Molson Coors Beverage Company Reports 2023 Second Quarter Results
Molson Coors Delivers Second Quarter Top-Line Growth of
Second Quarter Income Before Income Taxes Increased
Raises 2023 Full Year Key Financial Guidance While Continuing to Reinvest in the Business and Navigate a Dynamic Macro Economic Environment
2023 SECOND QUARTER FINANCIAL HIGHLIGHTS1
-
Net sales increased
11.8% reported and12.1% in constant currency, primarily due to positive net pricing and favorable sales mix as well as higher financial volumes.
-
Net sales per hectoliter increased
8.7% reported and9.0% in constant currency, primarily due to positive net pricing and favorable sales mix driven by geographic mix and premiumization.
-
U.S. GAAP income before income taxes of increased$441.1 million .$386.2 million
-
Underlying (Non-GAAP) income before income taxes of
improved$502.2 million 52.6% in constant currency.
-
U.S. GAAP net income attributable to MCBC of ,$342.4 million per share on a diluted basis. Underlying (Non-GAAP) diluted earnings per share ("EPS") of$1.57 per share increased$1.78 49.6% .
-
Molson Coors to host a Strategy Day in
New York City on October 3, 2023.
1 See Appendix for definitions and reconciliations of non-GAAP financial measures including constant currency.
CEO AND CFO PERSPECTIVES
In the second quarter of 2023, Molson Coors delivered its single strongest quarter of
Molson Coors, in the second quarter, grew volume and net sales in its largest markets -
Gavin Hattersley, President and Chief Executive Officer Statement:
"Our second quarter results represent tremendous growth across our global business, as well as our portfolio. We are proud to report the best quarter of
Tracey Joubert, Chief Financial Officer Statement:
"We are extremely pleased with our second quarter performance, with both business units achieving double-digit net sales and underlying income before income tax growth. We did this while continuing to invest in our business, reduce net debt and return cash to shareholders. While we remain mindful of the dynamic global macro economic environment and beer industry softness, our robust second quarter performance coupled with the strong foundation we have laid over the last three years, provide us the confidence to significantly raise our 2023 annual guidance. Our strategy is working, positioning us to deliver top and bottom-line growth in 2023 and beyond."
CONSOLIDATED PERFORMANCE - SECOND QUARTER 2023 |
|||||||||||||||
|
For the Three Months Ended |
||||||||||||||
($ in millions, except per share data) (Unaudited) |
June 30, 2023 |
|
June 30, 2022 |
|
Reported
|
|
Foreign
|
|
Constant
|
||||||
Net sales |
$ |
3,266.6 |
|
$ |
2,921.7 |
|
11.8 |
% |
|
$ |
(9.7 |
) |
|
12.1 |
% |
|
$ |
441.1 |
|
$ |
54.9 |
|
703.5 |
% |
|
$ |
3.7 |
|
|
696.7 |
% |
Underlying income (loss) before income taxes(1) |
$ |
502.2 |
|
$ |
328.1 |
|
53.1 |
% |
|
$ |
1.5 |
|
|
52.6 |
% |
|
$ |
342.4 |
|
$ |
47.3 |
|
623.9 |
% |
|
|
|
|
|||
Per diluted share |
$ |
1.57 |
|
$ |
0.22 |
|
613.6 |
% |
|
|
|
|
|||
Underlying net income (loss)(1) |
$ |
387.2 |
|
$ |
260.1 |
|
48.9 |
% |
|
|
|
|
|||
Per diluted share |
$ |
1.78 |
|
$ |
1.19 |
|
49.6 |
% |
|
|
|
|
|
For the Six Months Ended |
||||||||||||||
($ in millions, except per share data) (Unaudited) |
June 30, 2023 |
|
June 30, 2022 |
|
Reported
|
|
Foreign
|
|
Constant
|
||||||
Net sales |
$ |
5,612.9 |
|
$ |
5,136.3 |
|
9.3 |
% |
|
$ |
(59.4 |
) |
|
10.4 |
% |
|
$ |
543.0 |
|
$ |
228.6 |
|
137.5 |
% |
|
$ |
10.6 |
|
|
132.9 |
% |
Underlying income (loss) before income taxes(1) |
$ |
660.0 |
|
$ |
411.6 |
|
60.3 |
% |
|
$ |
6.7 |
|
|
58.7 |
% |
|
$ |
414.9 |
|
$ |
198.8 |
|
108.7 |
% |
|
|
|
|
|||
Per diluted share |
$ |
1.91 |
|
$ |
0.91 |
|
109.9 |
% |
|
|
|
|
|||
Underlying net income (loss)(1) |
$ |
503.5 |
|
$ |
323.9 |
|
55.4 |
% |
|
|
|
|
|||
Per diluted share |
$ |
2.31 |
|
$ |
1.49 |
|
55.0 |
% |
|
|
|
|
(1) | Represents income (loss) before income taxes and net income (loss) attributable to MCBC adjusted for non-GAAP items. See Appendix for definitions and reconciliations of non-GAAP financial measures including constant currency. |
|
(2) | Net income (loss) attributable to MCBC. |
QUARTERLY CONSOLIDATED HIGHLIGHTS (VERSUS SECOND QUARTER 2022 RESULTS)
- Net sales: The following table highlights the drivers of the change in net sales and net sales per hectoliter for the three months ended June 30, 2023 compared to June 30, 2022 (in percentages):
|
For the Three Months Ended June 30, 2023 |
||||||
|
Financial
|
|
Price and
|
|
Currency |
|
Net Sales |
Consolidated - Net sales |
|
|
|
|
(0.3)% |
|
|
Consolidated - Net sales per hectoliter |
N/A |
|
|
|
(0.3)% |
|
|
Net sales increased
Financial volumes increased
Price and sales mix favorably impacted net sales and net sales per hectoliter by
-
Cost of goods sold ("COGS"): decreased
2.6% on a reported basis, primarily due to lower cost of goods sold per hectoliter and favorable foreign currency impacts, partially offset by the impact of higher financial volumes. Cost of goods sold per hectoliter: decreased5.3% primarily due to changes in our unrealized mark-to-market derivative positions of , volume leverage and cost savings initiatives, partially offset by cost inflation related to material and manufacturing expenses and unfavorable mix. Underlying COGS per hectoliter: increased$210.1 million 5.9% in constant currency, primarily due to cost inflation related to materials and manufacturing expenses and unfavorable mix, partially offset by volume leverage and cost savings initiatives.
-
Marketing, general & administrative ("MG&A"): increased
3.9% on a reported basis, primarily due to higher incentive compensation expense and increased marketing investment on innovation brands. Underlying MG&A: increased4.1% in constant currency.
