Molson Coors 2Q profit falls on higher costs

DENVER — Molson Coors Brewing Co. says that its profit fell 6 percent in the second quarter, as increased prices and cost cuts were more than offset by lower sales volumes and higher commodity costs.

Like many brewers, Molson Coors has been struggling as consumers contend with high unemployment and difficult economic conditions. Those problems have been compounded by higher fuel and ingredient costs.

The maker of beers like Coors Light reported net income of $222.8 million, or $1.18 per share, for the period ended June 25. That's down from $237.2 million, or $1.27 per share, a year ago.

Analysts expected earnings of $1.29 per share.

Revenue rose 6 percent to $933.6 million. Analysts expected revenue of $958.5 million.

Molson Coors also says it will buy back up to $1.2 billion shares.

Its shares fell 63 cents, or 1.4 percent, to $44 in premarket trading Tuesday.