Spirits giant Beam (NYSE:BEAM) announced quarterly earnings today, and while CEO Matthew Shattock praised the company for continued product growth in various regions, many key financial metrics fell flat.
The company's net sales were 4.5% lower than during the same quarter in 2012, dropping from $626.7 million to $598.7 million this quarter. According to the company's press release, the drop in sales was attributed to "several timing-related factors" regarding shipments in the U.S., Australia, and emerging markets.
Beam's operating income dropped 10.5% this quarter, to $144.9 million, despite many of its operating costs, including marketing and SG&A, being lower than this time in 2012. Net income, meanwhile, came in at $84.8 million compared to last year's Q3 of $96.2 million.
Shattock said these declines were expected, and that despite the lagging metrics, "U.S. consumer takeaway accelerated in the quarter as our leading Bourbon, Tequila and Vodka brands gained momentum." The company said its ready-to-serve cocktails category declined again. The company's comparable net sales in Europe/Middle East/Africa (or EMEA) rose 3% this quarter, while sales in North America dropped 1%, and in Asia-Pacific/South American (APSA) markets, sales dropped 20%.
Fool contributor Caroline Bennett has no position in any stocks mentioned. The Motley Fool recommends Beam. 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.
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