The Boston Beer Company Reports 6.5% Revenue Growth to $453.9 Million

The Boston Beer Company, Inc. reported a net revenue of $453.9 million for the thirteen weeks ended March 29, 2025, marking a 6.5% increase from $426.1 million in the same period last year. The growth was primarily driven by a 5.3% increase in shipment volume, which totaled 1.68 million barrels, and a rise in pricing that contributed an additional $5.9 million. The company's gross profit also saw a significant increase, rising to $219.3 million from $186.3 million, reflecting a gross profit margin improvement from 41.5% to 48.3%. Net income surged to $24.4 million, nearly doubling from $12.6 million in the prior year, resulting in a net income per share of $2.16, compared to $1.05 a year earlier.

In terms of operational changes, the company experienced a decrease in cost of goods sold per barrel, which fell to $139.90 from $150.53, attributed to contract renegotiations and improved brewery efficiencies. Advertising, promotional, and selling expenses increased by 14.4% to $137.5 million, reflecting higher investments in media and local marketing. General and administrative expenses decreased by 4.8% to $48.0 million, primarily due to reduced costs associated with the transition of the Chief Executive Officer in the previous year.

The Boston Beer Company continues to focus on its brand portfolio, with notable increases in sales from brands such as Sun Cruiser, Hard MTN Dew, and Twisted Tea, although there were declines in the Truly brand. The company reported that distributor inventory levels were appropriate, averaging five weeks on hand, which is an increase from four weeks at the end of the previous quarter. The company also noted that approximately 94% of its revenue came from domestic shipments, with the remaining 6% from international markets.

Looking ahead, the company anticipates challenges due to recently announced tariff programs that could impact costs by an estimated $20 to $30 million for the fiscal year 2025. These tariffs are expected to affect the costs of ingredients and packaging sourced from various countries. Despite these challenges, the company believes its current cash balance of $152.5 million, along with projected operating cash flow and an unused line of credit of $150 million, will be sufficient to meet future cash requirements. The company remains committed to its stock repurchase program, having repurchased approximately 15.1 million shares of its Class A Common Stock for a total of $1.2 billion, with $367 million remaining on the authorized expenditure limit.