-
U.S. GAAP income (loss) before income taxes: increased on a reported basis, primarily due to changes in our unrealized mark-to-market commodity positions of$386.2 million , increased net pricing to customers, higher financial volumes and favorable sales mix, partially offset by cost inflation related to material and manufacturing expenses, as well as higher MG&A expense.$210.1 million
-
Underlying income (loss) before income taxes: improved
52.6% in constant currency, primarily due to increased net pricing to customers, higher financial volumes and favorable sales mix, partially offset by cost inflation related to material and manufacturing expenses, as well as higher MG&A expense.
QUARTERLY SEGMENT HIGHLIGHTS (VERSUS SECOND QUARTER 2022 RESULTS)
Americas Segment
- Net sales: The following table highlights the drivers of the change in net sales and net sales per hectoliter for the three months ended June 30, 2023 compared to June 30, 2022 (in percentages):
|
For the Three Months Ended June 30, 2023 |
||||||
|
Financial
|
|
Price and
|
|
Currency |
|
Net Sales |
|
|
|
|
|
(0.8)% |
|
|
|
N/A |
|
|
|
(0.8)% |
|
|
Net sales increased
Financial volumes increased
Price and sales mix favorably impacted net sales and net sales per hectoliter by
-
U.S. GAAP and Underlying income (loss) before income taxes: improved40.0% on a reportedU.S. GAAP basis and underlying basis in constant currency primarily due to increased net pricing, higher financial volumes including volume leverage, lower logistics expenses and favorable sales mix, partially offset by cost inflation related to material and manufacturing expenses, as well as higher MG&A expense. Higher MG&A spend was primarily due to higher incentive compensation expense and increased marketing investment on innovation brands.
EMEA&APAC Segment
- Net sales: The following table highlights the drivers of the change in net sales and net sales per hectoliter for the three months ended June 30, 2023 compared to June 30, 2022 (in percentages):
|
For the Three Months Ended June 30, 2023 |
||||||
|
Financial
|
|
Price and
|
|
Currency |
|
Net Sales |
EMEA&APAC - Net sales |
(3.0)% |
|
|
|
|
|
|
EMEA&APAC - Net sales per hectoliter |
N/A |
|
|
|
|
|
|
Net sales increased
Financial volumes decreased
Price and sales mix favorably impacted net sales and net sales per hectoliter by
-
U.S. GAAP and Underlying income (loss) before income taxes:U.S. GAAP income before income taxes improved86.6% on a reported basis and underlying income before income taxes improved82.7% in constant currency, primarily due to increased net pricing to customers and favorable sales mix, partially offset by lower financial volumes and cost inflation on materials, logistics and manufacturing expenses.
CASH FLOW AND LIQUIDITY HIGHLIGHTS
-
U.S. GAAP cash from operations: net cash provided by operating activities was for the six months ended June 30, 2023 which improved$894.4 million compared to the prior year primarily due to higher net income, lower interest paid, as well as the favorable timing of working capital in the$227.6 million Americas , partially offset by higher income taxes paid.
-
Underlying free cash flow: cash received of
for the six months ended June 30, 2023 which represents an increase of$569.7 million from the prior year, was primarily due to higher net cash provided by operating activities and lower capital expenditures as a result of the timing of capital projects.$282.5 million
-
Debt: Total debt as of June 30, 2023 was
and cash and cash equivalents totaled$6,615.1 million , resulting in net debt of$960.9 million and a net debt to underlying EBITDA ratio of 2.50x. As of June 30, 2022, our net debt to underlying EBITDA ratio was 3.20x.$5,654.2 million
-
Dividends: A cash dividend of
per share was declared and paid to eligible shareholders of record on the respective record dates during the six months ended June 30, 2023, for a total of$0.41 per share or a CAD equivalent of$0.82 CAD 1.10 per share. A cash dividend of per share was declared and paid to eligible shareholders of record on the respective record dates during the six months ended June 30, 2022, for a total of$0.38 per share or a CAD equivalent of$0.76 CAD 0.96 per share.
-
Share Repurchase Program: For the six months ended June 30, 2023, we repurchased 475,000 shares under the share repurchase program at a weighted average price of
per share, including brokerage commissions, for an aggregate value of$56.18 . For the six months ended June 30, 2022, we repurchased 510,000 shares at a weighted average price of$26.7 million per share, including brokerage commissions, for an aggregate value of$51.40 .$26.2 million
OTHER RESULTS
Tax Rates Table |
|||
(Unaudited) |
For the Three Months Ended |
||
|
June 30, 2023 |
|
June 30, 2022 |
|
|
|
|
Underlying effective tax rate(1) |
|
|
|
(1) | See Appendix for definitions and reconciliations of non-GAAP financial measures. |
-
The increase in our second quarter
U.S. GAAP effective tax rate was primarily due to an increase in net discrete tax expense in combination with higher income before income taxes. We recognized discrete tax expense in the second quarter of 2023 compared to$0.4 million discrete tax benefit in the second quarter of 2022. For the second quarter of 2022, there was a disproportionate impact from the discrete tax benefit on our effective tax rate due to lower income before income taxes.$2.3 million
2023 OUTLOOK
We are raising our 2023 key financial guidance metrics to reflect the continued strength we are seeing in our core brands in the
- Net sales: high single-digit increase versus 2022 on a constant currency basis from our previous guidance of a low single-digit increase.
-
Underlying income (loss) before income taxes:
23% -26% increase compared to 2022 on a constant currency basis from our previous guidance of a low single-digit increase.
-
Underlying free cash flow:
, plus or minus$1.2 billion 10% from our previous guidance of , plus or minus$1.0 billion 10% .
-
Consolidated net interest expense:
, plus or minus$225 million 5% from our previous guidance of , plus or minus$240 million 5% .
We continue to expect the following targets for full year 2023.
-
Capital Expenditures:
incurred, plus or minus$700 million 5%
-
Underlying depreciation and amortization:
, plus or minus$690 million 5% .
-
Underlying effective tax rate: in the range of
21% to23% for 2023.
On July 13, 2023 our Board of Directors declared a cash dividend on its Class A and Class B common shares of
We repaid our
NOTES
Unless otherwise indicated in this release, all $ amounts are in
2023 SECOND QUARTER INVESTOR CONFERENCE CALL
Molson Coors Beverage Company will conduct an earnings conference call with financial analysts and investors at 11:00 a.m. Eastern Time today to discuss the Company’s 2023 second quarter results. The live webcast will be accessible via our website, ir.molsoncoors.com. An online replay of the webcast will be available until 11:59 p.m. Eastern Time on November 1, 2023. The Company will post this release and related financial statements on its website today.
