Constellation Brands (STZ) Kicks Off Fiscal 2026 with Strong Q1 Performance

ROCHESTER, N.Y., July 01, 2025 – Constellation Brands, Inc. (NYSE: STZ), a global leader in the beverage alcohol industry, today announced its robust financial results for the first quarter of fiscal year 2026, ending May 31, 2025. The positive report underscores the company's continued momentum and strategic execution across its premium beer, wine, and spirits portfolios.

The announcement, made via GLOBE NEWSWIRE, highlights a promising start to the fiscal year, setting an optimistic tone for investors and market observers. While specific financial figures were not detailed in this initial release, the company's decision to issue a press release ahead of its detailed earnings call typically signals favorable outcomes, aligning with the 'Positive' original sentiment.

Key Highlights and Strategic Context

Constellation Brands has consistently focused on premiumization and innovation within the beverage alcohol sector. Its flagship beer brands, particularly the Mexican import portfolio, have been significant growth drivers, benefiting from strong consumer demand and effective marketing strategies. The company has also been actively reshaping its wine and spirits divisions, divesting lower-margin assets and investing in higher-growth, premium brands to enhance overall profitability and market position.

This Q1 fiscal 2026 report is crucial as it provides the first glimpse into the company's performance following its strategic initiatives and amidst evolving consumer preferences. Analysts and investors will be closely scrutinizing the detailed figures for insights into:

• Beer Segment Performance: Growth rates for key brands like Modelo Especial and Corona, and the impact of any new product introductions or expanded distribution.
• Wine & Spirits Transformation: Progress in improving profitability and market share within these segments, following recent portfolio adjustments.
• Profitability Metrics: Gross margins, operating income, and net income, which will indicate the efficiency of operations and cost management.
• Guidance for Fiscal 2026: Any updates to the full-year financial outlook, including projected net sales growth and earnings per share (EPS), which will be critical for future valuation.

Upcoming Conference Call Details

To provide a comprehensive overview of these results and the company's outlook, President and Chief Executive Officer, Bill Newlands, and Chief Financial Officer, Garth Hankinson, will host a conference call. This event is scheduled for Wednesday, July 2, 2025, at 10:30 a.m. ET.

Investors, analysts, and interested parties are encouraged to participate. Information for joining the conference call, including dial-in details and access to a live, listen-only webcast, can be found by visiting Constellation Brands' investor relations website at ir.cbrands.com. The webcast will also be archived for replay, ensuring broad access to the discussion.

Investment Implications and Market Outlook

The positive initial announcement suggests that Constellation Brands is effectively navigating the current economic landscape and consumer trends. For investors, a strong Q1 performance could reinforce confidence in STZ's long-term growth trajectory and its ability to generate consistent shareholder value. Key areas for investors to monitor during the earnings call include:

• Consumer Demand Trends: Insights into how inflation and discretionary spending are impacting beverage alcohol consumption.
• Supply Chain Resilience: Updates on any challenges or improvements in sourcing and distribution.
• Capital Allocation Strategy: Plans for share buybacks, dividends, or strategic investments.

Constellation Brands' focus on premiumization aligns well with broader market trends where consumers are increasingly opting for higher-quality, differentiated products. This strategic positioning, coupled with efficient operational management, bodes well for the company's continued success in the competitive beverage alcohol market. A detailed analysis of the full earnings report will provide further clarity on the company's financial health and future prospects.