By Allison Prang 
 

Constellation Brands Inc. reported a loss in the first quarter that was a smaller than a year ago while net sales declined.

The loss at the company, whose beverages include Corona and Modelo beer and Svedka vodka, was $177.9 million in the first quarter, compared with $245.4 million a year ago. The company's loss was 94 cents a share, compared with a $1.30 a share loss a year prior.

Constellation said adjusted earnings were $2.30 a share. According to FactSet, the analyst consensus for that metric was $1.99 a share.

Constellation said it had a 14-cent-a-share equity loss from Canopy Growth.

Sales fell 6.4% to $1.96 billion, beating Wall Street's $1.94 billion consensus estimate.

Chief Executive and President Bill Newlands said in prepared remarks that "the slowdown of our Mexican beer production due to COVID-19 created short-term impact to distributor inventory levels." The company said the effects of that slowdown will continue into the second quarter but that product inventories will normalize the quarter after that.

The company also said it couldn't give guidance for this fiscal year because of the uncertainty and potential impacts on the business from Covid-19.

 

Write to Allison Prang at allison.prang@wsj.com

 

(END) Dow Jones Newswires

July 01, 2020 08:05 ET (12:05 GMT)

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