2023 STRATEGY DAY
Molson Coors will host a Strategy Day in
OVERVIEW OF MOLSON COORS BEVERAGE COMPANY
For more than two centuries Molson Coors Beverage Company has been brewing beverages that unite people to celebrate all life’s moments. From Coors Light, Miller Lite, Molson Canadian,
Our reporting segments include:
Our Environmental, Social and Governance ("ESG") strategy is focused on People and Planet with a strong commitment to raising industry standards and leaving a positive imprint on our employees, consumers, communities and the environment. To learn more about Molson Coors Beverage Company, visit molsoncoors.com, MolsonCoorsOurImprint.com or on Twitter through @MolsonCoors.
ABOUT MOLSON COORS CANADA INC.
Molson Coors Canada Inc. (MCCI) is a subsidiary of Molson Coors Beverage Company. MCCI Class A and Class B exchangeable shares offer substantially the same economic and voting rights as the respective classes of common shares of MCBC, as described in MCBC’s annual proxy statement and Form 10-K filings with the
FORWARD-LOOKING STATEMENTS
This press release includes “forward-looking statements” within the meaning of the
Although the Company believes that the assumptions upon which its forward-looking statements are based are reasonable, it can give no assurance that these assumptions will prove to be correct. Important factors that could cause actual results to differ materially from the Company’s historical experience, and present projections and expectations are disclosed in the Company’s filings with the Securities and Exchange Commission (“SEC”). These factors include, among other things, the deterioration of general economic, political, credit and/or capital market conditions, including those caused by the ongoing
MARKET AND INDUSTRY DATA
The market and industry data used, if any, in this press release are based on independent industry publications, customer specific data, trade or business organizations, reports by market research firms and other published statistical information from third parties, including Circana (formerly Information Resources, Inc.) for U.S. market data and Beer Canada for Canadian market data (collectively, the “Third Party Information”), as well as information based on management’s good faith estimates, which we derive from our review of internal information and independent sources. Such Third Party Information generally states that the information contained therein or provided by such sources has been obtained from sources believed to be reliable.
APPENDIX |
|||||||||||||||
STATEMENTS OF OPERATIONS - MOLSON COORS BEVERAGE COMPANY AND SUBSIDIARIES Condensed Consolidated Statements of Operations |
|||||||||||||||
(In millions, except per share data) (Unaudited) |
For the Three Months Ended |
|
For the Six Months Ended |
||||||||||||
|
June 30, 2023 |
|
June 30, 2022 |
|
June 30, 2023 |
|
June 30, 2022 |
||||||||
Sales |
$ |
3,871.1 |
|
|
$ |
3,501.4 |
|
|
$ |
6,645.9 |
|
|
$ |
6,144.7 |
|
Excise taxes |
|
(604.5 |
) |
|
|
(579.7 |
) |
|
|
(1,033.0 |
) |
|
|
(1,008.4 |
) |
Net sales |
|
3,266.6 |
|
|
|
2,921.7 |
|
|
|
5,612.9 |
|
|
|
5,136.3 |
|
Cost of goods sold |
|
(2,047.7 |
) |
|
|
(2,101.7 |
) |
|
|
(3,623.3 |
) |
|
|
(3,388.5 |
) |
Gross profit |
|
1,218.9 |
|
|
|
820.0 |
|
|
|
1,989.6 |
|
|
|
1,747.8 |
|
Marketing, general and administrative expenses |
|
(734.9 |
) |
|
|
(707.6 |
) |
|
|
(1,349.9 |
) |
|
|
(1,383.3 |
) |
Other operating income (expense), net |
|
0.2 |
|
|
|
(0.6 |
) |
|
|
(0.3 |
) |
|
|
(28.2 |
) |
Equity income (loss) |
|
4.3 |
|
|
|
2.7 |
|
|
|
7.3 |
|
|
|
2.6 |
|
Operating income (loss) |
|
488.5 |
|
|
|
114.5 |
|
|
|
646.7 |
|
|
|
338.9 |
|
Interest income (expense), net |
|
(54.6 |
) |
|
|
(66.6 |
) |
|
|
(113.7 |
) |
|
|
(129.9 |
) |
Other pension and postretirement benefits (costs), net |
|
2.6 |
|
|
|
10.3 |
|
|
|
5.2 |
|
|
|
20.9 |
|
Other non-operating income (expense), net |
|
4.6 |
|
|
|
(3.3 |
) |
|
|
4.8 |
|
|
|
(1.3 |
) |
Income (loss) before income taxes |
|
441.1 |
|
|
|
54.9 |
|
|
|
543.0 |
|
|
|
228.6 |
|
Income tax benefit (expense) |
|
(95.0 |
) |
|
|
(7.0 |
) |
|
|
(123.7 |
) |
|
|
(43.4 |
) |
Net income (loss) |
|
346.1 |
|
|
|
47.9 |
|
|
|
419.3 |
|
|
|
185.2 |
|
Net (income) loss attributable to noncontrolling interests |
|
(3.7 |
) |
|
|
(0.6 |
) |
|
|
(4.4 |
) |
|
|
13.6 |
|
Net income (loss) attributable to MCBC |
$ |
342.4 |
|
|
$ |
47.3 |
|
|
$ |
414.9 |
|
|
$ |
198.8 |
|
|
|
|
|
|
|
|
|
||||||||
Basic net income (loss) attributable to MCBC per share |
$ |
1.58 |
|
|
$ |
0.22 |
|
|
$ |
1.92 |
|
|
$ |
0.92 |
|
Diluted net income (loss) attributable to MCBC per share |
$ |
1.57 |
|
|
$ |
0.22 |
|
|
$ |
1.91 |
|
|
$ |
0.91 |
|
|
|
|
|
|
|
|
|
||||||||
Weighted average shares outstanding - basic |
|
216.4 |
|
|
|
217.0 |
|
|
|
216.5 |
|
|
|
217.1 |
|
Weighted average shares outstanding - diluted |
|
217.8 |
|
|
|
217.8 |
|
|
|
217.6 |
|
|
|
217.8 |
|
|
|
|
|
|
|
|
|
||||||||
Dividends per share |
$ |
0.41 |
|
|
$ |
0.38 |
|
|
$ |
0.82 |
|
|
$ |
0.76 |
|
|
|
|
|
|
|
|
|
||||||||
BALANCE SHEETS - MOLSON COORS BEVERAGE COMPANY AND SUBSIDIARIES
Condensed Consolidated Balance Sheets |
|||||||
(In millions, except par value) (Unaudited) |
As of |
||||||
|
June 30, 2023 |
