Molson Coors

Molson Coors (TAP) Q1 2025 Earnings

Reported May 8, 2025 at 6:33 AM ET · SEC Source

Q1 25 EPS

$0.50

MISS 37.23%

Est. $0.80

Q1 25 Revenue

$2.30B

MISS 3.76%

Est. $2.39B

vs S&P Since Q1 25

-54.9%

TRAILING MARKET

TAP -23.8% vs S&P +31.1%

Market Reaction

Did TAP Beat Earnings? Q1 2025 Results

Molson Coors delivered a deeply disappointing first quarter, missing on both the top and bottom lines as a confluence of volume pressures and cost headwinds weighed heavily on results. The brewer posted adjusted EPS of $0.50, falling 37.23% short of … Read more Molson Coors delivered a deeply disappointing first quarter, missing on both the top and bottom lines as a confluence of volume pressures and cost headwinds weighed heavily on results. The brewer posted adjusted EPS of $0.50, falling 37.23% short of the $0.80 consensus estimate, while net sales slid 11.3% year-over-year to $2.30 billion, roughly $90 million below what analysts had expected. The steepest drag came from a 14.3% collapse in financial volumes, driven largely by cycling a prior-year distributor inventory build ahead of a Fort Worth brewery strike, the wind-down of lower-margin contract brewing arrangements, and softening consumer demand in an uncertain macroeconomic environment. COGS per hectoliter rose 6.1% on an underlying constant currency basis, compressing margins further. Reflecting the deteriorating backdrop, management sharply revised its 2025 outlook, now guiding for a low single-digit net sales decline and only low single-digit underlying EPS growth, a significant step down from prior targets of growth on both fronts. CEO Gavin Hattersley, who plans to retire by year-end, signaled continued cost discipline as the company navigates tariff uncertainty and weakening consumer confidence.

Key Takeaways

  • Macroeconomic environment and industry softness pressuring beer consumption
  • Cycling prior year's significant U.S. distributor inventory build related to Fort Worth brewery strike
  • Discontinuation of contract brewing arrangements in the Americas
  • Approximately $30 million in Fever-Tree integration and transition fees
  • Competitive pressures in EMEA&APAC with soft market demand
  • U.S. brand volumes declined 8.8%, impacted by cycling double-digit prior year growth in core power brands and one less trading day
  • Favorable price and sales mix of 3.9% partially offset volume declines
  • Cost inflation in materials and manufacturing expenses
  • Volume deleverage driving higher COGS per hectoliter
24/7 Wall St

TAP YoY Financials

Q1 2025 vs Q1 2024, source: SEC Filings

24/7 Wall St

TAP Revenue by Segment

With YoY comparisons, source: SEC Filings

Q1 25 Q1 26
24/7 Wall St

TAP Revenue by Geography

With YoY comparisons, source: SEC Filings

Q1 25 Q1 26

“The macroeconomic environment and its broad effects on the beer industry and consumer, as well as competitive pressures in EMEA&APAC, impacted our financial results in the first quarter. Additionally, in the quarter we saw expected headwinds, namely cycling the prior year's significant inventory build in the U.S., the discontinuation of our contract brewing arrangements in the Americas, and transition fees related to Fever-Tree.”

— Gavin Hattersley, Q1 2025 Earnings Press Release