2023-05-02 07:40:07 ET
Molson Coors ( NYSE: TAP ) shares gained on Tuesday after the brewing conglomerate doubled profit expectations for the first quarter.
The parent of Miller, Blue Moon, Pilsner Urquell, and more reported $0.54 in earnings per share, well above the $0.26 consensus estimate. Meanwhile, a 6.3% rise in revenue to $2.35B topped expectations by $120M as a result of “positive net pricing and favorable sales mix driven by premiumization.” The company said that “stable performance” in the US and Canada, growth rin EMEA and APAC sales, as well as expansion beyond beer by Simply Spiked and Topo Chico Spirited aided the sales figures.
“Our results in the first quarter of 2023 demonstrate the strength of Molson Coors’ foundation across our portfolio of winning brands and business units. These results also reaffirm our belief that we’ve laid the right groundwork to continue growing sustainably in 2023 and in the future,” CEO Gavin Hattersley commented. “We’ve delivered our eighth consecutive quarter of top-line growth and increased our bottom-line on an underlying and constant currency basis by high double digits.”
CFO Tracey Joubert added that the company expects to maintain sales growth and benefits from premiumization despite a softer macroeconomic backdrop. The company reaffirmed its full-year earnings guidance. The reaffirmed guide entails net sales growth in the low single-digit range and underlying income growth before income taxes also in the low single-digit range.
Shares of Molson Coors ( TAP ) rose 0.8% in premarket action on Tuesday.
Read more on the details of the earnings results .
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Molson Coors stock moves higher on big bottom line beat