Financial Data and Key Metrics Changes - Third quarter consolidated net sales revenue decreased by 3.3% [19] - Underlying pre-tax income fell by 11.9% [19] - Underlying earnings per share declined by 7.2% [19] - A non-cash partial goodwill impairment charge of $3.6 billion was recorded [21] - Non-cash intangible asset impairment charges amounted to $274 million [21] Business Line Data and Key Metrics Changes - U.S. beer industry volume was down by 4.7% based on internal estimates [19] - U.S. volume share decreased by 40 basis points [19] - Contract brewing negatively impacted Americas financial volume by 450,000 hectoliters, equating to a 3 percentage point headwind [19] - EMEA and APAC volumes continued to be pressured due to soft market demand [19] Market Data and Key Metrics Changes - The macro environment has pressured demand across regions, particularly affecting lower-income and Hispanic consumers in the U.S. [8][9] - The company anticipates lower year-end U.S. distributor inventory levels compared to year-end 2024 [23] - The Midwest premium pricing has remained elevated, with costs expected to exceed the prior year by $40-$55 million [25] Company Strategy and Development Direction - The company aims to focus on building strong and scalable brands in both beer and beyond beer [10] - There is a commitment to premiumization, particularly in the above-premium segment, where the company is underindexed in the U.S. [12] - The company plans to implement structural changes to enhance agility and decision-making at the local level [16] - A corporate restructuring plan is in place to create a leaner organization, reducing salaried headcount by approximately 400 positions [17] Management's Comments on Operating Environment and Future Outlook - Management believes the current industry softness is cyclical rather than structural, with expectations for recovery as macro issues subside [9][44] - The company is committed to returning to growth, supported by a healthy balance sheet and strong free cash flow [9] - Future results are expected to take time, but there is confidence in the brand portfolio and strategic plans [18] Other Important Information - The company remains committed to its dividend and share repurchase program, viewing its stock as a compelling investment [18] - The guidance for 2025 has been reaffirmed, with expectations to come in at the low end of prior ranges for key metrics [22] Q&A Session Summary Question: What are the biggest opportunities and challenges ahead for the new CEO? - The new CEO highlighted the need to strengthen core brands and address share losses in the economy and flavor categories, while also focusing on premiumization opportunities [30] Question: Can you provide insights on the fourth quarter's top-line guidance? - The CFO indicated expectations for better performance in EMEA, APAC, and Canada, along with softer comps from contract brewing in the U.S. [32] Question: What are the pressures facing the beer category, and why is it considered cyclical? - Management noted that while there are structural issues, current pressures are largely due to macroeconomic factors, and they expect recovery as these issues are resolved [44] Question: How does the company plan to balance investments between beer and beyond beer? - The CEO emphasized the importance of supporting core beer brands while also seeking growth in the beyond beer segment, indicating a balanced approach to capital allocation [78] Question: What is the expected impact of the restructuring on the organization? - The restructuring aims to enhance agility and speed in decision-making, allowing for a more localized approach to market execution [76]

Financial Data and Key Metrics Changes - Third quarter consolidated net sales revenue decreased by 3.3% [19] - Underlying pre-tax income fell by 11.9% [19] - Underlying earnings per share declined by 7.2% [19] - The U.S. beer industry volume was down by 4.7% based on internal estimates [19] - A non-cash partial goodwill impairment charge of $3.6 billion was recorded [21] Business Line Data and Key Metrics Changes - U.S. volume share decreased by 40 basis points, with better performance in the on-premise channel compared to off-premise [19] - Contract brewing negatively impacted Americas financial volume by 450,000 hectoliters, equating to a 3 percentage point headwind [19] - EMEA and APAC volumes continued to be pressured due to soft market demand and heightened competition [19] Market Data and Key Metrics Changes - The macro environment has pressured demand across regions, particularly affecting lower-income and Hispanic consumers in the U.S. [8][9] - The company believes the current industry softness is cyclical rather than structural [9][44] Company Strategy and Development Direction - The company aims to focus on building strong and scalable brands in both