|
December 31, 2022 |
||||
Assets |
|
|
|
||||
Current assets |
|
|
|
||||
Cash and cash equivalents |
$ |
960.9 |
|
|
$ |
600.0 |
|
Accounts receivable, net |
|
1,015.1 |
|
|
|
739.8 |
|
Other receivables, net |
|
129.1 |
|
|
|
126.4 |
|
Inventories, net |
|
863.4 |
|
|
|
792.9 |
|
Other current assets, net |
|
360.7 |
|
|
|
378.9 |
|
Total current assets |
|
3,329.2 |
|
|
|
2,638.0 |
|
Properties, net |
|
4,338.0 |
|
|
|
4,222.8 |
|
Goodwill |
|
5,296.1 |
|
|
|
5,291.9 |
|
Other intangibles, net |
|
12,807.0 |
|
|
|
12,800.1 |
|
Other assets |
|
1,019.3 |
|
|
|
915.5 |
|
Total assets |
$ |
26,789.6 |
|
|
$ |
25,868.3 |
|
Liabilities and equity |
|
|
|
||||
Current liabilities |
|
|
|
||||
Accounts payable and other current liabilities |
$ |
3,406.7 |
|
|
$ |
2,978.3 |
|
Current portion of long-term debt and short-term borrowings |
|
423.2 |
|
|
|
397.1 |
|
Total current liabilities |
|
3,829.9 |
|
|
|
3,375.4 |
|
Long-term debt |
|
6,191.9 |
|
|
|
6,165.2 |
|
Pension and postretirement benefits |
|
468.7 |
|
|
|
473.3 |
|
Deferred tax liabilities |
|
2,671.4 |
|
|
|
2,646.4 |
|
Other liabilities |
|
370.8 |
|
|
|
292.8 |
|
Total liabilities |
|
13,532.7 |
|
|
|
12,953.1 |
|
Molson Coors Beverage Company stockholders' equity |
|
|
|
||||
Capital stock |
|
|
|
||||
Preferred stock, |
|
— |
|
|
|
— |
|
Class A common stock, |
|
— |
|
|
|
— |
|
Class B common stock, |
|
2.1 |
|
|
|
2.1 |
|
Class A exchangeable shares, no par value (issued and outstanding: 2.7 shares and 2.7 shares, respectively) |
|
102.2 |
|
|
|
102.2 |
|
Class B exchangeable shares, no par value (issued and outstanding: 10.1 shares and 11.0 shares, respectively) |
|
380.7 |
|
|
|
413.3 |
|
Paid-in capital |
|
7,059.5 |
|
|
|
7,006.4 |
|
Retained earnings |
|
7,129.3 |
|
|
|
6,894.1 |
|
Accumulated other comprehensive income (loss) |
|
(1,093.4 |
) |
|
|
(1,205.5 |
) |
Class B common stock held in treasury at cost (10.9 shares and 10.5 shares, respectively) |
|
(549.6 |
) |
|
|
(522.9 |
) |
Total Molson Coors Beverage Company stockholders' equity |
|
13,030.8 |
|
|
|
12,689.7 |
|
Noncontrolling interests |
|
226.1 |
|
|
|
225.5 |
|
Total equity |
|
13,256.9 |
|
|
|
12,915.2 |
|
Total liabilities and equity |
$ |
26,789.6 |
|
|
$ |
25,868.3 |
|
|
|
|
|
||||
CASH FLOW STATEMENTS - MOLSON COORS BEVERAGE COMPANY AND SUBSIDIARIES
Condensed Consolidated Statements of Cash Flows |
|||||||
(In millions) (Unaudited) |
For the Six Months Ended |
||||||
|
June 30, 2023 |
|
June 30, 2022 |
||||
Cash flows from operating activities |
|
|
|
||||
Net income (loss) including noncontrolling interests |
$ |
419.3 |
|
|
$ |
185.2 |
|
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities |
|
|
|
||||
Depreciation and amortization |
|
339.9 |
|
|
|
345.4 |
|
Amortization of debt issuance costs and discounts |
|
2.9 |
|
|
|
4.1 |
|
Share-based compensation |
|
20.3 |
|
|
|
16.9 |
|
(Gain) loss on sale or impairment of properties and other assets, net |
|
(1.9 |
) |
|
|
21.6 |
|
Unrealized (gain) loss on foreign currency fluctuations and derivative instruments, net |
|
111.6 |
|
|
|
105.7 |
|
Equity (income) loss |
|
(7.3 |
) |
|
|
(2.6 |
) |
Income tax (benefit) expense |
|
123.7 |
|
|
|
43.4 |
|
Income tax (paid) received |
|
(78.2 |
) |
|
|
(7.8 |
) |
Interest expense, excluding amortization of debt issuance costs and discounts |
|
118.4 |
|
|
|
127.2 |
|
Interest paid |
|
(109.4 |
) |
|
|
(119.5 |
) |
Change in current assets and liabilities and other |
|
(44.9 |
) |
|
|
(52.8 |
) |
Net cash provided by (used in) operating activities |
|
894.4 |
|
|
|
666.8 |
|
Cash flows from investing activities |
|
|
|
||||
Additions to properties |
|
(335.1 |
) |
|
|
(388.7 |
) |
Proceeds from sales of properties and other assets |
|
5.5 |
|
|
|
15.0 |
|
Other |
|
(11.0 |
) |
|
|
4.2 |
|
Net cash provided by (used in) investing activities |
|
(340.6 |
) |
|
|
(369.5 |
) |
Cash flows from financing activities |
|
|
|
||||
Exercise of stock options under equity compensation plans |
|
7.2 |
|
|
|
1.5 |
|
Dividends paid |
|
(178.2 |
) |
|
|
(164.9 |
) |
Payments for purchases of treasury stock |
|
(26.7 |
) |
|
|
(26.2 |
) |
Payments on debt and borrowings |
|
(6.1 |
) |
|
|
(502.4 |
) |
Proceeds on debt and borrowings |
|
7.0 |
|
|
|
5.0 |
|
Net proceeds from (payments on) revolving credit facilities and commercial paper |
|
— |
|
|
|
225.9 |
|
Other |
|
(5.1 |
) |
|
|
(8.7 |
) |
Net cash provided by (used in) financing activities |
|
(201.9 |
) |
|
|
(469.8 |
) |
Effect of foreign exchange rate changes on cash and cash equivalents |
|
9.0 |
|
|
|
(22.8 |
) |
Net increase (decrease) in cash and cash equivalents |
|
360.9 |
|
|
|
(195.3 |
) |
Balance at beginning of year |
|
600.0 |
|
|
|
637.4 |
|
Balance at end of period |
$ |
960.9 |
|
|
$ |
442.1 |
|
|
|
|
|
SUMMARIZED SEGMENT RESULTS (hectoliter volume and $ in millions) (Unaudited) |
||||||||||||||||||||||||||
|
Q2 2023 |
Q2 2022 |
Reported
|
FX
|
Constant
|
|
YTD 2023 |
YTD 2022 |
Reported
|
FX
|
Constant
|
|||||||||||||||
Net sales(1) |
$ |
2,621.7 |
|
$ |
2,367.4 |
|
10.7 |
|
$ |
(18.4 |
) |
11.5 |
|
$ |
4,560.7 |
|
$ |
4,203.6 |
|
8.5 |
|
$ |
(35.8 |
) |
9.3 |
|
COGS(2) |
$ |
(1,556.8 |
) |
$ |
(1,457.8 |
) |
(6.8 |
) |
|
|
|
$ |
(2,780.5 |
