Overview

• Adjusted EPS of $2.90 fell short of the $3.31 analysts expected and revenue declined 6% year-over-year to $2.5 billion in the quarter ended May 31.
• Rising duties on imported beer cans and aluminum increased input costs and cut operating margins in the beer segment.
• Sales in states with large Hispanic populations saw the steepest declines as socioeconomic concerns led consumers to curb social gatherings and off-premise purchases.
• A company survey found over 80% of Hispanic and non-Hispanic respondents expressed worries about the socioeconomic environment, reducing visits to convenience stores and group events.
• Management narrowed its full-year EPS guidance to $12.07–$12.37 and reiterated confidence in meeting fiscal 2026 targets despite near-term headwinds.