Molson Coors has reported a 8.7% net sales revenue decrease in its first quarter, its latest financial figures show.
In its recently published 2020 first quarter results, the Coors Light and Carling Black Label owner said that it has withdrawn its financial outlook for 2020 and beyond as the market remains 'too unpredictable to provide updated detailed financial outlook'.
The drinks giant posted an underlying earnings before interest, taxes, depreciation, and amortization (EBITDA) of $352 million (€320.6 million), during the period.
“The first quarter of 2020 was unlike any other in our company’s long history. In the early part of the quarter, we saw mounting confidence and enthusiasm for our plans and for our brands - internally and externally,” said Gavin Hattersley, president and chief executive officer, Molson Coors.
“Despite the early progress, our first quarter results were disproportionately affected by the coronavirus, a pandemic that has changed the world - not just for our business, and our industry, but for the entire global economy," he added.
Headquarter in Colorado, the company said that it is taking a number of financial actions to protect its balance sheet, financial performance and position our business to succeed in the long-term.
Some measures that the group has outlined includes reducing 2020 capital expenditures by approximately $200 million and 'substantially'reducing discretionary spending.
It also outlined that it is limiting new hiring, and significantly decreasing marketing spend corresponding to the current environment.
The company said that is it furloughing certain employees in its Europe business and North America hospitality businesses.
'The extent, severity and duration to which it operations will be impacted by the pandemic remains uncertain,' the company noted.
"Like everyone else, the full impact and what our new normal looks like going forward is still uncertain, but coronavirus has had, and will have, a material impact on our business," said Hattersley.
"We will continue to navigate this challenging time by first protecting our employees and mitigating the short-term risks, and second ensuring that we position the business to compete and win in the long-term,” he added.
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