Quarterly report pursuant to Section 13 or 15(d)

Business Segment Information (Tables)

v3.24.2
Business Segment Information (Tables)
 3 Months Ended
May 31, 2024
Segment Reporting [Abstract]  
Comparable adjustments Comparable Adjustments that impacted comparability in our segment operating income (loss) for each period are as follows:
For the Three Months
Ended May 31,
2024 2023
(in millions)
Cost of product sold
Net gain (loss) on undesignated commodity derivative contracts $ 14.6  $ (34.7)
Settlements of undesignated commodity derivative contracts 8.5  0.6 
Flow through of inventory step-up (1.1) (0.7)
Comparable Adjustments, Cost of product sold 22.0  (34.8)
Selling, general, and administrative expenses
Transition services agreements activity (2.8) (5.7)
Restructuring and other strategic business development costs (1.8) (14.9)
Transaction, integration, and other acquisition-related costs (0.2) (0.3)
Other gains (losses) (1)
0.4  (6.8)
Comparable Adjustments, Selling, general, and administrative expenses (4.4) (27.7)
Comparable Adjustments, Operating income (loss) $ 17.6  $ (62.5)
(1)
 Primarily includes the following:
For the Three Months
Ended May 31,
2024 2023
(in millions)
Gain (loss) on sale of business $ —  $ (7.0)
Segment information Segment information is as follows:
For the Three Months
Ended May 31,
2024 2023
(in millions)
Beer
Net sales $ 2,272.8  $ 2,098.6 
Segment operating income (loss) $ 923.0  $ 797.8 
Capital expenditures $ 314.4  $ 205.6 
Depreciation and amortization $ 86.4  $ 78.8 
Wine and Spirits
Net sales:
Wine $ 329.3  $ 361.0 
Spirits 59.7  55.3 
Net sales $ 389.0  $ 416.3 
Segment operating income (loss) $ 59.7  $ 79.3 
Income (loss) from unconsolidated investments $ 0.4  $ 2.3 
Equity method investments $ 101.2  $ 96.8 
Capital expenditures $ 49.6  $ 38.6 
Depreciation and amortization $ 21.3  $ 22.5 
Corporate Operations and Other
Segment operating income (loss) $ (58.7) $ (49.9)
Income (loss) from unconsolidated investments $ (1.7) $ (33.3)
Equity method investments $ 25.7  $ 194.5 
Capital expenditures $ 11.3  $ 32.8 
Depreciation and amortization $ 4.2  $ 4.4 
Comparable Adjustments
Operating income (loss) $ 17.6  $ (62.5)
Income (loss) from unconsolidated investments $ 83.3  $ (384.4)
Consolidated
Net sales $ 2,661.8  $ 2,514.9 
Operating income (loss) $ 941.6  $ 764.7 
Income (loss) from unconsolidated investments (1)
$ 82.0  $ (415.4)
Equity method investments $ 126.9  $ 291.3 
Capital expenditures $ 375.3  $ 277.0 
Depreciation and amortization $ 111.9  $ 105.7 
(1)
 Income (loss) from unconsolidated investments consists of:
For the Three Months
Ended May 31,
2024 2023
(in millions)
Net gain on conversion and exchange to Exchangeable Shares (i)
$ 83.3  $ — 
Equity in earnings (losses) from other equity method investees and related activities (1.3) (0.3)
Equity in earnings (losses) from Canopy and related activities —  (219.8)
Impairment of equity method investments
 —  (123.5)
Unrealized net gain (loss) on securities measured at fair value (i)
—  (71.8)
$ 82.0  $ (415.4)
(i)Effective as of May 31, 2023, we determined that the 2023 Canopy Promissory Note did not have future economic value given the substantial doubt about Canopy’s ability to continue as a going concern, as disclosed by Canopy, prior to the maturity of the note. Accordingly, the fair value of the remaining balance for this instrument was determined to be zero. In April 2024, we exchanged the 2023 Canopy Promissory Note for Exchangeable Shares.