Constellation Brands Inc. announced consolidated earnings results for the third quarter and nine months ended November 30, 2012. For the quarter, the company reported operating income of $158.8 million, income before income taxes of $149.9 million and net income of $109.5 million or $0.58 per diluted class A common stock and $0.53 per diluted class B convertible common stock on net sales of $766.9 million compared to operating income of $160.3 million, income before income taxes of $167.3 million and net income of $104.8 million or $0.52 per diluted class A common stock and $0.47 per diluted class B convertible common stock on net sales of $700.7 million a year ago period. On a Non-GAAP basis, the company reported operating income of $172.9 million, income before income taxes of $164.2 million and net income of $118.6 million or $0.63 per diluted common share compared to operating income of $152.8 million, income before income taxes of $159.8 million and net income of $100.8 million or $0.50 per diluted common share a year ago period.

For the nine months, the company reported operating income of $395.5 million, income before income taxes of $409.6 million and net income of $306.1 million or $1.62 per diluted class A common stock and $1.49 per diluted class B convertible common stock on net sales of $2,100.2 million compared to operating income of $407.1 million, income before income taxes of $453.5 million and net income of $342.0 million or $1.62 per diluted class A common stock and $1.49 per diluted class B convertible common stock on net sales of $2,026.2 million a year ago period. Net cash provided by operating activities was $389.0 million compared to $640.8 million a year ago period. Purchases of property, plant and equipment was $52.2 million compared to $54.1 million a year ago period. On a Non-GAAP basis, the company reported operating income of $423.1 million, income before income taxes of $440.2 million and net income of $325.6 million or $1.73 per diluted common share compared to operating income of $416.9 million, income before income taxes of $463.3 million and net income of $349.7 million or $1.66 per diluted common share a year ago period. Free cash flow (Non-GAAP) was $336.8 million compared to $586.7 million a year ago period. The decrease was primarily due to higher U.S. grape and bulk wine purchases in fiscal 2013 and the receipt of tax refunds in the prior year period.

The company provided earnings guidance for the year ending February 28, 2013. For the period, the company expects GAAP diluted earnings per share in the range of $1.97 to $2.07, restructuring and related charges in the range of $0.09 million to $0.09 million and non-GAAP diluted earnings per share in the range of $2.10 to $2.20. The company expects net cash provided by operating activities in the range of $520.0 million to $580.0 million, purchases of property, plant and equipment in the range of $70.0 million to $80.0 million and free cash flow in the range of $450.0 million to $500.0 million. The company now anticipates the full year effective tax rate for fiscal 2013 to approximate 27%, which is the driver of the improved diluted EPS guidance for the year Interest expense expected to be in the range of $225 million to $235 million.