The Boston Beer Company, Inc. Earnings Recaps
Q1 2026
May 1, 2026
Boston Beer shares fell 9.4% post-earnings as management narrowed full-year volume guidance to a steeper decline, highlighting continued weakness in Truly and soft performance in key brands despite modest category improvement. The deeper-than-expected deceleration in depletions and cautious outlook for the year disappointed investors.
Key takeaways
- First quarter depletions declined 4%, and shipments were down 7%, with management citing ongoing volume headwinds and persistent softness in Samuel Adams, Hard Mountain Dew, and Truly.
- Full-year 2026 guidance was revised to "down low single digits to mid-single digits" in volume, tightened from the prior outlook of "flat to down mid-single digits."
- Gross margin improved to 49.3% in the quarter, reflecting progress on margin enhancement initiatives.
- Truly, a meaningful part of the portfolio, continued to lose share; meanwhile, Twisted Tea and Sun Cruiser showed growth, and Angry Orchard and Dogfish Head delivered four consecutive quarters of positive growth.
- Management emphasized caution about consumer spending, macro pressures, and geopolitical developments, and indicated brand investment could be adjusted downward if energy costs remain volatile.
Q3 2025
Oct 24, 2025
Boston Beer Company reported a challenging third quarter with a 3% decline in depletions, yet achieved significant gross margin expansion and improved earnings per share, highlighting resilience amid macroeconomic pressures.
Key takeaways
- Gross margin reached 50%, the highest since 2018, driven by profitability initiatives and a favorable product mix.
- Depletions were down 3%, matching broader industry trends, but shipments fell 14% due to earlier shipping patterns and low wholesaler inventory levels.
- The "beyond beer" category, representing over 85% of the company's volume, continues to show long-term growth potential, with new product Sun Cruiser performing well.
- Acknowledged the need for investment in advertising and local market activations to support brand performance, particularly for Twisted Tea, which has faced declining velocity and store presence.
- Generated over $230 million in operating cash flow, enabling $160 million in share repurchases year-to-date.