) |
$ |
(2,636.3 |
) |
(5.5 |
) |
|
|
|||||
MG&A |
$ |
(584.1 |
) |
$ |
(561.5 |
) |
(4.0 |
) |
|
|
|
$ |
(1,068.8 |
) |
$ |
(1,109.1 |
) |
3.6 |
|
|
|
|||||
Income (loss) before income taxes |
$ |
487.3 |
|
$ |
348.0 |
|
40.0 |
|
$ |
0.3 |
|
39.9 |
|
$ |
720.7 |
|
$ |
435.1 |
|
65.6 |
|
$ |
4.6 |
|
64.6 |
|
Underlying income (loss) before income taxes |
$ |
487.6 |
|
$ |
348.1 |
|
40.1 |
|
$ |
0.3 |
|
40.0 |
|
$ |
721.5 |
|
$ |
514.8 |
|
40.2 |
|
$ |
4.6 |
|
39.3 |
|
Financial volume(1)(3) |
|
17.368 |
|
|
16.536 |
|
5.0 |
|
|
|
|
|
30.304 |
|
|
29.535 |
|
2.6 |
|
|
|
|||||
Brand volume |
|
16.895 |
|
|
15.639 |
|
8.0 |
|
|
|
|
|
29.141 |
|
|
28.075 |
|
3.8 |
|
|
|
|||||
EMEA&APAC |
Q2 2023 |
Q2 2022 |
Reported
|
FX Impact |
Constant
Currency
|
|
YTD 2023 |
YTD 2022 |
Reported
|
FX
|
Constant
|
|||||||||||||||
Net sales(1) |
$ |
649.0 |
|
$ |
558.2 |
|
16.3 |
|
$ |
8.7 |
|
14.7 |
|
$ |
1,059.1 |
|
$ |
939.4 |
|
12.7 |
|
$ |
(23.6 |
) |
15.3 |
|
COGS(2) |
$ |
(433.3 |
) |
$ |
(375.0 |
) |
(15.5 |
) |
|
|
|
$ |
(737.3 |
) |
$ |
(656.9 |
) |
(12.2 |
) |
|
|
|||||
MG&A |
$ |
(150.8 |
) |
$ |
(146.1 |
) |
(3.2 |
) |
|
|
|
$ |
(281.1 |
) |
$ |
(274.2 |
) |
(2.5 |
) |
|
|
|||||
Income (loss) before income taxes |
$ |
64.2 |
|
$ |
34.4 |
|
86.6 |
|
$ |
0.8 |
|
84.3 |
|
$ |
38.8 |
|
$ |
2.2 |
|
1,663.6 |
|
$ |
2.0 |
|
1,572.7 |
|
Underlying income (loss) before income taxes |
$ |
64.2 |
|
$ |
34.7 |
|
85.0 |
|
$ |
0.8 |
|
82.7 |
|
$ |
42.4 |
|
$ |
3.5 |
|
1,111.4 |
|
$ |
1.6 |
|
1,065.7 |
|
Financial volume(1)(3) |
|
6.018 |
|
|
6.207 |
|
(3.0 |
) |
|
|
|
|
10.089 |
|
|
10.246 |
|
(1.5 |
) |
|
|
|||||
Brand volume |
|
5.927 |
|
|
6.101 |
|
(2.9 |
) |
|
|
|
|
9.862 |
|
|
10.196 |
|
(3.3 |
) |
|
|
|||||
Unallocated & Eliminations |
Q2 2023 |
Q2 2022 |
Reported
|
FX
|
Constant
|
|
YTD 2023 |
YTD 2022 |
Reported
|
FX
|
Constant
|
|||||||||||||||
Net sales |
$ |
(4.1 |
) |
$ |
(3.9 |
) |
(5.1 |
) |
|
|
|
$ |
(6.9 |
) |
$ |
(6.7 |
) |
(3.0 |
) |
|
|
|||||
COGS(2) |
$ |
(57.6 |
) |
$ |
(268.9 |
) |
78.6 |
|
|
|
|
$ |
(105.5 |
) |
$ |
(95.3 |
) |
(10.7 |
) |
|
|
|||||
Income (loss) before income taxes |
$ |
(110.4 |
) |
$ |
(327.5 |
) |
66.3 |
|
$ |
2.6 |
|
65.5 |
|
$ |
(216.5 |
) |
$ |
(208.7 |
) |
(3.7 |
) |
$ |
4.0 |
|
(5.7 |
) |
Underlying income (loss) before income taxes |
$ |
(49.6 |
) |
$ |
(54.7 |
) |
9.3 |
|
$ |
0.4 |
|
8.6 |
|
$ |
(103.9 |
) |
$ |
(106.7 |
) |
2.6 |
|
$ |
0.5 |
|
2.2 |
|
Financial volume |
|
(0.001 |
) |
|
(0.004 |
) |
75.0 |
|
|
|
|
|
(0.002 |
) |
|
(0.005 |
) |
60.0 |
|
|
|
|||||
Consolidated |
Q2 2023 |
Q2 2022 |
Reported
|
FX
|
Constant
Currency
|
|
YTD 2023 |
YTD 2022 |
Reported % Change |
FX
|
Constant
|
|||||||||||||||
Net sales |
$ |
3,266.6 |
|
$ |
2,921.7 |
|
11.8 |
|
$ |
(9.7 |
) |
12.1 |
|
$ |
5,612.9 |
|
$ |
5,136.3 |
|
9.3 |
|
$ |
(59.4 |
) |
10.4 |
|
COGS |
$ |
(2,047.7 |
) |
$ |
(2,101.7 |
) |
2.6 |
|
|
|
|
$ |
(3,623.3 |
) |
$ |
(3,388.5 |
) |
(6.9 |
) |
|
|
|||||
MG&A |
$ |
(734.9 |
) |
$ |
(707.6 |
) |
(3.9 |
) |
|
|
|
$ |
(1,349.9 |
) |
$ |
(1,383.3 |
) |
2.4 |
|
|
|
|||||
Income (loss) before income taxes |
$ |
441.1 |
|
$ |
54.9 |
|
703.5 |
|
$ |
3.7 |
|
696.7 |
|
$ |
543.0 |
|
$ |
228.6 |
|
137.5 |
|
$ |
10.6 |
|
132.9 |
|
Underlying income (loss) before income taxes |
$ |
502.2 |
|
$ |
328.1 |
|
53.1 |
|
$ |
1.5 |
|
52.6 |
|
$ |
660.0 |
|
$ |
411.6 |
|
60.3 |
|
$ |
6.7 |
|
58.7 |
|
Financial volume(3) |
|
23.385 |
|
|
22.739 |
|
2.8 |
|
|
|
|
|
40.391 |
|
|
39.776 |
|
1.5 |
|
|
|
|||||
Brand volume |
|
22.822 |
|
|
21.740 |
|
5.0 |
|
|
|
|
|
39.003 |
|
|
38.271 |
|
1.9 |
|
|
|
The reported percent change and the constant currency percent change in the above table are presented as (unfavorable) favorable. |
||
(1) | Includes gross inter-segment volumes, sales and purchases, which are eliminated in the consolidated totals. |
|
(2) | The unrealized changes in fair value on our commodity swaps, which are economic hedges, are recorded as cost of goods sold within Unallocated. As the exposure we are managing is realized, we reclassify the gain or loss to the segment in which the underlying exposure resides, allowing our segments to realize the economic effects of the derivative without the resulting unrealized mark-to-market volatility. |
|
(3) |
Financial volume in hectoliters for |
|
WORLDWIDE BRAND AND FINANCIAL VOLUME | ||||||||
(In millions of hectoliters) (Unaudited) |
For the Three Months Ended |
|||||||
|
June 30, 2023 |
|
June 30, 2022 |
|
Change |
|||
Financial Volume |
23.385 |
|
|
22.739 |
|
|
2.8 |
% |
Contract brewing and wholesale/factored volume |
(1.952 |
) |
|
(1.858 |
) |
|
5.1 |
% |
Royalty volume |
0.895 |
|
|
0.863 |
|
|
3.7 |
% |
Sales-To-Wholesaler to Sales-To-Retail adjustment |
0.494 |
|
|
(0.004 |
) |
|
N/M |
|
Total Worldwide Brand Volume |
22.822 |
|
|
21.740 |
|
|
5.0 |
% |
|
|
|
|
|
|
|||
N/M = Not meaningful |
||||||||
