Cuervo Q1 sales slip 36% in US and Canada
The company behind Jose Cuervo Tequila saw sales plunge by more than a third in North America during the first quarter (Q1) of 2026.
Mexican spirits firm Becle, which also owns 1800 Tequila and Bushmills Irish whiskey, had a tough start to 2026, with total sales down 23.1% to MXN7.4 billion (US$423.4 million) in Q1.
Gross profit for the quarter was down by 16% to MXN3.9bn (US$223.1m) while volumes fell by 10.9%.
In its biggest markets, the US and Canada, organic sales plunged by 36.6% in Q1. The decline was attributed to a 23.8% volume drop, a ‘more competitive environment’ and the negative foreign exchange rate between Mexico and the US.
In its presentation for the Q1 results, the company also noted that the region was impacted by distribution changes as it moved away from Republic National Distributing Company, as well as ‘continued softness in full-strength spirits consumption’.
Within the US on-premise, the Cuervo owner said it would invest in its reposado Tequila, small formats, the relaunch of its Jose Cuervo Sparkling and pre-mixed cocktails.
The company’s sales in Mexico, on the other hand, rose by 2% while the rest of the world was up by 5.9%.
In terms of categories, both the Jose Cuervo brand and the company’s ‘other spirits’ – which includes Bushmills, Kraken rum and Three Olives Vodka – plunged by 25.7%.
‘Other Tequilas’ (like 1800) fell by 17.5%.
In total, the company’s spirits sales fell by 22.4%, while the ready-to-drink portfolio plummeted by 37.7%.
The ‘non-alcoholic and other’ division rose by 11.9%.
“During the quarter, we remained focused on strengthening the business through disciplined execution and targeted strategic actions in a challenging and contracting industry environment,” the company said in a statement.
“These actions are advancing the repositioning of our commercial platform and reinforcing our ability to capture growth opportunities and deliver sustainable long-term performance.”
The Q1 performance followed a 14.1% sales decrease for the Jose Cuervo maker in the fourth quarter of 2025, with full-year revenue down by 2%.
Related news
How Barro Negro is redefining Tequila in Greece
