Latest news with #JimKoch
Yahoo
29-04-2025
- Business
- Yahoo
Boston Beer Co. faces $20-30M in extra costs due to tariffs
This article first appeared in the Boston Business Journal. Boston Beer Co., the maker of Samuel Adams beer, Truly hard seltzer and other drinks, says the extra costs due to tariffs this year will be between $20 million and $30 million. The big driver of those costs is the aluminum Boston Beer Co. uses for its cans. 'In terms of tariffs, we're still identifying what is actual policy and what is posturing and what looks like a long negotiation,' said CEO Michael Spillane on an earnings call last week. 'So we're being very thoughtful and very focused internally on, if we need solutions, we have them ready. We're assessing the marketplace to see what kind of pricing tolerance there would be and we're constantly looking at findings internally.' The challenges with potential tariffs come on top of negative market trends in beer and other alcoholic beverages. Hard seltzer sales were down 5% for the first quarter of 2025, and beer sales were weaker than expected. Chairman Jim Koch called today's slow decline in beer consumption 'the new normal' amid consumers' health considerations and competing markets such as cannabis. Boston Beer Co. has adjusted to the market challenges in part by turning to drinks with higher alcohol content. That includes Twisted Tea Extreme, which was launched in 2023, and Truly Unruly, which came to the market last year. However, Angry Orchard continues to lead the hard cider segment, with 40% market share, according to the company. Spillane said he expects Truly Unruly 'to be a key contributor in improving the trajectory of the Truly brand.' He also touted the performance of vodka-based hard tea Sun Cruiser, which began its national distribution early this year. Baystate Health completes cuts with 43 layoffs There are no more Bertucci's restaurants in this region of Massachusetts Boston-area French restaurant closes Brookline location after 10 years Wahlburgers shutters its Lynnfield location after 10 years Boston built America's innovation engine. Now it's under attack by Trump Read the original article on MassLive.
Yahoo
24-04-2025
- Business
- Yahoo
Boston Beer (NYSE:SAM) Delivers Impressive Q1
Beer company Boston Beer (NYSE:SAM) reported Q1 CY2025 results beating Wall Street's revenue expectations , with sales up 6.5% year on year to $453.9 million. Its GAAP profit of $2.16 per share was significantly above analysts' consensus estimates. Is now the time to buy Boston Beer? Find out in our full research report. Revenue: $453.9 million vs analyst estimates of $433.3 million (6.5% year-on-year growth, 4.8% beat) EPS (GAAP): $2.16 vs analyst estimates of $0.65 (significant beat) Adjusted EBITDA: $62.46 million vs analyst estimates of $31.98 million (13.8% margin, 95.3% beat) EPS (GAAP) guidance for the full year is $9.25 at the midpoint, missing analyst estimates by 5.2% Operating Margin: 7.4%, up from 3.6% in the same quarter last year Free Cash Flow was -$7.98 million compared to -$20.62 million in the same quarter last year Market Capitalization: $2.72 billion 'Our business remained resilient despite subdued category trends,' said Chairman and Founder Jim Koch. Known for its flavorful beverages challenging the status quo, Boston Beer (NYSE:SAM) is a pioneer in craft brewing and a symbol of American innovation in the alcoholic beverage industry. These companies' performance is influenced by brand strength, marketing strategies, and shifts in consumer preferences. Changing consumption patterns are particularly relevant and can be seen in the rise of cannabis, craft beer, and vaping or the steady decline of soda and cigarettes. Companies that spend on innovation to meet consumers where they are with regards to trends can reap huge demand benefits while those who ignore trends can see stagnant volumes. Finally, with the advent of the social media, the cost of starting a brand from scratch is much lower, meaning that new entrants can chip away at the market shares of established players. Reviewing a company's long-term sales performance reveals insights into its quality. Any business can experience short-term success, but top-performing ones enjoy sustained growth for years. With $2.04 billion in revenue over the past 12 months, Boston Beer is a small consumer staples company, which sometimes brings disadvantages compared to larger competitors benefiting from economies of scale and negotiating leverage with retailers. As you can see below, Boston Beer's sales grew at a sluggish 1.7% compounded annual growth rate over the last three years. This shows it failed to generate demand in any major way and is a rough starting point for our analysis. This quarter, Boston Beer reported year-on-year revenue growth of 6.5%, and its $453.9 million of revenue exceeded Wall Street's estimates by 4.8%. Looking ahead, sell-side analysts expect revenue to grow 1% over the next 12 months, similar to its three-year rate. This projection doesn't excite us and implies