Constellation Brands reports Q4 depletions up 0.6%

The company states: “Net sales increased by over 1% driven by shipment growth of 1.1% and favorable pricing, partially offset by unfavorable mix. Depletions grew 0.6% as declines from Modelo Especial of just under 1% and Corona Extra of approximately 6% were more than offset by growth from Pacifico, Victoria, and the Modelo Chelada brands of approximately 21%, 17%, and 5%, respectively. Operating margin decreased 340 basis points to 33.2% as favorability in net sales was more than offset by increased COGS due to unfavorable fixed cost absorption, increased depreciation, and aluminum tariffs.”