Beer and Beyond Beer [10] - There is a commitment to premiumization, particularly in the U.S. market where the company is underindexed in above-premium segments [12][44] - The company plans to implement structural changes to enhance agility and decision-making at the local level [16][76] - A corporate restructuring plan is in place to create a leaner organization, reducing salaried headcount by approximately 400 positions or 9% [17] Management's Comments on Operating Environment and Future Outlook - Management acknowledges the challenges posed by macroeconomic factors but remains confident in the company's ability to return to growth [5][9] - The company expects to reaffirm its 2025 guidance but anticipates results at the low end of prior ranges for key metrics [22] - Management emphasizes the importance of maintaining a healthy balance sheet and strong free cash flow while investing in growth opportunities [18] Other Important Information - The company is committed to its dividend and share repurchase program, viewing its stock as a compelling investment [18] - The company plans to redeploy savings from restructuring to invest in key brands and commercial capabilities [17][70] Q&A Session Questions and Answers Question: What are the biggest opportunities and challenges ahead for the new CEO? - The new CEO highlighted the need to strengthen core brands and address share losses in the economy and flavor categories while capitalizing on opportunities in above-premium segments [30] Question: Can you provide insights on the implied improvement for the fourth quarter? - The company expects better top-line performance in EMEA, APAC, and Canada, along with softer comps from contract brewing in the U.S. [32] Question: What pressures are facing the beer category, and why is it believed to be cyclical? - Management noted that the beer category has faced structural issues but believes current challenges are cyclical due to macroeconomic factors [44] Question: How does the company plan to balance investments between Beer and Beyond Beer? - The company intends to maintain a strong focus on beer while also investing in Beyond Beer to ensure it becomes a significant growth driver [78]

Financial Data and Key Metrics Changes - Third quarter consolidated net sales revenue decreased by 3.3% [23] - Underlying pretax income fell by 11.9% [23] - Underlying earnings per share declined by 7.2% [23] - U.S. beer industry volume was down by 4.7% based on internal estimates [23] - A non-cash partial goodwill impairment charge of $3.6 billion was recorded [26] Business Line Data and Key Metrics Changes - U.S. volume share decreased by 40 basis points, with better performance in the on-premise channel compared to off-premise [24] - Contract brewing was a 450,000 hectoliter headwind to Americas financial volume [24] - EMEA and APAC volumes continued to be pressured by soft market demand [25] Market Data and Key Metrics Changes - The macro environment has pressured demand across regions, particularly affecting lower-income and Hispanic consumers in the U.S. [9] - The Midwest premium pricing remained elevated but within expected ranges [25] Company Strategy and Development Direction - The company aims to focus on building strong and scalable brands in both beer and Beyond Beer [10] - Plans to prioritize investments in core and economy beer portfolios while transforming above-premium and Beyond Beer portfolios [11] - The company intends to increase focus on economy brands and capitalize on the success of brands like Banquet [12][13] - A corporate restructuring plan is being implemented to create a leaner organization and optimize cost structures [20] Management's Comments on Operating Environment and Future Outlook - Management believes the current industry softness is cyclical and expects to return to growth [9] - The company is committed to improving shareholder value and maintaining a disciplined capital allocation approach [21] - Management acknowledges the challenges posed by macroeconomic factors but remains confident in the company's ability to navigate these headwinds [9][21] Other Important Information - The company expects to reaffirm its 2025 guidance, anticipating declines in key metrics [27] - Year-end U.S. distributor inventory levels are expected to be lower compared to year-end 2024 [28] Q&A Session Summary Question: What are the biggest opportunities and challenges ahead for the new CEO? - The new CEO highlighted the importance of listening to employees and customers, focusing on strengthening core brands and addressing gaps in the economy and flavor categories [37][39] Question: Can you provide insights on the implied improvement for Q4? - Management expects better top-line performance in EMEA, APAC, and Canada, along with lower G&A expenses due to reduced incentive compensation [40][41] Question: What are the pressures facing the beer category, and why is it considered cyclical? - Management noted that the beer category has faced structural issues but believes the current challenges are largely cyclical due to macroeconomic factors [52][53] Question: How does the company plan to address the upcoming bond maturity? - The company will review its debt as it approaches maturity, maintaining a focus on its leverage ratio [68] Question: What is the outlook for the economy portfolio? - The management emphasized the need to support the economy portfolio through appropriate marketing, innovation, and regional strategies [96]

