The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Boston Beer beat expectations on revenues and crushed expectations on earnings per share.
Compared to the prior-year quarter, revenue grew significantly and GAAP earnings per share expanded significantly.
Gross margins contracted, operating margins improved, net margins improved.
Boston Beer reported revenue of $142.1 million. The five analysts polled by S&P Capital IQ hoped for a top line of $131.6 million on the same basis. GAAP reported sales were 23% higher than the prior-year quarter's $115.7 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
Non-GAAP EPS came in at $1.36. The six earnings estimates compiled by S&P Capital IQ forecast $1.11 per share on the same basis. GAAP EPS of $1.33 for Q4 were 53% higher than the prior-year quarter's $0.87 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 56.4%, 90 basis points worse than the prior-year quarter. Operating margin was 18.6%, 200 basis points better than the prior-year quarter. Net margin was 12.5%, 200 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $113.0 million. On the bottom line, the average EPS estimate is $0.42.
Next year's average estimate for revenue is $553.5 million. The average EPS estimate is $4.10.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Boston Beer is hold, with an average price target of $98.63.
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