CORRECTION: Constellation Brands Sees FY25 Reported EPS $3.05-$7.92 Vs $14.62 Estimate, Revised From $14.63 - $14.93 Prior
Portfolio Pulse from Benzinga Newsdesk
Constellation Brands has revised its FY25 reported EPS guidance to $3.05-$7.92, significantly lower than the previous estimate of $14.62. The company expects a decline in reported operating income due to a goodwill impairment loss in its Wine and Spirits segment, but anticipates growth in its Beer segment.
September 03, 2024 | 3:38 pm
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Constellation Brands has significantly lowered its FY25 reported EPS guidance to $3.05-$7.92 from an earlier estimate of $14.62. The company expects a decline in reported operating income due to a goodwill impairment loss in its Wine and Spirits segment, but anticipates growth in its Beer segment.
The significant reduction in EPS guidance from $14.62 to a range of $3.05-$7.92 indicates potential financial challenges, particularly due to a goodwill impairment loss in the Wine and Spirits segment. However, the Beer segment shows positive growth, which may mitigate some negative impacts. Overall, the news is likely to have a negative short-term impact on STZ's stock price.
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