Molson Coors Brewing's (NYSE:TAP) quarterly earnings soured investors' mood on Tuesday, after the company missed expectations.
Net income from continuing operations plunged 54 per cent in the first quarter to US$36.5 million from US$79.4 million in the first three months of 2012. On an adjusted basis, earnings dropped 17 cents to $0.34 per share, four cents less than the analyst consensus.
Sales rose in the first quarter, buoyed by higher beer volume around the world and its acquisition of Starbev, which is based in central Europe.
"Against this backdrop, we grew share in Europe, saw relatively flat share in the U.S., and lost share in Canada," said Molson Coors president and chief executive officer Peter Swinburn.
Its joint venture with SABMiller (LON:SAB), MillerCoors, reported a 1.2 per cent decline in net income to US$271.9 million as unusually warm weather dug into the bottom line.
Molson Coors was trading at $49.41, nearly three per cent lower at 11:35am ET.