BOSTON (AP) — The Boston Beer Co. Inc., which brews Samuel Adams beer, said Tuesday its fourth-quarter profit jumped 63 percent, aided by stronger sales and shipments.
But the results fell short of Wall Street expectations, sending the company's shares tumbling more than 9 percent, or $8.51, to $85.50 in aftermarket trading. The stock added 64 cents to $94.01 during the regular session.
The brewer reported net income of $12.2 million, or 87 cents a share, in the three months ended Dec. 25. That compares with net income of $7.5 million, or 52 cents a share, in the comparable prior-year quarter.
Net revenue rose 8 percent to $115.7 million from $107.2 million in the prior-year period. The company credited the revenue increase on gains in core shipments and minor price increases.
Analysts had forecast a profit of 90 cents a share on revenue $118.5 million, according to FactSet.
Core shipment volume for the quarter was roughly 565,000 barrels, up 7 percent from the same period a year earlier.
The increase was due primarily to more shipments of Samuel Adams Seasonals, Samuel Adams Brewmaster's Collection and Twisted Tea. Shipment growth was partially offset by declines in Samuel Adams Boston Lager and Sam Adams Light.
The company anticipates core shipments from January through April will be up about 6 percent from the prior-year period.
Chairman Jim Koch said the company plans to expand its "Freshest Beer Program," which reduces the time and temperature of its beer at wholesaler warehouses before it reaches the market, to 10 additional wholesalers in the first quarter.
For the year ended Dec. 25, Boston Beer earned $50.1 million, or $3.52 a share, compared with a profit of $31.1 million, or $2.17 a share, in the same period of 2009. Revenue rose to $505.9 million from $453.5 million.
The company estimates its 2011 earnings per share will range from $3.45 to $3.95, including the impact of between 20 cents a share and 30 cents a share from costs related to the Freshest Beer Program. Analysts have forecast earnings of $3.95 a share.
The brewer also said it is planning to achieve a 1 percent increase in revenue per barrel.