NEW YORK (AP) — Molson Coors Brewing Co. said Tuesday that its net income dropped 55 percent in the first quarter, as it invested more in its brands and dealt with acquisition-related costs and poor weather in certain markets.
The company earned $35.6 million, or 20 cents per share, for the period ended March 30. A year earlier it earned $79.5 million, or 44 cents per share.
Analysts polled by FactSet expected earnings of 34 cents per share.
Molson Coors said its quarterly performance was also hampered by unfavorable foreign exchange rates.
Revenue rose 17 percent to $1.18 billion from $1.01 billion, driven by its June acquisition of the Central Europe operations. After excise taxes, revenue increased 20 percent to $828.5 million from $691.4 million.
Wall Street forecast revenue of $854.4 million.
Worldwide beer volume climbed 20.3 percent in the quarter.
At MillerCoors, Molson Coors joint venture with SABMiller that sells both companies brands in the U.S., reported its adjusted profit fell 1 percent to $271.9 million from $275.3 million. Revenue increased 2 percent to $2.06 billion from $2.03 billion. After excise taxes, revenue climbed 2 percent to $1.79 billion from $1.76 billion.
Molson Coors Brewing shares fell $1.26, or 2.5 percent, to $49.71 in morning trading Tuesday. They are still closer to the high end of their 52-week range of $37.96 to $53.10.