The 10-second takeaway
For the quarter ended Dec. 29 (Q4), Boston Beer met expectations on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue increased. Non-GAAP earnings per share grew. GAAP earnings per share dropped.
Margins dropped across the board.
Boston Beer notched revenue of $153.0 million. The four analysts polled by S&P Capital IQ wanted to see a top line of $152.5 million on the same basis. GAAP reported sales were 7.7% higher than the prior-year quarter's $142.1 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $1.26. The five earnings estimates compiled by S&P Capital IQ forecast $1.28 per share. Non-GAAP EPS of $1.26 for Q4 were 7.7% higher than the prior-year quarter's $1.17 per share. GAAP EPS of $1.25 for Q4 were 6.0% lower than the prior-year quarter's $1.33 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 52.1%, 430 basis points worse than the prior-year quarter. Operating margin was 17.7%, 90 basis points worse than the prior-year quarter. Net margin was 11.0%, 150 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $126.8 million. On the bottom line, the average EPS estimate is $0.58.
Next year's average estimate for revenue is $653.7 million. The average EPS estimate is $4.94.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Boston Beer is underperform, with an average price target of $124.14.
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Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool recommends Boston Beer. The Motley Fool owns shares of Boston Beer. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.