Molson Coors Beverage Company Reports 2024 Fourth Quarter and Full Year Results

Achieved or Exceeded All Full Year Guidance Metrics

Fourth Quarter Net Sales Declined 2.0% Resulting in 0.6% Decline for Full Year, Achieving Revised Full Year Guidance

Full Year Income before Income Taxes Improved 20.0%; Full Year Underlying Income before Income Taxes Increased 5.6% on a Constant Currency Basis, Achieving Full Year Guidance

Full Year EPS Grew 22.4% to $5.35; Full Year Underlying EPS Grew 9.8% to $5.96 Exceeding Full Year Guidance

Fiscal 2025 Guidance Aligned with Long-Term Growth Algorithm for both Top-Line and Bottom-Line

GOLDEN, Colo. & MONTRÉAL–(BUSINESS WIRE)– Molson Coors Beverage Company ("MCBC," "Molson Coors" or "the Company") (NYSE: TAP, TAP.A; TSX: TPX.A, TPX.B) today reported results for the 2024 fourth quarter and full year.

2024 FOURTH QUARTER FINANCIAL HIGHLIGHTS¹

• Net sales decreased 2.0% reported and 1.9% in constant currency.

• U.S. GAAP income before income taxes increased 109.2% to $346.3 million.

• Underlying (Non-GAAP) income before income taxes decreased 0.9% in constant currency to $341.0 million.

2024 FULL YEAR FINANCIAL HIGHLIGHTS¹

• Net sales decreased 0.6%.

• U.S. GAAP income before income taxes improved 20.0% to $1,503.0 million.

• Underlying (Non-GAAP) income before income taxes increased 5.6% in constant currency to $1,610.5 million.

• U.S. GAAP net income attributable to MCBC of $1,122.4 million, $5.35 per share on a diluted basis. Underlying (Non-GAAP) diluted EPS of $5.96 per share increased 9.8%.

• Net cash provided by operating activities of $1,910.3 million and Underlying (Non-GAAP) Free Cash Flow of $1,240.6 million.

• Cash paid for share repurchases of $643.4 million compared to $205.8 million in the prior year.

^{_____________________
1} See Appendix for definitions and reconciliations of non-GAAP financial measures including constant currency.

CEO AND CFO PERSPECTIVES

2024 marks our third consecutive year of bottom-line growth for Molson Coors while we continued to advance our strategic priorities, delivered strong cash generation and returned over $1 billion in cash to shareholders.

Our EMEA&APAC segment performed strongly as did Canada within our Americas segment, while the U.S. was challenged given the macroeconomic environment along with the wind down of a contract brewing agreement that contributed a negative 3% impact on Americas financial volume for the year.

We continued to support the health of our key brands globally. Collectively, our core power brands in the U.S. retained a substantial portion of the step change in share gains achieved in 2023. According to Circana, in the fourth quarter, Coors Light, Miller Lite and Coors Banquet retained over 80% of their combined volume share gains of industry versus a year ago which is an improvement over the second and third quarters. These brands were up 1.7 share points compared to the fourth quarter of 2022.

In Canada, Coors Light remained the number one light beer in the industry and again grew share of segment in the fourth quarter of 2024 amid a challenging industry backdrop.

In EMEA&APAC, Ožjusko, the market leader in Croatia, along with the successful launch of legacy brand Caraiman in Romania helped to offset some impact of the increasingly competitive environment for Carling in the U.K.

We continued to premiumize our portfolio in EMEA&APAC with the continued growth behind Madrí in the U.K. In the Americas, Canada also continued to premiumize led by Miller Lite , while in the U.S. we implemented targeted ongoing efforts around the Blue Moon family and other above premium products to curtail the losses and change the trajectory to growth.

With strong cash flow, we continued to prudently deploy our capital in ways that we believe support the achievement of our long-term growth algorithm in 2025 and beyond.

Gavin Hattersley, President and Chief Executive Officer Statement:

“2024 was another year of progress for Molson Coors. We continued to advance our strategy and achieved another year of bottom-line growth. Amid a challenging macroeconomic environment, we continued to support the health of our brands globally and premiumize our business in several markets while developing plans for premiumization in the U.S. in 2025. We enter this year confident, issuing 2025 guidance that both reflects our confidence in our business and that aligns with our long-term growth algorithm."

Tracey Joubert, Chief Financial Officer Statement:

“We continued to enhance our profitability and financial flexibility in 2024. We ended the year with a net debt to underlying EBITDA ratio of 2.09 times, in alignment with our long-term target of under 2.5 times. This, along with our strong cash generation, enabled us to invest in the business in ways we believe drive sustainable, profitable growth while returning cash to shareholders through a growing dividend and share repurchases."

Full Report