US: Boston Beer Co cheers nine-month sales, profits rise
- Nine-month net profits rise by 27% to US$48.3m
- Net sales rise by 6.5% to $370.9m
- Operating profits increased by 25% to $126.5m
- Brewer raises full-year outlook as craft beer demany remains buoyant
Boston Beer Co raises profits forecast on strong nine-month trading
Boston Beer Co is again outperforming a lacklustre US beer market in 2011, having reported a solid rise in sales and a strong increase in profits for the first nine months of the year.
Against a US beer market that has continued to shrink in low single digits, Boston Beer reported volume sales up by 6% for the nine months to the end of September. Momentum increased in the third quarter, with volumes up by 7% on the same period of last year.
For the nine months, net sales increased slightly slower than volumes, by 6.5% to $370.9m. However, signs of price pressure on the Samuel Adams brewer reduced in the third quarter, with net sales up by 8.5% to $134.8m.
Boston Beer raised its outlook for diluted, underlying earnings per share for the full-year, to a range of between $3.6 and $3.9. In August, it said that it expected EPS of between $3.2 and $3.6 on the same basis. The forecast excludes a one-off gain from a settlement relating to a product recall in 2008.
This gain inflated the group's nine-month net profits, which soared by 27% to $48.3m. Operating profits, which also include the one-off settlement, rose by 25% to $126.5m.
For the third quarter, Boston Beer reported net profits up by 5.5% to $16.3m. Operating profits rose by 4% to $26.4m, as higher raw materials and selling costs eroded some of the benefits of higher net sales.
- The category today - Scotch Whisky I
- Today's Market Trends - Scotch Whisky II
- Tomorrow's Market Trends - Scotch Whisky III
- Key Brands Performance - Scotch Whisky IV
- Category Innovations - Scotch Whisky VII
- Beam Suntory names CFO, makes structural changes
- Analysts clash over AB InBev SAB Brexit impact
- Diageo to accept US$1m South Korea fine
- Pernod switches Travel Retail Europe op's director
- AB InBev unveils Stella Artois three-packs
- Global Scotch whisky insights - market forecasts, product innovation and consumer trends
- Global RTD insights - market forecasts, product innovation and consumer trends
- Global travel retail insights - market forecasts, product innovation and consumer trends
- Global non-Scotch whiskies insights - market forecasts, product innovation and consumer trends
- Consumer and Market Insights: Wine Market in China