney on April 1, Bud Light sales have continued to fall in what has already been a challenging year for the beer brand. In the week ending May 20, sales were down by 24.3% on a year-to-year basis while declining by 21.6% compared to the previous week. Since the release of Mulvaney’s social media post, AB InBev’s shares have plunged by 18%.

Citi analyst Simon Hales observed that the drop in sales could in fact translate into a buying opportunity for investors. “There continues to be contagion to the wider AB InBev brand portfolio, with Budweiser, Busch and Michelob all weak again,” Hales wrote in a note to investors.

“Meanwhile, Coors Light continue to see share gains accelerate. The latest data shows little sign that consumers are moving on from the Bud Light controversy, and we expect these issues will continue to weigh on investor sentiment. Nevertheless, we believe the pullback creates an interesting entry point for longer-term investors.”

The post AB InBev Hit By Tumbling Bud Light Sales appeared first on theprimarymarket.com.

Currently the supplier of a quarter of all beers drunk globally, the Belgium-based distillery beer sales rose by 0.4% over the first three months of the year. Core profit rose by 13.6% from the previous quarter to $4.76 billion, thereby beating estimates of 5.6% as stipulated in a company-compiled poll.

The company’s rise in profit falls in line with an industry-wide trend, with rivals such as Heineken and Carlsberg also reporting strong results as consumers appeared to be willing to continue consuming beer from the companies despite rising prices.

With brands including Budweiser, Stella Artois and Corona, AB InBev reiterated that its 2023 core profit is expected to grow in line with its medium term outlook of between 4% and 8%.

The post AB InBev Reports Rise in Profit for Q1 appeared first on theprimarymarket.com.

Speaking recently with Yahoo Finance Live, Constellation CEO Bill Newlands said that the demand for their beer brands Corona, Modelo, and others, remains robust. He also added that he thinks the beer business is “recession resistant.”

“Consumer demand has been very strong,” Newlands shared. “We have the benefit in this industry in this category of being somewhat recession resistant. And we have seen no slowdown at a consumer level of purchasing against our brands.”

According to Newlands, his company, which also produces wine and spirits, expects the beer business to continue booming in 2023 as well. Constellation is projected to increase its beer sales early next year by up to 10 percent.

As a result of the profitable beer division, which outshined its wine and spirits business, Constellation Brands managed to keep its stock on a reasonably satisfying level. While companies in other industries have seen their shares dip up to 50 percent or more in value, Constellation stock is only 12.58 percent down year to date. Its most recent close was at 222.70 per share.

The post Constellation CEO Says Beer is “Recession Resistant” appeared first on theprimarymarket.com.