Constellation Brands Inc. announced unaudited consolidated earnings results for the third quarter and nine months ended November 30, 2017. For the quarter, the company reported net sales of $1,799.1 million against $1,810.5 million a year ago. Operating income was $486.8 million against $534.0 million a year ago. Income before taxes was $644.2 million against $483.9 million a year ago. Net income attributable to the company was $491.1 million against $405.9 million a year ago. Diluted net income per share on Class A common stock attributable to the was $2.44 against $1.98 a year ago. Diluted net income per share on Class B convertible common stock attributable to the company was $2.26 against $1.82 a year ago. Non-GAAP net sales were $1,799.1 million against $1,810.5 million a year ago. Non-GAAP operating income was $550.1 million against $531.6 million a year ago. Non-GAAP EBIT was $582.3 million compared to $559.1 million a year ago. Non-GAAP income before taxes was $500.9 million against $481.5 million a year ago. Non-GAAP net income attributable to the company was $402.6 million against $403.3 million a year ago. Non-GAAP net income per share attributable to the company was $2.00 against $1.96 a year ago.

For the nine month, the company reported net sales of $5,819.1 million against $5,703.5 million a year ago. Operating income was $1,768.8 million against $1,697.6 million a year ago. Income before taxes was $1,754.3 million against $1,469.5 million a year ago. Net income attributable to the company was $1,393.4 million against $1,083.1 million a year ago. Diluted net income per share on Class A common stock attributable to the company was $6.93 against $5.27 a year ago. Diluted net income per share on Class B convertible common stock attributable to the company was $6.40 against $4.86 a year ago. Net cash provided by operating activities were $1,468.4 million compared to $1,415.7 million a year ago purchases of property, plant and equipment was $705.6 million compared to $591.6 million a year ago. Non-GAAP net sales were $5,819.1 million against $5,703.5 million a year ago. Non-GAAP operating income was $1,928.7 million against $1,700.5 million a year ago. Non-GAAP EBIT was $1,961.5 million compared to $1,728.7 million a year ago. Non-GAAP income before taxes was $1,716.4 million against $1,472.4 million a year ago. Non-GAAP net income attributable to the company was $1,370.2 million against $1,084.7 million a year ago. Non-GAAP net income per share attributable to the company was $6.81 against $5.28 a year ago.

The company also provided earnings guidance for the fiscal year 2018. For the year, the company estimated interest expense between $330 million to $340 million; operating cash flow between $1.9 million to $2.1 billion; capital expenditures between $1.175 million to $1.275 billion; free cash flow between $725 million to $825 million; and earnings per share between $8.50 to $8.60. The increased reported basis EPS guidance reflects a $217 million pretax unrealized gain from the mark to fair value of the company's investment in Canopy Growth Corporation, which is included in income from unconsolidated investments, and a $59 million pretax loss associated with the restructuring of an agreement with Owens-Illinois, which is included in selling, general and administrative expenses. The company is expecting its purchases of property, plant and equipment in the range of $1,175.0 million to $1,275.0 million. Tax rate is expected to be approximately 20%, which excludes potential impact from U.S. tax reform.