Focus - Brown-Forman's FY Performance by Region, Brand
Brown-Forman released its FY results yesterday
The company saw reported net sales grow 4% in the US, and 1% in developed markets outside of the US. Sales in emerging markets rose by 8% on a reported basis.
The group's sales in Turkey jumped 24% as Brown-Forman continued to gain share after investing in an owned distribution model three years ago. Russia also saw strong year-over-year growth for the company, with reported net sales up 19%. In China, though still a small market for the company, reported net sales were up 64%.
In Southeast Asia reported net sales rose by 25%, driven by double-digit gains in Thailand, India and Indonesia, Brown-Forman said. Ukraine, Kazakhstan, and Georgia saw aggregate reported net sales up by 48% for the group.
UK reported net sales climbed by 9% for Brown-Forman, while Germany delivered 13% growth. In France, reported net sales were up by 18%. In Australia’s reported net sales were down 8%, “constrained by a challenging economic backdrop and weak consumer confidence”, Brown-Forman said.
Global Travel Retail collectively delivered 18% reported net sales growth for the group, driven by product launches such as Jack Daniel’s Tennessee Honey and Jack Daniel’s Sinatra Select.
Jack Daniel’s Tennessee Whiskey grew reported net sales by 5% globally, with markets outside of the US up 7%. Notable growth drivers for the Jack Daniel’s trademark outside of the US included France, Germany, Russia, Turkey and Brazil, Brown-Forman said.
Jack Daniel’s Tennessee Honey’s global reported net sales increased by 32%, despite “a very challenging comparison” against fiscal 2013 when Tennessee Honey’s net sales doubled, the company said.
Reported Tennessee Honey net sales in the US jumped by 17% reported while underlying net sales outside of the US increased by 62% on the global roll-out of the brand.
Brown-Forman’s portfolio of super and ultrapremium whiskey brands, comprising Woodford Reserve and Woodford Reserve Double Oaked, Jack Daniel’s Single Barrel, Gentleman Jack, Sinatra Select, No. 27 Gold, and Collingwood, collectively grew reported net sales 16% in the year. Woodford Reserve’s family saw reported net sales climb by 25%.
The Casa Herradura family of Tequila brands delivered 4% reported net sales growth in the US, but was down 9% in Mexico.
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