Molson Coors Beverage Company (TAP) Q4 2024 earnings summary

Executive summary

• Achieved or exceeded all full-year 2024 guidance metrics, marking a third consecutive year of bottom-line growth, with strong premiumization, core brand expansion, and strategic exits from low-margin businesses.

• Returned over $1 billion to shareholders via dividends and share repurchases, supported by strong cash generation and over $1.2 billion in free cash flow.

• Advanced premiumization and innovation in EMEA, APAC, and Canada, with U.S. core brands retaining over 80% of share gains and Coors Banquet as the fastest-growing top 15 U.S. beer brand.

• Exited low-margin contract brewing and unprofitable businesses, focusing on long-term profitable growth.

• Issued 2025 guidance aligned with long-term growth targets and continued premiumization.

Financial highlights

• Q4 2024 net sales revenue down 1.9% (constant currency); full-year net sales down 0.6% to $11,627.0M.

• Q4 underlying income before income taxes down 0.9%; full-year up 5.6% in constant currency.

• Underlying EPS up 9.2% in Q4 and 9.8% for the year; full-year EPS grew 22.4% to $5.35.

• Underlying free cash flow for the year was $1.24B, down 12.6%.

• Net debt reduced to $5.18B, down 3.3% from prior year.

Outlook and guidance

• 2025 guidance: low single-digit net sales revenue growth, mid-single-digit underlying pretax income growth, high single-digit underlying EPS growth, and underlying free cash flow at $1.3B (±10%).

• Capital expenditures planned at $750M (±5%); underlying effective tax rate expected between 22% and 24%.

• Guidance does not reflect potential impacts from evolving macro environment, geopolitical events, or trade policy changes.

• Expects 1%-2% annual net price increases in North America, with mix as a key growth driver.

• Full-year margin expansion expected from premiumization, moderating inflation, and productivity improvements.