Constellation Brands Inc - Ordinary Shares - Class A

Q2 FY27 results & guidance kept; bias to high end (surprising strength in September trends) - Management said Q2 beat expectations and they are reiterating full-year FY27 comparable EPS guidance of $11.20–$11.90. - CEO: expects landing at the high end *if* positive September trends continue. - Key “what changed” narrative: September improvement appears broader than just Labor Day timing—they cited non-timing acceleration tied to college football and programming, plus strong consumer engagement.

Channel/inventory dynamics: distributor inventory rebuilt but expected to normalize; ships vs depletions look stable - CFO/CEO emphasized they spent the first half rebuilding beer distributor inventories after an overcorrection in FY26 left inventories too light. - Positive point: distributor inventories are now in a “great position” and are still below historical averages; they entered FY27 with days-on-hand tested low limits, creating inefficiencies (logistics, avoiding shelf/out-of-stock). - Inventory “unwind” outlook: - They expect the back half to look “pretty normal” vs prior years. - For the full year, they expect shipments and depletions to track within ~99% of each other (i.e., no major structural lag expected).

Marketing re-acceleration: growth engine theme; share gains; run-rate reset (World Cup lessons, college sports momentum) - They highlighted increased marketing/investment driving demand: - #1 dollar share gainer in beverage alcohol this quarter - Beer outperformed and “accelerated meaningfully” QoQ - Pacifico reached top 10 beer brand status with a long distribution runway - Marketing “surprise/positive”: they stated marketing spend will be ~10% of net sales in the second half, but Q3 above 11%, leaning into MLB and NCAA football. - World Cup learning: despite industry disappointment, they claimed they won (beer share gains vs peers) with less spend, reinforcing their view that they can win via execution rather than unlimited spend.