US: Brown-Forman sees Q3 continue upward trend
- Year-to-date net profits climb by 10% to US$526m
- Net sales in nine months to end of January increase by 4.6% to $3.05bn
- Operating profits rise by 8.6% to $783m
- Raise full-year EPS outlook
Brown-Forman reported its Q3 and YTD results earlier today
Brown-Forman has toasted a "great" set of numbers for its fiscal third quarter, with the healthy momentum of the first half continuing.
The company said earlier today (5 March) that net profits in the nine months to the end of January came in 10% up on the corresponding period a year earlier, totalling US$526m. Net sales were up by 4.6% to $3.05bn, with operating profits following suit, increasing by 8.6% to $783m.
For the third quarter, net profits rose by 12.7% to $177m, on the back of a 5% lift in sales, which hit $1.08bn in the three months to the end of January. Operating profits were up by 7.6% at $255m.
The numbers were in line with first-half results released in December as Brown-Forman's North American whiskies continued to perform strongly.
Paul Varga, the company’s CEO, said, “We delivered great top- and bottom-line results in the third quarter, continuing the momentum from the first half. We believe our top-tier performance was due primarily to the global strength of the Jack Daniel’s trademark, disciplined innovation, our favourable skew to outperforming categories and price points, and our limited exposure to some of the emerging markets that have decelerated.”
The Jack Daniel’s portfolio grew underlying sales by 10%, including double-digit gains for Tennessee Honey, Brown-Forman said. Super-premium whiskey brands also showed impressive growth, with underlying sales up by 16%, including 27% growth from Woodford Reserve brands.
Looking ahead, Varga said the company is raising its full-year outlook and now expects low double-digit growth in underlying operating income. The diluted earnings per share (EPS) outlook was also raised, to $2.95-$3.05.
Brown-Forman's share price was up 1% in pre-market trading today.
To read the company's official statement, click here.
For a look at the results on a regional and brand basis, click here.
Brown-Forman Corporation - Strategy and SWOT Report, is a source of comprehensive company data and information. The report covers the company’s structure, operation, SWOT analysis, product and service...
Through much of the review period, Brown-Forman has struggled for growth. However, in 2012 its rate of growth picked up as the early results of its 10-year plan, announced in 2010, started to show as ...
Over the last 10 years RTD's as a category may not have grown at anywhere near the level it did between 1998 and 2003 but it has, nevertheless enjoyed steady global growth. This reality flies in the f...
Some interesting developments have been occuring within the Vodka category since the publication of our previous global market review of the category....
- Why Chinese beverages won't conquer the world
- Can Coca-Cola fuel SABMiller's soft drinks story?
- Is “Craft” the Next Big Thing for Soft Drinks?
- Petropolis Finally Moving into SABMiller's View?
- Gin: Plymouth's from Plymouth, London's from...?
- Diageo confirms Australia abv drops
- Pernod launches online Ballantine's "experiment"
- Global vodka sales slip in 2013 - research
- SABMiller returns to Brazil with Petropolis tie-up
- Smirnoff tops UK shopping list - figures
- Global vodka insights - market forecasts, product innovation and consumer trends research
- Early Signals: future scenarios that will drive consumption and product innovation over the next five years
- Global Scotch whisky insights - market forecasts, product innovation and consumer trends research
- The IWSR Forecast Report - 2014-2019 Global Review
- Global Tequila Market 2014-2018