Boston Beer's revenue surged 42% year over year to $452.1 million, fueled by a 39.8% jump in shipments. Net income, meanwhile, rocketed 116% higher, to $60.1 million, or $4.88 per share. Wall Street's estimates were for revenue and earnings per share of only $426.2 million and $2.34, respectively.
The gains were boosted by strong sales of the company's Truly Hard Seltzer and Twisted Tea brands -- as well as sales of the Dogfish Head brands it acquired in 2019 -- which more than offset declines in its Samuel Adams and Angry Orchard brands.
"The growth of the Truly brand, led by Truly Hard Lemonade, has accelerated and continues to grow beyond our expectations," CEO Dave Burwick said in a press release.
Truly's growth is impressive, particularly in light of the intensifying competition that the hard-seltzer brand is facing from the likes of Anheuser-Busch InBev and Constellation Brands. These beer giants recently launched brands such as Bud Light Seltzer and Corona Hard Seltzer in an attempt to wrestle away market share from Boston Beer.
"Since early January, Truly has grown its velocity and its market share sequentially while other national, regional, and local hard seltzer brands have entered the category," Burwick said. "Truly is the only hard seltzer, not introduced earlier this year, to grow its share during 2020."
With Truly Hard Seltzer, Boston Beer clearly has a winner on its hands in an important and fast-growing new alcoholic-beverage market -- one that could continue to drive its stock price to new all-time highs in the days and weeks ahead.