Financial Data and Key Metrics Changes - Consolidated net sales revenue decreased by 3.3% in Q3 2025 [18] - Underlying pre-tax income declined by 11.9% [18] - Underlying earnings per share fell by 7.2% [18] - The U.S. beer industry volume was down by 4.7% based on internal estimates [18] - A non-cash partial goodwill impairment charge of $3.6 billion was recorded [19] Business Line Data and Key Metrics Changes - U.S. volume share decreased by 40 basis points, with better performance in the on-premise channel compared to off-premise [18] - Contract brewing was a 450,000 hectoliter headwind to the Americas financial volume [18] - Volume in the Americas and APAC continued to be pressured across all regions due to soft market demand [18] Market Data and Key Metrics Changes - The macro environment in Europe contributed to continued industry softness, impacting demand [7] - The Midwest premium pricing remained elevated, with marketing expenses increasing while G&A decreased due to lower incentive compensation [18] Company Strategy and Development Direction - The company aims to focus on building strong and scalable brands in both beer and beyond beer [8] - There is a commitment to premiumization, particularly in the above-premium segment, where the company is underindexed in the U.S. [10] - The company plans to invest in core and economy beer portfolios while transforming above-premium and beyond beer portfolios [8][10] - A corporate restructuring plan is being implemented to create a leaner organization and reinvest in key brands and capabilities [15][16] Management's Comments on Operating Environment and Future Outlook - Management believes the current industry softness is cyclical and expects a return to growth as macro issues are resolved [7][42] - The company is committed to returning cash to shareholders while also looking for scalable and accretive M&A opportunities [16][48] - Management expressed confidence in the company's ability to navigate near-term challenges and return to top and bottom-line growth [7][17] Other Important Information - The company expects to reaffirm its 2025 guidance but anticipates coming in at the low end of prior ranges for key metrics [20] - Year-end U.S. distributor inventory levels are expected to be lower compared to year-end 2024 [21] Q&A Session Questions and Answers Question: What are the biggest opportunities and challenges ahead for the new CEO? - The new CEO highlighted the need to strengthen core brands and address share losses in the economy and flavor categories while recognizing the strong foundation of the company [28] Question: Can you provide insights on the implied improvement for Q4? - Management expects better top-line performance in the Americas, APAC, and Canada, driven by lapping softer comps from contract brewing [31] Question: How do you view the pressures facing the beer category? - Management believes the current pressures are cyclical, influenced by macroeconomic factors, and expects a return to pre-2025 levels once these issues are resolved [42] Question: What is the company's approach to capital deployment and M&A? - The company aims to be disciplined in capital deployment, focusing on accretive deals that fill portfolio gaps while maintaining a strong balance sheet [48] Question: How will the restructuring improve agility and speed? - The restructuring is designed to bring leadership closer to market execution, enabling quicker decision-making and resource allocation [70]

Financial Performance - Net sales for Q3 2025 were $2,973.5 million, a decrease of 2.3% compared to $3,042.7 million in Q3 2024[19] - Gross profit for Q3 2025 was $1,173.5 million, down from $1,202.5 million in Q3 2024, reflecting a decline of 2.4%[19] - The company reported a net loss of $2,936.9 million in Q3 2025, compared to a net income of $228.8 million in Q3 2024[20] - Net income for the nine months ended September 30, 2025, was a loss of $2,389.5 million, compared to a profit of $864.0 million for the same period in 2024[25] - The net loss for the third quarter of 2025 is reported at $2,922.0 million, compared to a net income of $865.7 million for the same period in 2023[28] - The company reported a basic loss per share of $14.79 for Q3 