News

US: Boston Beer Q2 figures increase

Most popular

How will Diageo change Cuban rum?

Hard coffee founder details Diageo lessons

Why rye whisky is set to go global - Comment

Interview - Treasury CEO Mike Clarke - Part II

Interview - Treasury CEO Mike Clarke - Part I

MORE

The Boston Beer Company, Inc. has reported increases in second quarter 2004 volume, revenue and earnings. For the 13-week period to 26 June, Boston Beer recorded net sales of US$62.0 m, a 10.1% increase from the second quarter in 2003. Net revenue per barrel increased slightly during the quarter due to price increases of approximately 1.0%, offset by a shift in the package mix. Reported sales volume for the period increased to 363,000 barrels.

Net income for the brewer hit $5.4 m or $0.37 per diluted share for the quarter, compared to US$3.1 m and US$0.20 per diluted share year-on-year.

For the six months to 26 June, Boston Beer saw net sales reach $106.7 m, a 5.0% increase from the same period in 2003, with net revenue per barrel increasing by 0.6%. Reported sales volume for the period increased to 626,000 barrels.

In a statement, Jim Koch, chairman of the company, said: "We continue to be pleased with the Samuel Adams Boston Lager advertising campaign, as we have seen increases of approximately 5% in combined depletions for Lager and Seasonals in the first half of 2004. Sam Adams Light appears to have stabilised, although we will continue to face tough volume comparison through the fourth quarter. We are currently finalising the development of a new television advertising campaign for Sam Adams Light, and we anticipate rolling this campaign out in the second half of 2004 with additional investment on top of our existing campaign."

Martin Roper, Boston Beer president and CEO, said: "Continued health of Lager and Seasonals offset the declines in Light, and generated growth in both sales and depletions year to date. While shipments of core products exceeded depletions year to date by approximately 43,000 barrels, this inventory build at wholesaler appears reasonable for this time of year in support of the summer selling season."

Regarding the company's financial performance and outlook, Roper said: "We are pleased with our overall financial performance in the second quarter of 2004. Our gross margins remain strong through June compared to 2003. During the second quarter, we experienced some cost pressures in packaging materials, utility costs and freight costs. Based on current market pricing conditions and the current cost environment, we expect gross margins for the full year 2004 to approximate 2003. Based on current information, for full year 2004, we expect double-digit earnings growth over 2003. This could be adversely affected if cost pressures or market conditions change."


Sectors: Beer & cider

Related Content

Boston Beer Co sparks hope of turnaround as Q1 2018 sales rebound

Boston Beer Co sparks hope of turnaround as Q1 2018 sales rebound...

The Boston Beer Co

The Boston Beer Co "committed" to seasonal beers despite drop - Jim Koch...

The Boston Beer Co upbeat on 2018 as 2017 sales dip continues - results

The Boston Beer Co upbeat on 2018 as 2017 sales dip continues - results...

The Boston Beer Co 2016 volumes fall as new entrants clog US craft - results

The Boston Beer Co 2016 volumes fall as new entrants clog US craft - results...

Oops! This article is copy protected.

Why can’t I copy the text on this page?

The ability to copy articles is specially reserved for people who are part of a group membership.

How do I become a group member?

To find out how you and your team can copy and share articles and save money as part of a group membership call Sean Clinton on
+44 (0)1527 573 736 or complete this form..



Forgot your password?