STZ earnings analysis
What we found in STZ's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
Constellation Brands reported a strong Q1 FY 2027 with revenues of $2.43 billion and EPS of $3.43, surpassing estimates. The beer segment saw a 2% increase in net sales, while wine and spirits revenue declined significantly due to prior divestitures. Operating income rose by 18%, despite challenges in the markets, showcased by effective cost management initiatives.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- Q1 Revenue Surge
- Actual revenue reached $2.43B, beating estimates of $2.40B by 1.5%.
- EPS Beat
- Reported EPS of $3.43 exceeded estimates of $3.21 by 6.8%.
- Operating Income Growth
- Operating income increased 18% year-over-year, highlighting effective cost management.
- Beer Segment Resilience
- Beer segment net sales grew by 2% to $2.28B, driven by shipment growth and favorable pricing.
- Strong Cash Flow
- Operating cash flow increased to $661.8M, up from $637.2M in the prior year.
- Restructuring Initiative Success
- Executed $200M in annualized cost savings from the 2025 Restructuring Initiative.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- Wine Segment Decline
- Wine and spirits segment sales dropped 47% to $149.2M, impacted by divestitures.
- Market Challenges
- Headwinds from economic uncertainty and price sensitivity among consumers could affect sales.
- Increased Tariff Costs
- Higher costs due to U.S. aluminum tariffs contributed additional expenses impacting margins.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $3.43
- Gross margin
- 54.3%
- Operating margin
- 34.8%
- Segment
- Beer: $2.28B
- Segment
- Wine and Spirits: $149.2M
What they said about what is next.
Fiscal 2027 EPS guidance updated to $11.50 to $12.20 reflecting strong operational performance.
The filing reads better than the one before it.
What came before.
- 10-K · April 22, 2026
- Constellation Brands reported consolidated net sales of $9,139.0 million in Fiscal 2026, down from $10,208.7 million in Fiscal 2025 after the 2025 Wine Divestitures; the Beer segment remains dominant at $8,315.2 million…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
Read the next one first.
We read every filing STZ makes the day it lands, and put it next to what the options market did about it. Members get both, and an alert when a filing arrives.
Cancel anytime · Month to month · Switch tiers whenever