2025, compared to earnings of $0.96 per share in Q3 2024[19] - The company reported a net loss attributable to MCBC of $2,927.6 million for the three months ended September 30, 2025, compared to a net income of $199.8 million in the same period of 2024[116] - The company reported a net loss of $2,152.3 million for the nine months ended September 30, 2025[214] Goodwill and Impairments - Goodwill impairment of $3,645.7 million was recorded in Q3 2025, significantly impacting overall financial performance[19] - Goodwill impairment recorded was $3,645.7 million, with no impairment reported in the previous year[25] - A partial goodwill impairment charge of $3,645.7 million was recorded in the third quarter of 2025 related to the Americas reporting unit[129] - The carrying value of goodwill decreased to $1,943.5 million as of September 30, 2025, down from $5,582.3 million as of December 31, 2024, due to a partial impairment loss of $3,645.7 million recorded during the third quarter of 2025[63][64] - The Americas segment experienced an accumulated impairment loss of $5,159.0 million as of September 30, 2025, indicating ongoing risk of future impairments[63][66] - A partial impairment charge of $198.6 million was recognized for the Staropramen family of brands intangible asset in the EMEA&APAC segment during the third quarter of 2025[111] Assets and Liabilities - Total assets decreased to $22,873.4 million as of September 30, 2025, down from $26,064.3 million at the end of 2024[23] - Current liabilities increased to $5,344.8 million as of September 30, 2025, compared to $3,045.2 million at the end of 2024[23] - The company’s total equity decreased to $10,523.3 million as of September 30, 2025, down from $13,284.2 million at the end of 2024[23] - Cash and cash equivalents were $950.2 million as of September 30, 2025, slightly down from $969.3 million at the end of 2024[23] - Total current assets increased to $2,042.9 million from $1,859.8 million as of December 31, 2024[214] - Total current liabilities rose significantly to $4,969.6 million from $2,673.9 million as of December 31, 2024[214] - Total noncurrent assets decreased to $20,147.0 million from $23,958.2 million as of December 31, 2024[214] - Long-term debt as of September 30, 2025, was $3,833.8 million, down from $6,063.6 million as of December 31, 2024[214] Cash Flow and Investments - Net cash provided by operating activities decreased to $1,243.7 million from $1,415.8 million year-over-year[25] - Net cash used in investing activities was $(635.1) million, compared to $(530.3) million in the prior year[25] - The balance of cash and cash equivalents at the end of the period was $950.2 million, down from $1,021.7 million at the end of the previous year[25] - The company made a minority investment of $88.1 million in Fevertree Drinks plc, with the investment recorded at a fair value of $127.4 million as of September 30, 2025[61] - The company incurred total capital expenditures of $533.7 million for the nine months ended September 30, 2025, compared to $563.0 million in the same period of 2024, a decrease of approximately 5.2%[118] - Net cash used in investing activities increased by $104.8 million to $635.1 million for the nine months ended September 30, 2025, primarily due to investments in Fevertree Drinks plc and acquisitions[194] Expenses - Marketing, general and administrative expenses were $686.7 million in Q3 2025, compared to $684.7 million in Q3 2024, indicating a slight increase[19] - Depreciation and amortization increased to $530.2 million from $512.1 million year-over-year[25] - Other operating expenses increased by $240.9 million for the nine months ended September 30, 2025, primarily due to intangible asset impairments[157] - The interest expense for the three months ended September 30, 2025, was $62.7 million, compared to $106.4 million in the same period of 2024, indicating a significant reduction of approximately 41.0%[116] Shareholder Returns - Dividends paid increased to $285.7 million from $279.4 million year-over-year[25] - The company declared dividends totaling $93.4 million in the third quarter of 2025, reflecting a significant commitment to returning value to shareholders[28] - During the nine months ended September 30, 2025, dividends declared to eligible shareholders were $1.41 per share, with the CAD equivalent equal to CAD 1.96 per share[37] Restructuring and Strategic Initiatives - The company expects to incur restructuring charges between $35 million to $50 million as part of an Americas restructuring plan, which involves the elimination of approximately 400 salaried positions by the end of December 2025[52] - The Americas restructuring plan will eliminate approximately 400 salaried positions by the end of December 2025, with expected restructuring charges between $35 million and $50 million[126] - The company aims