Molson Coors Brewing Co on Tuesday reported lower-than-expected quarterly sales and said it would restate its financial statements for fiscal 2016 and 2017, after the company's audit committee found some errors in financial reporting.
The beer maker reported a 6.2% drop in fourth-quarter sales to $2.42 billion (€2.14 billion), missing analysts' estimate of $2.54 billion (€2.25 billion), according to IBES data from Refinitiv.
The company's sales were hurt by low volumes in the United States and Canada, partially offsetting gains from Europe and other overseas markets.
US brand volumes fell 5.1% during the quarter, hit by lower volumes in its premium light segment, which includes brands such as Miller Lite and Coors Light.
Excluding items, the company earned 84 cents per share, beating Wall Street estimate of 79 cents per share.
Shares of the company, which had risen 16.4% this year, fell 7.8% in premarket trading.
Acquisition Of MillerCoors LLC
The accounting errors originated from its acquisition of remaining 58% stake in MillerCoors LLC in 2016, the company said in a filing with regulators, adding that its impact will not be material.
After restating, the financial results for fiscal 2016 will reflect an increase in Molson Coors' deferred tax liabilities and deferred tax expenses by $399.1 million, which will pull down its net income and earnings per share.
For fiscal 2017, the restatements will reflect a reduction to deferred tax liabilities and deferred tax expense of $151.4 million, and a corresponding increase in net income and earnings per share.