Millers Coors–1st Quarter Profits Up 16.6%–Retailer Sales Down 1.6%

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Good news & bad news coming today from MillerCoors/Marketwire:

LONDON & DENVER, May 08, 2012 -- SABMiller and Molson Coors Brewing Company /reported that MillerCoors first quarter underlying net income increased 16.6 percent to $275.3 million versus the first quarter 2011, driven by positive pricing growth, cost management and favorable mix.

"We delivered a solid first quarter in 2012," said MillerCoors Chief Executive Officer Tom Long. "Our sales trends improved, and we saw net revenue growth that was primarily driven by strong mix, positive pricing and unseasonably warm weather, particularly around St. Patrick's Day. We also laid the ground work with the re-positioning of some of our top brands, such as Miller Lite and Miller64 and continued to deliver strong growth from Tenth and Blake, particularly from Leinenkugel's Summer Shandy. We are encouraged by our trend improvements, and we have the right strategy, programs and people in place to continue growing our brand strength and earning customer preference."

For the quarter, MillerCoors domestic sales-to-retailers (STRs) were down 1.6 percent. This performance represents meaningful improvement over the prior three quarters and was aided by unseasonably warm weather in the month of March across much of the country, particularly in core markets for MillerCoors such as in the Midwest and Northeast. Domestic sales to wholesalers (STWs) decreased 0.9%, and distributor inventory levels were lower at the end of the quarter than a year ago.   Full details here.

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