Worldwide brand volume (or "brand volume" when discussed by segment) reflects owned or actively managed brands sold to unrelated external customers within our geographic markets (net of returns and allowances), royalty volume and our proportionate share of equity investment worldwide brand volume calculated consistently with MCBC owned volume. Financial volume represents owned or actively managed brands sold to unrelated external customers within our geographical markets, net of returns and allowances as well as contract brewing, wholesale non-owned brand volume and company-owned distribution volume. Contract brewing and wholesale/factored volume is included within financial volume, but is removed from worldwide brand volume, as this is non-owned volume for which we do not directly control performance. Factored volume in our EMEA&APAC segment is the distribution of beer, wine, spirits and other products owned and produced by other companies to the on-premise channel, which is a common arrangement in the
We also utilize net sales per hectoliter and cost of goods sold per hectoliter, as well as the year over year changes in such metrics, as key metrics for analyzing our results. These metrics are calculated as net sales and cost of goods sold, respectively, per our consolidated statement of operations divided by financial volume for the respective period. We believe these metrics are important and useful for investors and management because it provides an indication of the trends in pricing and sales mix on our net sales and the trends of sales mix and other cost impacts such as inflation on our cost of goods sold.
USE OF NON-GAAP MEASURES
In addition to financial measures presented on the basis of accounting principles generally accepted in the
Our management uses these metrics to assist in comparing performance from period to period on a consistent basis; as a measure for planning and forecasting overall expectations and for evaluating actual results against such expectations; in communications with the board of directors, stockholders, analysts and investors concerning our financial performance; as useful comparisons to the performance of our competitors; and as metrics of certain management incentive compensation calculations. We believe these measures are used by, and are useful to, investors and other users of our financial statements in evaluating our operating performance.
-
Underlying Income (Loss) before Income Taxes (Closest GAAP Metric: Income (Loss) Before Income Taxes) – Measure of the Company’s income (loss) before income taxes excluding the impact of certain non-GAAP adjustment items from our
U.S. GAAP financial statements. Non-GAAP adjustment items include goodwill and other intangible and tangible asset impairments, restructuring and integration related costs, unrealized mark-to-market gains and losses, potential or incurred losses related to certain litigation accruals and settlements and gains and losses on sales of non-operating assets, among other items included in ourU.S. GAAP results that warrant adjustment to arrive at non-GAAP results. We consider these items to be necessary adjustments for purposes of evaluating our ongoing business performance and are often considered non-recurring. Such adjustments are subjective, involve significant management judgment and can vary substantially from company to company.
- Underlying COGS (Closest GAAP Metric: COGS) – Measure of the Company’s COGS adjusted to exclude non-GAAP adjustment items (as defined above). Non-GAAP adjustment items include the impact of unrealized mark-to-market gains and losses on our commodity derivative instruments, which are economic hedges, and are recorded through COGS within Unallocated. As the exposure we are managing is realized, we reclassify the gain or loss to the segment in which the underlying exposure resides, allowing our segments to realize the economic effects of the derivatives without the resulting unrealized mark-to-market volatility.
- Underlying MG&A (Closest GAAP Metric: MG&A) – Measure of the Company’s MG&A expense excluding the impact of certain non-GAAP adjustment items (as defined above).
- Underlying net income (loss) attributable to MCBC (Closest GAAP Metric: Net income (loss) attributable to MCBC) – Measure of net income (loss) attributable to MCBC excluding the impact of non-GAAP adjustment items (as defined above), the related tax effects of non-GAAP adjustment items and certain other discrete tax items.
- Underlying net income (loss) attributable to MCBC per diluted share (Closest GAAP Metric: Net income (loss) attributable to MCBC per diluted share) – Measure of underlying net income (loss) attributable to MCBC (as defined above) per diluted share. If applicable, a reported net loss attributable to MCBC per diluted share is calculated using the basic share count due to dilutive shares being antidilutive. If underlying net income (loss) attributable to MCBC becomes income excluding the impact of our non-GAAP adjustment items, we include the incremental dilutive shares, using the treasury stock method, into the dilutive shares outstanding.
- Underlying effective tax rate (Closest GAAP Metric: Effective Tax Rate) – Measure of the Company’s effective tax rate excluding the related tax impact of pre-tax non-GAAP adjustment items (as defined above) and certain other discrete tax items. Discrete tax items include certain significant tax audit and prior year reserve adjustments, impact of significant tax legislation and tax rate changes and significant non-recurring and period specific tax items.