to expand its product portfolio beyond traditional beer offerings, including flavored beverages and spirits, to capture a wider consumer base[119] - The company obtained exclusive rights to produce, market, and sell Fever-Tree products in the U.S., aligning with its strategy to expand beyond the beer aisle[131] Market Conditions and Challenges - Other comprehensive income for the third quarter of 2025 shows a loss of $78.2 million, indicating challenges in market conditions[28] - Financial volume decreased by 6.0% to 19.385 million hectoliters for the three months ended September 30, 2025, compared to 20.629 million hectoliters in the same period of 2024[135] - The company plans to continue evaluating strategies to mitigate the impact of economic and competitive pressures on its business[123] - The company recognized a loss of $41.1 million related to the disposal of certain U.S. craft businesses during the third quarter of 2024[132] Taxation - The effective tax rate for the three months ended September 30, 2025, was 16%, a decrease from 31% in the prior year, primarily due to a $3,645.7 million partial goodwill impairment[99] - The effective tax rate for the nine months ended September 30, 2025, was 14%, down from 25% in the prior year, largely due to the impact of the goodwill impairment[160]

分组1 - Molson Coors Brewing reported quarterly earnings of $1.67 per share, missing the Zacks Consensus Estimate of $1.72 per share, and down from $1.80 per share a year ago, representing an earnings surprise of -2.91% [1] - The company posted revenues of $2.97 billion for the quarter ended September 2025, missing the Zacks Consensus Estimate by 1.67%, and down from $3.04 billion year-over-year [2] - Molson Coors shares have declined approximately 24.6% since the beginning of the year, contrasting with the S&P 500's gain of 16.5% [3] 分组2 - The current consensus EPS estimate for the upcoming quarter is $1.18 on revenues of $2.73 billion, and for the current fiscal year, it is $5.45 on revenues of $11.26 billion [7] - The Zacks Industry Rank for Beverages - Alcohol is in the bottom 29% of over 250 Zacks industries, indicating potential underperformance compared to the top 50% of ranked industries [8]

FY 2025 Q3 RESULTS & OUTLOOK FORWARD LOOKING STATEMENTS & OTHER INFORMATION This presentation includes "forward-looking statements" within the meaning of the U.S. federal securities laws. Generally, the words "expects," "intend," "goals," "plans," "believes," "confidence", "view," "continues," "may," "anticipate," "seek," "estimate," "outlook," "trends," "future benefits," "potential," "projects," "strategies," "implies," and variations of such words and similar expressions are intended to identify forward- ...

Core Insights - Molson Coors Beverage Co. recorded impairment charges of nearly $4 billion, reflecting ongoing challenges in sales performance and asset valuation [1][3][6] - The company reported a 2.3% decline in net sales for the third quarter, totaling $2.97 billion, with a significant drop in financial volumes [5][6] - CEO Rahul Goyal emphasized the need for rapid transformation within the company, announcing job cuts and structural changes to enhance agility and reinvestment capabilities [4][5] Financial Performance - The third-quarter net sales decreased by over 2%, with a 6% decline in financial volumes for Molson Coors' owned brands [1][6] - The Americas division experienced a 3.6% sales drop, while the combined EMEA and APAC division saw a 2.4% decline [6] - The company reported a third-quarter operating loss of $3.43 billion and a net loss of $2.93 billion, contrasting with an operating income of $451.2 million and net income of $199.8 million in the same period last year [6] Impairment Charges - A "triggering event" led to a partial goodwill impairment loss of $3.65 billion for the Americas reporting unit [3] - Intangible impairment losses of $273.9 million were recorded for the Blue Run Spirits asset group and Staropramen brands [3] Management Commentary - CFO Tracey Joubert noted that underlying financial results were largely as expected, impacted by industry challenges and increased competition [7] - The company reaffirmed its full-year guidance but anticipates results at the lower end of the expected ranges for key metrics [7]

Group 1 - Molson Coors reported a loss in the third quarter, indicating challenges within the beer industry [1] - The company experienced lower sales during this period, reflecting a broader slump affecting the sector [1]

