Brown-Forman shares rose 4.4% following Q1 results, driven by stronger-than-expected growth in the RTD portfolio and successful innovation with Jack Daniel’s Tennessee Blackberry, which offset ongoing weaknesses in tequila and barrel sales.
- RTD portfolio delivered robust double-digit growth in Mexico and outperformed expectations in the U.S., contributing about 1 point of value growth to overall U.S. sales.
- Jack Daniel’s Tennessee Blackberry expanded to over 30 international markets, providing more than 2 points of value growth in the U.S. and demonstrating strong momentum globally.
- Used barrel sales collapsed over 60% year-over-year, continuing a steep decline from $100 million to roughly $30 million, pressured by weak demand from Scotch and Irish whiskey producers.
- Full-strength tequila portfolio declined in the low teens, though early signs of improvement appeared in U.S. Nielsen takeaway trends for el Jimador.
- Jack Daniel’s Tennessee Honey and Gentleman Jack faced headwinds from challenging market conditions and shipment timing differences, respectively.
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