The Buzz
All markets and investing news all the time

Womens 7.5 21627 Franco Sarto NIB Avice Gray Flats Avice 7.5 M 64ca342




Womens 7.5 21627 Franco Sarto NIB Avice Gray Flats Avice 7.5 M 64ca342 - hollisbaker.com

Americans love Corona, but is it paying off for investors? April 9, 2014: 11:06 AM ET
Womens 7.5 21627 Franco Sarto NIB Avice Gray Flats Avice 7.5 M 64ca342
Womens 7.5 21627 Franco Sarto NIB Avice Gray Flats Avice 7.5 M 64ca342 - hollisbaker.com

The beer trade has been a good one for Constellation.

Bottoms up! Constellation is cashing in on America's love affair with Corona.

Shares of Constellation Brands (STZ) opened sharply higher Wednesday after the beer and wine company reported strong quarterly results, although the stock has now fallen back.

The buzz kill came after Constellation executives said on a conference call with analysts that the cost of expanding a brewery in Mexico would be much higher than previously expected.

The company raised its estimate for the cost of upgrading its Nava brewery to a range between $900 million and $1.1 billion, up from the previous estimate of between $500 million to $600 million. So far, Constellation has spent about $140 million on the brewery.

Robert Ryder, Constellation's chief financial officer, tried to put a positive spin on the news.

"Despite the increased cost to build out the brewery, our improved commercial results should keep our cash flow and delivering goals intact," he said.

Constellation said net income surged 92% in the fourth quarter to $157 million, or 79 cents per share. Analysts were expecting the company to report earnings of 76 cents per share, according to FactSet.

Corona is the best-selling imported beer in the United States, according to Constellation CEO Rob Sands.

Sales rose to nearly $1.3 billion, thanks largely to about $600 million from Crown, the division that distributes Modelo brand beers, including Corona, in the United States.

"We had a great year, driven by our beer business," Sands told analysts on a conference call today.

Constellation paid $5.3 billion to take full control of Crown last year as part of a complex deal between Anheuser-Busch InBev (BUD) and Mexico's Grupo Modelo.

The deal was held up in court after the U.S. government sued to block it over anti-competitive concerns. But regulators relented after AB InBev and Modelo gave Constellation "perpetual rights" to distribute the popular Corona beer in the U.S. market and tossed in a major Modelo brewery.

Related: Why six-packs are pricier in some markets

So far, Constellation's bet on Mexican beer is paying off.

Net sales in the beer segment rose 13% in the fourth quarter " due to volume growth driven by strong consumer demand," the company's report states.

The strength in beer helped offset softness in sales of wine and spirits, which grew only 1% in the quarter.

Constellation expects beer sales to continue growing in its current fiscal year and is looking for income to grow "in the low to mid 20 percent range."

That should lead to better-than-expected earnings. Constellation is now targeting earnings of between $3.75 to $3.95 per share for the full year, which would translate to earnings growth of up to 27%.

Womens 7.5 21627 Franco Sarto NIB Avice Gray Flats Avice 7.5 M 64ca342

Now who needs a lime?

Join the Conversation
Follow CNNMoneyInvest
Fear & Greed
Sponsored by
Womens 7.5 21627 Franco Sarto NIB Avice Gray Flats Avice 7.5 M 64ca342 - hollisbaker.com
About This Author
Womens 7.5 21627 Franco Sarto NIB Avice Gray Flats Avice 7.5 M 64ca342 - hollisbaker.com
Ben Rooney
Staff writer, CNNMoney

Ben Rooney is a staff writer for CNNMoney. He covers the European debt crisis and other international finance stories, in addition to writing about stocks, bonds, investing and other Wall Street-related news. Follow Ben on Twitter: @ben_rooney

To view my watchlist

Not a member yet?

Sign up now for a free account
Contributors
Stupid Stock Move of the Day
#StupidStock Move of the Day! Yes, Urban Outfitters may be finally turnings things around. But $URBN up 17%? Seems a bit excessive, no?
Most Popular
You won the $1.5 billion Powerball! Here's your tax bill
 
