UPDATE 1-Constellation Brands quarterly profit rises on Modelo buy
Oct 3 (Reuters) - Constellation Brands Inc reported higher quarterly earnings on Thursday and the alcoholic beverage company raised its full-year outlook following the acquisition of Grupo Modelo's U.S. beer business.
The world's biggest branded wine maker, with labels such as Robert Mondavi and Ravenswood, said net income was $1.52 billion, or $7.74 per share in the second quarter that ended on Aug. 31, compared with $124.6 million, or 71 cents per share, a year earlier, prior to the acquisition.
Excluding one-time items, its earnings were 96 cents per share. Analysts were expecting earnings of 88 cents per share, according to Thomson Reuters I/B/E/S.
Constellation Brands' net sales rose to $1.46 billion from $698.5 million in the 2012 period, driven by the company's new ownership of Crown Imports, which distributes Modelo and other beers in the United States, including the No. 1 imported beer, Corona Extra.
The company raised its full-year outlook for 2014, with an expectation of earnings of $2.80 to $3.10 per share, excluding items, up from a prior forecast of $2.60 to $2.90.
Constellation Brands completed its acquisition of Grupo Modelo's U.S. beer business from Anheuser-Busch InBev for approximately $4.75 billion on June 7, 2013.
Its shares gained 2.6 percent to $59.11 in premarket trading.