Constellation Brands Inc. reaped the benefits of a Bud Light consumer revolt with sales of the Modelo brand boosting results in the most recent quarter.
Constellation’s beer business reported an 11% net sales increase for the period ending May 31, with growth in Modelo products as well as Corona Extra and the Pacifico beer label. The Victor, New York-based company’s first-quarter sales beat analyst expectations.
“The solid top-line performance of our beer business has reaffirmed our confidence in our annual plans and objectives,” Chief Financial Officer Garth Hankinson said in the statement.
Read More: Dylan Mulvaney Says Bud Light Never Reached Out to Her Following Anti-Trans Backlash
Anheuser-Busch InBev NV’s Bud Light has struggled since controversy exploded over the brand’s sponsored Instagram partnership with transgender influencer and actor Dylan Mulvaney. Bud Light has since fallen from the top spot as the best-selling beer by dollar sales in the US, giving up the title to Modelo. The brand has released a new ad campaign focused on backyard barbecues in an effort to move past the backlash.
Even with the gains in beer, Constellation maintained its 2024 outlook. Shares fell 2.4% at 8:21 a.m. New York time.
--With assistance from Diana Carolina Bravo.
