Revenue Decline
STZ experienced a 9.8% year-over-year decline in revenue, primarily due to decreased sales volumes.
Source: 10-Q Income Statement
Computed from published fixed rules, not a model's judgement — though one input, the count of high-severity risks, comes from the AI analysis below.
Not investment advice and not a price target: it scores the quarter's fundamentals, not the stock. Full methodology →
AI Takeaway
STZ's Q3 FY2026 results show a decline in revenue and net income, with significant cash flow changes and a strong increase in cash reserves.
Revenue
$2.22B
-9.78% YoY
Gross Margin
53.2%
+1.1 pts YoY
Operating Income
$692M
-12.74% YoY
Source: SEC XBRL
Constellation Brands (STZ) reported Q3 FY2026 revenue of $2.22B, down 9.8% year over year. Operating margin was 31.1%, down 1.1 points from 32.2% a year earlier. STZ's fiscal Q3 FY2026 corresponds to calendar Q4 2025.
Last 4 quarters: 4 beats
| Quarter | Actual EPS (USD) | Consensus (USD) | Result |
|---|---|---|---|
| Jun 2026 | 3.43 | 3.23 | Beat +6.1% |
| Mar 2026 | 1.90 | 1.74 | Beat +9.5% |
| Dec 2025This filing | 3.06 | 2.66 | Beat +15.0% |
| Dec 2000 | 0.23 | 0.23 | Beat +0.4% |
Reported EPS of $3.06 versus the $2.66 analyst consensus — a +15.0% beat for Dec 2025.
Compiled by AI from this SEC filing
STZ experienced a 9.8% year-over-year decline in revenue, primarily due to decreased sales volumes.
Source: 10-Q Income Statement
The cost of revenue decreased by 11.9%, reflecting effective cost management despite lower sales.
Source: 10-Q Income Statement
Investing cash flow improved significantly to $230.1M from a negative position, indicating better capital allocation.
Source: 10-Q Cash Flow
Compiled by AI from this SEC filing · 1 high, 2 medium, 0 low
The 9.8% decline in revenue indicates potential challenges in maintaining market share or pricing power.
Source: 10-Q Income Statement
With a debt to equity ratio of 1.77, STZ faces high leverage, which could impact financial flexibility.
Source: 10-Q Balance Sheet
A slight decrease in operating margin to 31.1% suggests potential cost pressures or inefficiencies.
Source: 10-Q Income Statement
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Revenue $B | 2.22 $B | 2.46 $B | -9.78% |
Cost of Revenue $B | 1.04 $B | 1.18 $B | -11.86% |
Gross Profit $B | 1.18 $B | 1.28 $B | -7.87% |
Operating Income $M | 692.00 $M | 793.00 $M | -12.74% |
Net Income $M | 502.80 $M | 615.90 $M | -18.36% |
SG&A Expense $M | 491.20 $M | 491.30 $M | -0.02% |
Answers draw on this SEC filing and the data on this page
STZ delivered strong Q1 FY2027 results with net income surging 26.7% YoY to $653.8M, driven by a 390 bps gross margin expansion to 54.3% and significant cost discipline, even as revenue dipped 3.3% to $2.43B.
STZ (Constellation Brands) delivered FY2026 net income of $1.69B (a dramatic swing from a prior-year loss of $81.4M) driven by a surge in operating income to $2.72B, even as total revenue declined 10.5% to $9.14B.
Other companies in Distillers & Vintners