Mexico drives growth for Constellation Brands
The company Constellation Brands continues to strengthen ties with Mexico; According to the company, the country plays a very important role in the economic growth of the United States. He noted that during 2018, the beer marketer reached an operating margin of 37.3 percent.
The business is expected to have net sales growth between 9 and 11% during fiscal year 2019, and the operating margin to be approximately 9 percent.
The products belonging to the Modelo and Corona brands allowed a distribution growth of 8% and the beer business of Constellation achieved the most significant increase in participation in the US beer industry for the third quarter of 2018.
For the Labor Day and Thanksgiving celebrations, Corona Premier, Modelo Especial and Corona Familiar were the 3 brands that achieved the highest participation of premium beer in the quarter.
In addition, the marketing company for liquors, wines and beers had an increase of almost 11% in marketing as a percentage of net sales during the last quarter and 10% in the fiscal year.
The increases are mainly due to marketing investments for the new Corona Premier and Corona Family products, as well as to support other portfolio growth initiatives. The company now expects 2019 fiscal year marketing as a percentage of net sales to be in the lower part of the projected range of 9.5 to 10 percent.
In its closing report, Constellation Brands said it achieved $ 973 million in sales during the last quarter of 2018, which represents an increase of 9% against the same period of the previous year.
Via: Mundo Ejecutivo