Exclusive news and research on the wine, spirits and beer business

Jack Daniel’s Resurgence Leads Brown-Forman’s Annual Sales To $3.9 Billion

June 8, 2022

Boosted by a 27% increase in the final quarter, Brown-Forman has posted full-year net sales up 17% to $3.9 billion on an organic basis for its fiscal year ended in April. Operating income jumped 27% organically to $1.2 billion, although it rose a more modest 3% on a reported basis.

In the U.S., Brown-Forman’s annual sales rose by a robust 12%, led by the core Jack Daniel’s Tennessee Whiskey as well as volume gains and price hikes on premium Bourbon labels Woodford Reserve and Old Forester. Woodford crossed the 1.1-million-case mark in the U.S. in calendar 2021, according to Impact Databank, and Brown-Forman noted that Old Forester surpassed 400,000 cases in the 12 months through April. Tequila brands Herradura and El Jimador likewise contributed to growth, with sales advancing by double-digits.

Brown-Forman said its U.S. results benefited from “an estimated net increase in distributor inventories,” but were weighed down some by supply chain challenges on Jack Daniel’s Tennessee Honey. The company also took a $52 million non-cash impairment charge on Finlandia, related to Brown-Forman’s suspension of operations in Russia amid the war in Ukraine.

“We achieved these results due in large part to the resurgence of Jack Daniel’s Tennessee Whiskey, which experienced strong consumer demand as the on-premise channel reopened around the world,” said Brown-Forman president and CEO Lawson Whiting. “Equally important, we believe we are well positioned for continued growth in the fiscal year ahead.” Indeed, despite the turbulent environment, Brown-Forman is targeting mid single digit growth in both organic net sales and organic operating income for its current fiscal year, ending in April 2023.—Daniel Marsteller

Brown-Forman—Top 10 Spirits Brands in the U.S.
(thousands of 9-liter case depletions)
Rank Brand Origin/Type 2020 2021 Percent
Change1
1 Jack Daniel’s2 Tennessee Whiskey 5,313 5,570 4.8%
2 Woodford Reserve3 Bourbon 977 1,119 14.5%
3 El Jimador Tequila 732 848 15.8%
4 Jack Daniel’s Tennessee Honey Flavored Whiskey 872 793 -9.1%
5 Gentleman Jack Tennessee Whiskey 489 458 -6.3%
6 Old Forester4 Bourbon 320 378 18.1%
7 Herradura Tequila 229 363 58.5%
8 Jack Daniel’s Tennessee Fire Flavored Whiskey 382 356 -6.8%
9 Korbel American Brandy 285 273 -4.3%
10 Jack Daniel’s RTDs5 Premixed Cocktail 134 260 94.0%
Total Top 10 9,733 10,418 7.0%
1 Based on unrounded data.
2 Excludes flavors and RTDs/FMBs; includes Single Barrel, Rye, No. 27 Gold, and Sinatra.
Includes Double Oaked, and Reserve Rye.
4 I
ncludes 86 proof, 100 proof, and craft.
5 Excludes Country Cocktails (malt-based)
Source: IMPACT DATABANK © 2022
Subscribe to Shanken News Daily’s Email Newsletter, delivered to your inbox each morning.

Tagged : , , ,

GET YOUR FIRST LOOK AT 2021 DATA AND 2022 PROJECTIONS FOR THE WINE AND SPIRITS INDUSTRIES. ORDER YOUR 2022 IMPACT DATABANK REPORTS. CLICK HERE.

Previous :  Next :