Earnings Alerts

Brown Forman Corp Class B (BF/B) Earnings: 1Q EPS Falls Short Amid Lower Net Sales and Margins

  • Earnings Per Share (EPS): Reported EPS was $0.41, missing the estimated $0.45 and lower than the previous year’s $0.48.
  • Net Sales: Reported net sales were $951 million, which is an 8.4% decrease from the previous year and below the estimated $988.1 million.
  • Gross Margin: The gross margin dropped to 59.4%, compared to last year’s 62.7% and the estimated 62.6%.
  • Cash and Cash Equivalents: The company reported $416 million in cash and cash equivalents, a 2.3% decrease from last year, falling short of the $458.3 million estimate.
  • Operating Margin: The operating margin was 29.6%, down from last year’s 31.5% and below the estimated 30.8%.
  • Analyst Recommendations: There are 4 buy recommendations, 11 hold recommendations, and 3 sell recommendations for the company.

Brown Forman Corp Class B on Smartkarma

Analysts on Smartkarma, such as Baptista Research, have been closely covering Brown-Forman Corporation Class B, providing valuable insights for investors. In a bullish sentiment, Baptista Research‘s report titled “Brown-Forman Corporation: How They Are Leveraging Pricing Strategies to Drive Revenue! – Major Drivers” delves into the company’s fiscal results and strategic activities. Despite challenges from macroeconomic factors like inflation and high interest rates in fiscal year 2024, the company capitalized on premiumization trends by introducing products like Jack Daniel’s Tennessee Apple and super premium whiskey varieties.

Another report by Baptista Research, “Brown-Forman Corporation: These 3 Big Challenges Could Hamper Growth Despite Rising Market Demand! – Key Drivers,” highlights the company’s resilient performance amid pandemic uncertainties. With a 1% increase in year-to-date fiscal 2024 net sales growth and flat organic net sales growth, Brown-Forman benefited from strong consumer demand, higher pricing, and the rebuilding of distributor inventories as key factors contributing to its positive trajectory.


A look at Brown Forman Corp Class B Smart Scores

FactorScoreMagnitude
Value2
Dividend3
Growth3
Resilience2
Momentum3
OVERALL SMART SCORE2.6

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

Based on Smartkarma Smart Scores, Brown-Forman Corp Class B shows a mixed outlook for long-term performance. With a Value score of 2, the company is considered to have moderate value compared to its peers. The Dividend and Growth scores both stand at 3, indicating average performance in terms of dividends and growth potential. In terms of Resilience and Momentum, the company scores a 2 and 3 respectively, suggesting a somewhat unstable but promising future. Overall, the company’s outlook leans towards a steady trajectory with room for improvement in certain areas.

Brown-Forman Corporation, known for manufacturing, bottling, and marketing a diverse range of alcoholic beverage brands including whiskey, vodka, wines, and gin, has a decent overall outlook according to the Smartkarma Smart Scores. The company’s products, which encompass branded whiskey, vodka, wines, tequila, bourbon, and gin, position it well within the competitive alcoholic beverages industry. With a balanced performance across various factors, Brown-Forman Corp Class B seems set to continue its journey with cautious optimism for future growth and resilience in the market.


Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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