Drew Levine's questions to CONSTELLATION BRANDS (STZ) leadership • Q2 2026
Question
Drew Levine asked for context on the beer inventory rebalance, specifically comparing current distributor inventory levels to those before the rebalance. He sought confidence that this was a one-time event and inquired about the visibility for shipments and depletions to track closely in the second half, noting typical H2 depletes are higher.
Answer
CFO Garth Hankinson explained the Q2 ship-dip trip resulted from typical Q1/Q2 overshipment for summer, lower-than-expected takeaway, and pulling Q3 rebalancing into Q2. He confirmed current distributor inventory levels are good, with no retailer destocking and continued gains in points of distribution and shelf space, providing confidence that H2 shipments and depletions will align.