its newer products will not catalyze better top-line performance yet. Here at StockStory, we certainly understand the potential of thematic investing. Diverse winners from Microsoft (MSFT) to Alphabet (GOOG), Coca-Cola (KO) to Monster Beverage (MNST) could all have been identified as promising growth stories with a megatrend driving the growth. So, in that spirit, we've identified a relatively under-the-radar profitable growth stock benefiting from the rise of AI, available to you FREE via this link. Free cash flow isn't a prominently featured metric in company financials and earnings releases, but we think it's telling because it accounts for all operating and capital expenses, making it tough to manipulate. Cash is king. Boston Beer has shown robust cash profitability, driven by its attractive business model that enables it to reinvest or return capital to investors. The company's free cash flow margin averaged 9.9% over the last two years, quite impressive for a consumer staples business. The divergence from its underwhelming operating margin stems from the add-back of non-cash charges like depreciation and stock-based compensation. GAAP operating profit expenses these line items, but free cash flow does not. Taking a step back, we can see that Boston Beer's margin dropped by 1.6 percentage points over the last year. Continued declines could signal it is in the middle of an investment cycle. Boston Beer burned through $7.98 million of cash in Q1, equivalent to a negative 1.8% margin. The company's cash burn was similar to its $20.62 million of lost cash in the same quarter last year. These numbers deviate from its longer-term margin, indicating it is a seasonal business that must build up inventory during certain quarters. We were impressed by how significantly Boston Beer blew past analysts' revenue, EPS, and EBITDA expectations this quarter. On the other hand, its full-year EPS guidance missed. Still, we think this was a solid quarter with some key areas of upside. The stock traded up 2.7% to $248.65 immediately after reporting. Boston Beer had an encouraging quarter, but one earnings result doesn't necessarily make the stock a buy. Let's see if this is a good investment. The latest quarter does matter, but not nearly as much as longer-term fundamentals and valuation, when deciding if the stock is a buy. We cover that in our actionable full research report which you can read here, it's free. Sign in to access your portfolio
Yahoo
03-03-2025
- Business
- Yahoo
Speaker applications open for Military Influencer Conference
The best event for the military community, the Military Influencer Conference, has opened its speaker application window. Past speakers have included Samuel Adams founder Jim Koch, TV personality Jon Stewart, author Jack Carr, the first female Chief MSGT for the Air Force JoAnn Bass, and many, many more. Beyond the names you know, countless speakers have made their debut at MIC, taking the stage to share their passions, expertise and stories. Is it your time? Some of the best conversations happen at this event. Not just on stage but also in the moments between sessions—when someone shares a strategy that shifts your thinking, when an idea sparks a collaboration, when a speaker's words stay with you long after the event you've ever wanted to be part of that impact, now's your applications for MIC 2025 are open. We're looking for voices that challenge, inspire, and push the military community forward. If you have expertise in business, media, finance, leadership or you feel you have a story that needs to be told, we want to hear from you!This isn't just about giving a talk. It's about creating impact, opening doors, and sharing knowledge that moves people to you're ready to step up, apply now. The MIC stage is waiting for you. We are looking for the following: Thought Leaders Storytellers Seasoned Entrepreneurs Visionary Futurists C-level executives DOD & Government Officials Experienced Moderators & Panelists We're interested in inspiring and engaging stories. Think about what makes your story relevant, why it matters, the value it provides the attendees, and how it will be remembered. Remember your end goal – is it to motivate, educate, or raise awareness? You can present your story in several different ways. Please review the options below and identify what format best communicates the message. Keynote Speaker – When I announce events, people travel from across the country to hear me speak. I have a following that's active and engaged. I'm a celebrity, an accomplished leader, or a disruptor changing norms and practices. Breakout Session – People regard me as a subject matter expert and my talking points are focused on specific segments. I'm capable of delivering high value talks in short periods of time. Panel Sessions –I have an idea for a panel that's relevant for attendees. Workshops – I can deliver incredible value but my subject requires more than an hour to deliver. Roundtables – I'm best hands-on and serving small groups. Please share with your networks!