- Underlying free cash flow (Closest GAAP Metric: Net Cash Provided by (Used in) Operating Activities) – Measure of the Company’s operating cash flow calculated as Net Cash Provided by (Used In) Operating Activities less Additions to Properties and excluding the pre-tax cash flow impact of certain non-GAAP adjustment items (as defined above). We consider underlying free cash flow an important measure of our ability to generate cash, grow our business and enhance shareholder value, driven by core operations and after adjusting for non-GAAP adjustment items, which can vary substantially from company to company depending upon accounting methods and book value of assets and capital structure.
- Underlying depreciation and amortization (Closest GAAP Metric: Depreciation & Amortization) – Measure of the Company’s depreciation and amortization excluding the impact of non-GAAP adjustment items (as defined above). These adjustments primarily consist of accelerated depreciation or amortization taken related to the Company’s strategic exit or restructuring activities.
- Net debt to underlying earnings before interest, taxes, depreciation, and amortization ("underlying EBITDA") (Closest GAAP Metrics: Cash, Debt, & Income (Loss) Before Income Taxes) – Measure of the Company’s leverage calculated as Net debt (defined as current portion of long-term debt and short-term borrowings plus long-term debt less cash and cash equivalents) divided by the trailing twelve month underlying EBITDA. Underlying EBITDA is calculated as Net Income (Loss) excluding Interest expense (income), income tax expense (benefit), depreciation and amortization, and the impact of non-GAAP adjustment items (as defined above). This measure is not the same as the Company’s maximum leverage ratio as defined under its revolving credit facility, which allows for other adjustments in the calculation of net debt to EBITDA.
-
Constant currency - Constant currency is a non-GAAP measure utilized to measure performance, excluding the impact of translational and certain transactional foreign currency movements, and is intended to be indicative of results in local currency. As we operate in various foreign countries where the local currency may strengthen or weaken significantly versus the
U.S. dollar or other currencies used in operations, we utilize a constant currency measure as an additional metric to evaluate the underlying performance of each business without consideration of foreign currency movements. We present all percentage changes for net sales, underlying COGS, underlying MG&A and underlying income (loss) before income taxes in constant currency and calculate the impact of foreign exchange by translating our current period local currency results (that also include the impact of the comparable prior period currency hedging activities) at the average exchange rates during the respective period throughout the year used to translate the financial statements in the comparable prior year period. The result is the current period results inU.S. dollars, as if foreign exchange rates had not changed from the prior year period. Additionally, we exclude any transactional foreign currency impacts, reported within the other non-operating income (expense), net line item, from our current period results.
Our guidance for any of the measures noted above are also non-GAAP financial measures that exclude or otherwise have been adjusted for non-GAAP adjustment items from our
RECONCILIATION TO NEAREST Reconciliation by Line Item |
|||||||||||||||
(In millions, except per share data) (Unaudited) |
For the Three Months Ended June 30, 2023 |
||||||||||||||
|
Cost of goods
|
Marketing,
|
Income (loss)
|
Net income
|
Net income
|
||||||||||
Reported ( |
$ |
(2,047.7 |
) |
$ |
(734.9 |
) |
$ |
441.1 |
|
$ |
342.4 |
|
$ |
1.57 |
|
Adjustments to arrive at underlying |
|
|
|
|
|
||||||||||
Restructuring |
|
— |
|
|
— |
|
|
(0.2 |
) |
|
(0.2 |
) |
|
— |
|
Unrealized mark-to-market (gains) losses |
|
62.7 |
|
|
— |
|
|
60.8 |
|
|
60.8 |
|
|
0.28 |
|
Other items |
|
— |
|
|
0.7 |
|
|
0.5 |
|
|
0.5 |
|
|
— |
|
Total |
$ |
62.7 |
|
$ |
0.7 |
|
$ |
61.1 |
|
$ |
61.1 |
|
$ |
0.28 |
|
Tax effects on non-GAAP adjustments |
|
— |
|
|
— |
|
|
— |
|
|
(15.5 |
) |
|
(0.07 |
) |
Discrete tax items |
|
— |
|
|
— |
|
|
— |
|
|
(0.8 |
) |
|
— |
|
Underlying (Non-GAAP) |
$ |
(1,985.0 |
) |
$ |
(734.2 |
) |
$ |
502.2 |
|
$ |
387.2 |
|
$ |
1.78 |
|
|
|
|
|
|
|
(In millions, except per share data) (Unaudited) |
For the Six Months Ended June 30, 2023 |
|||||||||||||
|
Cost of goods
|
Marketing,
|
Income (loss)
|
Net income
|
Net income
(loss)
|
|||||||||
Reported ( |
$ |
(3,623.3 |
) |
$ |
(1,349.9 |
) |
$ |
543.0 |
$ |
414.9 |
|
$ |
1.91 |
|
Adjustments to arrive at underlying |
|
|
|
|
|
|||||||||
Restructuring |
|
— |
|
|
— |
|
|
0.3 |
|
0.3 |
|
|
— |
|
Unrealized mark-to-market (gains) losses |
|
114.5 |
|
|
— |
|
|
112.6 |
|
112.6 |
|
|
0.52 |
|
Other items |
|
— |
|
|
4.3 |
|
|
4.1 |
|
4.1 |
|
|
0.02 |
|
Total |
$ |
114.5 |
|
$ |
4.3 |
|
$ |
117.0 |
$ |
117.0 |
|
$ |
0.54 |
|
Tax effects on non-GAAP adjustments |
|
— |
|
|
— |
|
|
— |
|
(27.6 |
) |
|
(0.13 |
) |
Discrete tax Items |
|
— |
|
|
— |
|
|
— |
|
(0.8 |
