UPDATE: Brown-Forman Posts In-Line Q3 Earnings, Misses Sales Estimates
Brown-Forman Corp. (NYSE: BF.A) reported in-line earnings for the third quarter, but the company's sales missed analysts' estimates.
The Louisville, Kentucky-based company reported a quarterly profit of $186 million, or $0.87 per share, versus a year-ago profit of $177 million, or $0.82 per share.
Its revenue climbed 1.4% to $1.09 billion, while underlying sales surged 5%. However, analysts were projecting a profit of $0.87 per share on revenue of $1.12 billion.
Operating income climbed 7% to $272 million in the quarter.
During the first nine months of fiscal 2015, Brown-Forman repurchased a combined total of 3.0 million Class A and Class B shares for $269 million.
During the nine-month period ended January 31, 2015, underlying sales of the Jack Daniel's trademark brand surged 8%, while underlying sales of Woodford Reserve's family of brands jumped 32%. Jack Daniel's Tennessee Honey brand posted underlying net sales growth of 32%, while Herradura posted underlying net sales growth of 19%.
Paul Varga, the company's chief executive officer, said, "Accelerating growth in the United States, combined with favorable fourth quarter comparisons, keep us on track to deliver our full year outlook for underlying sales and operating income growth. As a result of the recent strengthening of the US dollar, we are reflecting an additional five cents of negative foreign exchange impact in our updated full year EPS outlook."
For the full year, Brown-Forman projects earnings of $3.15 to $3.25 per share.
Brown-Forman shares closed at $92.09 yesterday.
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