Constellation Brands reported third‐quarter fiscal 2026 net sales of $2.22 billion, outpacing consensus revenue expectations by $60 million. Adjusted EPS came in at $3.06, topping the $2.64 estimate. The Beer Business segment grew 2.8% year-over-year, driven by stable demand for Modelo Especial and Corona Extra, while the Wine & Spirits division delivered 4.1% organic sales growth led by The Prisoner Wine Company and Casa Noble Tequila.

Management highlighted that economic stress within its core Hispanic consumer base and a softer U.S. construction market have constrained on-premise beer volumes. In U.S. beer channels, Hispanic drinker spending declined 3.5% sequentially, and on-premise unit sales fell 1.2% in regions with high construction activity shortfalls, reflecting tighter household budgets and reduced discretionary outings.

Despite the operating headwinds, the company reaffirmed its full-year adjusted EPS guidance range of $11.30 to $11.60. CFO Garth Hankinson emphasized that ongoing cost‐savings initiatives—expected to yield $150 million in annualized benefits—will offset input cost inflation of approximately 4%. The board maintained its dividend payout ratio target near 35% of adjusted net income, supporting steady cash returns to shareholders.

Building on its market‐leading Modelo portfolio, Constellation Brands introduced Modelo Chelada Limón y Sal Non-Alcoholic, offering 60 calories per 12 oz can. The launch targets the fast-growing low- and non-alcoholic RTD segment, which is forecast to expand 50% over the next two years. Initial distribution covers nine key states, representing 45% of U.S. beer dollar sales, with planned rollout to additional markets by Q3.