Financial Performance - Net sales decreased by 2.3% to $2,973.5 million, with a 3.3% decline in constant currency[6] - U.S. GAAP loss before income taxes was $3,495.5 million, a decline of $3,826.9 million from the prior year, primarily due to a $3,645.7 million non-cash partial goodwill impairment charge[5] - Underlying (Non-GAAP) income before income taxes decreased by 11.9% in constant currency to $426.0 million[5] - U.S. GAAP net loss attributable to Molson Coors was $2,927.6 million, resulting in a diluted loss per share of $14.79[5] - Financial volume decreased by 6.0%, driven by lower shipments in both the Americas and EMEA&APAC segments[9] - Brand volume decreased by 4.5%, including a 4.4% decrease in the Americas segment and a 5.0% decrease in the EMEA&APAC segment[9] - Underlying net income for the nine months ended September 30, 2025, was $844.8 million, a decrease of 13.9% compared to the prior year[6] - Total net sales in the Americas decreased by 3.6%, driven by a 6.5% decline in financial volume, partially offset by a 3.0% favorable price and sales mix[18][19] - EMEA&APAC segment net sales increased by 2.4% to $721.0 million, with a reported income loss before income taxes of $110.4 million, a decline of $162.0 million from the prior year[22][30] - Underlying (Non-GAAP) income before income taxes decreased by 15.1% in constant currency, primarily due to lower financial volume and cost inflation[30] Cash Flow and Dividends - Cash provided by operating activities for the nine months ended September 30, 2025, was $1,243.7 million, a decrease of $172.1 million compared to the prior year[28] - Underlying (Non-GAAP) free cash flow for the nine months ended September 30, 2025, was $782.1 million, a decrease of $73.9 million from the prior year[33] - The company paid cash dividends of $285.7 million for the nine months ended September 30, 2025, compared to $279.4 million in the prior year[33] - Dividends paid in the nine months ended September 30, 2025, totaled $285.7 million, compared to $279.4 million in 2024[43] Debt and Financial Ratios - Total debt as of September 30, 2025, was $6,292.0 million, resulting in a net debt to underlying EBITDA ratio of 2.28x, up from 2.10x in the prior year[33] - Net debt (Non-GAAP) as of September 30, 2025, was $5,341.8 million, compared to $5,219.0 million as of September 30, 2024, reflecting an increase of 2.4%[74] - The net debt (Non-GAAP) to underlying (Non-GAAP) EBITDA ratio increased to 2.28 as of September 30, 2025, from 2.10 in the prior year[74] Operational Changes and Restructuring - A restructuring plan was announced, involving the elimination of approximately 400 salaried positions across the Americas segment, with expected charges of $35 million to $50 million[31] - The company expects to implement cost reduction strategies, including a restructuring plan announced in October 2025, to address cost inflation and market challenges[39] Future Outlook - The company expects a 3% to 4% decline in net sales on a constant currency basis for the full year 2025, anticipating being at the low end of the range[33] - Future outlook includes expectations for improved capital expenditures and operational funding, alongside anticipated impacts from macroeconomic forces and consumer preferences[39] Impairments and Losses - The company incurred a goodwill impairment of $3,645.7 million for the three months ended September 30, 2025[41] - The company recorded a partial goodwill impairment loss of $3,645.7 million during the three months ended September 30, 2025, with $77.5 million attributable to noncontrolling interests[59] - Intangible impairment losses totaled $273.9 million for the nine months ended September 30, 2025, with $18.9 million attributable to a noncontrolling interest[60] Taxation - The effective tax rate decreased to 16% from 31% in the prior year, influenced by the non-deductible portion of the goodwill impairment[11][13] - The effective tax rate under U.S. GAAP for Q3 2025 was 16%, down from 31% in Q3 2024, showing a significant improvement[72] - The underlying (Non-GAAP) effective tax rate for Q3 2025 was 22%, slightly down from 24% in Q3 2024[72] Volume and Sales Metrics - Q3 2025 net sales decreased by 3.6% to $2,260.0 million compared to Q3 2024[44] - Total worldwide brand volume decreased by 4.5% to 20.366 million hectoliters in Q3 2025 from 21.332 million hectoliters in Q3 2024[46] - The company reported a significant decline in contract brewing and wholesale/factored volume, down 50.1% in the Americas[46] - Financial volume in the Americas for Q3 2025 was 13.738 million hectoliters, down 6.5% from 14.695 million hectoliters in Q3 2024[46] - EMEA&APAC financial volume for Q3 2025 was 5.649 million hectoliters, a decrease of 4.9% compared to 5.938 million hectoliters in Q3 2024[46] Non-GAAP Measures - Non-GAAP measures are used for operational and financial decision-making, providing a clearer view of business performance[51] - The total non-GAAP adjustment items for the three months ended September 30, 2025, amounted to $3,921.5 million[64] - The underlying (Non-GAAP) income before income taxes for the nine months ended September 30, 2025, was $1,088.6 million[66]