Molson Coors eyes M&A to build out beyond beer portfolio

Core Insights - Molson Coors is responding to declining beer sales and changing consumer preferences with urgency, projecting a 4.7% decline in the total beer market, which is expected to be cyclical [3][4] - The company is restructuring by cutting 400 salaried jobs, a 9% reduction in its corporate workforce, and plans to redeploy savings into M&A and brand investments [5] - Molson Coors is focusing on expanding its portfolio beyond beer, particularly in nonalcoholic categories and energy drinks, to mitigate the downturn in beer sales [8] Company Strategy - The company aims to fill gaps in its portfolio through new acquisitions, particularly in the "beyond beer space" [8] - Investment in marketing for larger brands remains a priority, while beer continues to be a foundational aspect of the business [6] - The restructuring includes reshaping the executive leadership team and eliminating the chief commercial officer role [5] Market Trends - There is a growing consumer interest in healthier options and a shift in alcohol consumption habits impacting sales [4] - Competitors like Anheuser Busch have seen significant revenue growth in non-alcoholic beer, with a 27% increase compared to less than 1% overall revenue growth [7]