Women's Size 8.5 N AA SAS Easier Mocha Slip Ons Loafers San Antonio Shoes , Rocky 4EurSole Womens 5.5 6 36 Nursing Clog Shoes Marble Patent Leather Black , BERNIE MEV FAME - Fame Size: - Color: , Womens GEOX Sparkling Beige Sneakers Espadrilles Sz. 39 , Frye Women's Gwen Perforated Leather Slide, 5.5Dansko 36 Shyanne Full Grain Saddle , Sam Edelman lela sneakers(women’s) size 9mECCO Womens 'Bluma' Morillo Leather Textile Toggle Sandals Sz 42 - 231046 , Naot Kirei Mary Jane Women's Shoes Leather/Suede Gray Slip On Moccasins Sz 37/6 , Johnston & Murphy Women's Jodi Perfed Slide Sandals, Gold Metallic Suede-Sz 8.5MFrench Sole New York Motif Ballet Flats, Zebra Tapestry, 5 USSam Edelman Rae Women's Black Suede Flats Sz 6.5 1037women's shoes DR. MARTENS 6 () Ballet Flats Black Canvas BT243-37 , FITFLOP Womens 'Superskate' Black Tassel Leather Loafers Sz 7UNIQUE VIA SPIGA CANVAS ANIMAL PRINT PATENT LEATHER BALLET FLATS US 11? HOTWomens SANTINA brown leather clogs shoes sz. 37 $129 , Dansko Deni Fringed Clog - Women's Size 10.5/11, BlackTORY BURCH Gold Metallic Ballet Flats Great Condition!!!! , NWOB Donald Pliner black studded loafers Size 7 M , JEAN-MICHEL CAZABAT Women's Babouch Mule - Black Suede - Multi Sz NIB MSRP $370Areni One By Deer Tracks Orthopedic Bronze Mary Jane Pilgrim Shoes Cloud 9 WNEW JCREW KIKI BALLET FLATS IN PAINTED PANSY F8149 10 WARM MULTI $168 SOLDOUT!NEW Free People Balboa Darby Leather Moto Zip Ankle Loafers Boots Size 36 , Johnston & Murphy Pewter Metallic Leather Maggie Camp Moc Flat Shoe 7 New , TORY BURCH Townsend 7.5M Leather Loafer Slip On Gold Logo $225 , GIUSEPPE ZANOTTI MULTICOLOR SWIRL SATIN WHITE PATENT CAP TOE BALLET FLATS 37 7Nurture Mayler Snake Embossed Leather Ballet Flats, Navy, 9 M , Dansko Size US 5.5 6 Blue Canvas Loafers New Womens Shoes , Cole Haan LAUREL Moc Maple Sugar Croc Print Leather Loafer Shoes Womens 10 NIB ,
Powerball winner can stay anonymous, judge rules
 
Counterfeit goods market is booming and becoming more dangerous
 
Kodak ditches digital cameras, will focus on photo printing DINGO Taupe Leather Inlay Embossed Croc Cowboy Western Boots Womens Size 7.5 MMarble Light Brown Leather Cowboy Western Boots Womens Size 6.5Adrienne Vittadini Black Booties Size 9Zigi Soho Womens Brown Ankle Boots 8Tan 5" Stiletto High Heel Open Toe Back Frill Over Knee Sexy Boot Size 9G by GUESS Women's Jackson Black Size 8.5Women's 8.5M Black Suede Cowgirl Boots Gianni BiniSaks Fifth Avenue 7M Black Label Randi Blue Polka Dot Ballet Flats Shoes , Sam Edelman Felicia Pink Purple Magenta Suede Leather Ballet Flats Shoes Sz 6NWB RZ Robert Zur Design Vega BB Loafers Mule Shoes Black/Turquoise sz 10m As isSTUART WEITZMAN AUTH $399 Women's Snake Skin Leather Pewter Flat Shoes Size 11 , ASICS Womens Running Shoes Size 8 GEL CONTEND 2CLARKS Women's CloudSteppers Sillian Bella Mary Jane Flat, Black Synthet...TORY BURCH Reva Perforated Silver Metallic logo size 6.5. Worn Once.Nike Air Max 1 Prm Sherpa Pack Bred Women's Sz 6 Black Red Shoes Jordan 11 Xl , Nike Air Zoom Mariah FK Racer Womens Grey Running Training AA0521 002 NIBWomens Fashion Leather Sneakers Wedge Sport Ankle Boots Brogue Oxfords High Heel , Chic Womens Fashion Sneakers Hidden Wedge Heel Platform Sequins Slip on Loafers , Adidas - Speed 2 - Pink Camouflage - Performance - Women’s - Size 10.5 , COLE HAAN Women's "ZeroGrand" Black Patent Sneakers Shoes Size 6 M , Nice Kelso Earth Shoe Penchant Sandle Size 8 , Pearl Izumi X Alp Seek 5730 Mountain Bike Cycling Shoes Womens sz 41NIKE AIR RELENTLESS 4 WOMEN'S SHOES SIZE 5Skechers Womens 15600 Go Walk Joy Low Top Slip On Walking, Navy/White, Size 11.0Women's Running Shoes NEW BALANCE RevLite 1290 Grey Yellow W1290GY US Size 10.5Women's Ellie Platform Boots Boots , Wanderlust ~ Red Suede Ankle Boot Women's (8 M)Matisse Boots Dark Brown Leather Ankle Bootie Heels 10 M Brazil EUCWomen Dansko Plaid Size 40 Shoes Clogs Black and WhiteSperry Top-Sider Women's Oasis Loft Boat Shoe Linen/Oat Leather/Textile Sneakers
 
University of Phoenix is the latest college under investigation
 
Latest Buzz Videos
See all videos
Womens 7.5 21627 Franco Sarto NIB Avice Gray Flats Avice 7.5 M 64ca342 Flats
6537032
7995547
8397011
8931900
8950141
9434675
10947662
12155688
17707773
Powered by WordPress.com VIP.