Crafter of liquid happiness Brown-Forman Corporation (NYSE:BF.B) reported its fourth quarter and annual earnings before the bell on Wednesday. Whether you are aware of it or not Brown-Forman makes some of your favorite alcoholic drinks. Its flagship brand Jack Daniels is one of the most recognizable names in the wine and spirits industry and makes a great barbeque sauce. The rest of the company’s portfolio is nothing to balk at either. With Finlandia Vodka, Canadian Mist Whiskey, el Jimador Tequila, and Southern Comfort as back up plans to the Jack the company forecasts earnings growth of as much as 12.5% in fiscal 2013.
Investors had high hopes for favorable results Tuesday, pushing the stock up 0.88% to 84.74 and outpacing the Dow Jones Industrial Average by 0.66%. Revenues were a hit and came in at $801.3 million, 4.01% higher than the street consensus estimate. Earnings however could have used a little southern comfort; $104.5 million, or $0.73 per share in the fourth quarter and $513.2 million, or $3.56 per share for fiscal 2012 (Brown-Forman’s year end is April 30) missed street estimates by 3.95% and 0.84% respectively.
The company holds high hopes for growth in the upcoming years and with the growth in sales of the Jack Daniels brand at 12% alone in the past 12 months it will be interesting to watch.
Foodbeat’s Take: She’s got the Jack, she’s got great quality vodka, and she is probably as recession proof as it gets in the beverages industry. 66 consecutive years of increased dividends never hurts either.
Source: Associated Press