) |
|
— |
|
Underlying (Non-GAAP) |
$ |
(3,508.8 |
) |
$ |
(1,345.6 |
) |
$ |
660.0 |
$ |
503.5 |
|
$ |
2.31 |
|
|
|
|
|
|
|
|||||||||
|
|
|
|
|
|
Reconciliation to Underlying Income (Loss) Before Income Taxes by Segment |
|||||||||||||||
(In millions) (Unaudited) |
For the Three Months Ended June 30, 2023 |
||||||||||||||
|
|
|
EMEA&APAC |
|
Unallocated |
|
Consolidated |
||||||||
Income (loss) before income taxes |
$ |
487.3 |
|
|
$ |
64.2 |
|
|
$ |
(110.4 |
) |
|
$ |
441.1 |
|
Add/Less: |
|
|
|
|
|
|
|
||||||||
Cost of goods sold(1) |
|
— |
|
|
|
— |
|
|
|
62.7 |
|
|
|
62.7 |
|
Marketing, general & administrative |
|
0.5 |
|
|
|
0.2 |
|
|
|
— |
|
|
|
0.7 |
|
Other non-GAAP adjustment items |
|
(0.2 |
) |
|
|
(0.2 |
) |
|
|
(1.9 |
) |
|
|
(2.3 |
) |
Total non-GAAP adjustment items |
$ |
0.3 |
|
|
$ |
— |
|
|
$ |
60.8 |
|
|
$ |
61.1 |
|
Underlying income (loss) before income taxes |
$ |
487.6 |
|
|
$ |
64.2 |
|
|
$ |
(49.6 |
) |
|
$ |
502.2 |
|
|
|
|
|
|
|
|
|
(In millions) (Unaudited) | For the Six Months Ended June 30, 2023 |
|||||||||||||
|
|
|
EMEA&APAC |
|
Unallocated |
|
Consolidated |
|||||||
Income (loss) before income taxes |
$ |
720.7 |
|
|
$ |
38.8 |
|
$ |
(216.5 |
) |
|
$ |
543.0 |
|
Add/(less): |
|
|
|
|
|
|
|
|||||||
Cost of goods sold(1) |
|
— |
|
|
|
— |
|
|
114.5 |
|
|
|
114.5 |
|
Marketing, general & administrative |
|
1.0 |
|
|
|
3.3 |
|
|
— |
|
|
|
4.3 |
|
Other non-GAAP adjustment items |
|
(0.2 |
) |
|
|
0.3 |
|
|
(1.9 |
) |
|
|
(1.8 |
) |
Total non-GAAP adjustment items |
$ |
0.8 |
|
|
$ |
3.6 |
|
$ |
112.6 |
|
|
$ |
117.0 |
|
Underlying income (loss) before income taxes |
$ |
721.5 |
|
|
$ |
42.4 |
|
$ |
(103.9 |
) |
|
$ |
660.0 |
|
|
|
|
|
|
|
|
|
(1) | Reflects changes in our mark-to-market positions on our commodity hedges recorded as cost of goods sold within Unallocated. As the exposure we are managing is realized, we reclassify the gain or loss to the segment in which the underlying exposure resides, allowing our segments to realize the economic effects of the derivative without the resulting unrealized mark-to-market volatility. |
|
Effective Tax Rate Reconciliation
(Unaudited) |
For the Three Months Ended |
|||||
|
|
June 30, 2023 |
|
June 30, 2022 |
||
|
Effective Tax Rate |
22 |
% |
|
13 |
% |
Add/Less: |
Tax effect of non-GAAP adjustment items(1) |
— |
% |
|
8 |
% |
Non-GAAP |
Underlying (Non-GAAP) Effective Tax Rate |
22 |
% |
|
21 |
% |
|
|
|
|
|
(1) | Adjustments related to the tax effect of non-GAAP adjustment items excluded from our underlying effective tax rate. |
|
Underlying Free Cash Flow
(In millions) (Unaudited) |
For the Six Months Ended |
|||||||
|
|
June 30, 2023 |
|
June 30, 2022 |
||||
|
Net Cash Provided by (Used In) Operating Activities |
$ |
894.4 |
|
|
$ |
666.8 |
|
Less: |
Additions to properties(1) |
|
(335.1 |
) |
|
|
(388.7 |
) |
Add/Less: |
Cash impact of non-GAAP adjustment items(2) |
|
10.4 |
|
|
|
9.1 |
|
Non-GAAP |
Underlying Free Cash Flow |
$ |
569.7 |
|
|
$ |
287.2 |
|
|
|
|
|
|
(1) | Included in net cash provided by (used in) investing activities. |
|
(2) | Included in net cash provided by (used in) operating activities and primarily reflects costs paid for restructuring activities for the six months ended June 30, 2023 and June 30, 2022. |
|
Net Debt to Underlying EBITDA Ratio | ||||||
(In millions except net debt to underlying EBITDA ratio) (Unaudited) |
As of |
|||||
|
|
June 30, 2023 |
June 30, 2022 |
|||
|
Current portion of long-term debt and short-term borrowings |
$ |
423.2 |
$ |
247.0 |
|
Add: |
Long-term debt |
|
6,191.9 |
|
6,557.8 |
|
Less: |
Cash and cash equivalents |
|
960.9 |
|
442.1 |
|
|
Net debt |
$ |
5,654.2 |
$ |
6,362.7 |
|
|
Q2 Underlying EBITDA |
|
725.2 |
|
566.4 |
|
|
Q1 Underlying EBITDA |
|
388.4 |
|
320.5 |
|
|
Q4 Underlying EBITDA |
|
555.5 |
|
457.3 |
|
|
Q3 Underlying EBITDA |
|
593.5 |
|
642.6 |
|
Non-GAAP |
Underlying EBITDA(1) |
$ |
2,262.6 |
$ |
1,986.8 |
|
|
Net debt to underlying EBITDA ratio |
|
2.50 |
|
3.20 |
|
|
|
|
|
(1) | Represents underlying EBITDA on a trailing twelve month basis. |
|
Underlying EBITDA Reconciliation
(In millions) (Unaudited) |
For the Three Months Ended |
||||||||
|
|
June 30, 2023 |
|
June 30, 2022 |
|
Change |
|||
|
Net income (loss) attributable to MCBC |
$ |
342.4 |
|
$ |
47.3 |
|
623.9 |
% |
Add: |
Net income (loss) attributable to noncontrolling interests |
|
3.7 |
|
|
0.6 |
|
516.7 |
% |
|
Net income (loss) |
|
346.1 |
|
|
47.9 |
|
622.5 |
% |
Add: |
Interest expense (income), net |
|
54.6 |
|
|
66.6 |
|
(18.0 |
)% |
|
Income tax expense (benefit) |
|
95.0 |
|
|
7.0 |
|
1,257.1 |
% |
|
Depreciation and amortization |
|
168.4 |
|
|
171.7 |
|
(1.9 |
)% |
|
Adjustments included in underlying income(1) |
|
61.1 |
|
|
273.2 |
|
(77.6 |
)% |
Non-GAAP |
Underlying EBITDA |
$ |
725.2 |
|
$ |
566.4 |
|
28.0 |
% |
|
|
|
|
|
|
|
(1) |
Includes adjustments to income (loss) before income taxes related to non-GAAP adjustment items. See Reconciliations to Nearest |
View source version on businesswire.com: https://www.businesswire.com/news/home/20230801282694/en/
Investor Relations
Greg Tierney, (414) 931-3303
Traci Mangini, (415) 308-0151
News Media
Rachel Dickens, (314) 452-9673
Source: Molson Coors