NYSE$BF-A

Brown Forman Corporation · Q2 2021 earnings

Q2 2021 earnings · · Investor relations

Briefing

Brown-Forman's second-quarter and first-half fiscal 2021 results were announced, showing resilience amidst an unprecedented environment.

Brown-Forman reported essentially flat net sales for the second quarter of fiscal 2021, with a slight decrease in operating income and diluted earnings per share. However, underlying net sales grew by 4%. The first half of the fiscal year saw a slight decrease in reported net sales but an increase in reported operating income and diluted earnings per share.

  • Underlying net sales grew by 4% in the first half of fiscal 2021.
  • Premium bourbons experienced strong underlying net sales growth of 22%.
  • The tequila portfolio saw an underlying net sales increase of 13%.
  • The company is not providing quantitative guidance for fiscal year 2021 due to the substantial uncertainty in the rapidly evolving environment.

Headline financials

Total Revenue

$985M

Previous: $989M-0.4%
EPS (adj)

$0.50

Previous: $0.59-15.3%
Gross Margin

59.0%

Previous: 62.7%-5.9%
Operating Margin

33.5%

Previous: 35.6%-5.9%
Effective Tax Rate

22.1%

Previous: 15.0%+47.3%
Cash Dividend Per Share

$0.17

Previous: $0.17+5.0%
Capital Expenditures

-$29M

Previous: -$48M+39.6%
Free Cash Flow

$254M

Previous: $139M+82.7%
Net Income

$240M

Previous: $282M-14.9%
Operating Income

$330M

Previous: $352M-6.3%
Gross Profit

$581M

Previous: $619M-6.1%
Cash & Equivalents

$964M

Previous: $235M+310.2%
Total Assets

$6.35B

Previous: $5.55B+14.4%
Stock-Based Comp

$3M

Previous: $3M+0.0%

Revenue & EPS history

Brown-Forman · Revenue · Quarterly

$985M

Q2 2021-0.4%vs Q2 2020
Beat estimate in 9 of 13 quarters(69%)
ActualEstimate

Forward guidance

The company continues to face substantial uncertainty in the rapidly evolving environment due to COVID-19 and its effect on the global economy. As a result of this ongoing uncertainty and expected volatility, the company is not providing quantitative guidance for fiscal year 2021.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2021

Historical avgQ2 2021

-0.4%

Avg return

Earnings day

-1.3%

Avg return

5 days after

-3.2%

Avg return

30 days after

41%

28 / 68 earnings

Positive

+10.4%

Q1 2021

Best reaction

-9.1%

Q3 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q3 2026-5.7%-10.8%-4.9%
Q2 2026+0.1%+0.1%-11.2%
Q1 2026-4.8%-3.9%-13.1%
Q4 2025+0.0%-0.8%+6.9%
Q3 2025+10.2%+14.6%-2.4%
Q2 2025+8.8%+10.7%-11.0%
Q1 2025+1.1%+1.0%+4.6%
Q4 2024-4.0%-6.4%-5.5%
Q3 2024-9.1%-8.1%-14.2%
Q2 2024-9.0%-6.1%-7.3%
Q1 2024-4.4%-3.0%-17.4%
Q4 2023+5.2%+2.3%+5.6%
Q3 2023-6.2%-5.9%-4.1%
Q2 2023-7.4%-6.4%-12.3%
Q1 2023-1.3%-2.1%-5.6%
Q4 2022+3.2%-0.1%+8.9%
Q3 2022+7.5%-2.0%+5.4%
Q2 2022-4.1%-2.1%-7.7%
Q1 2022+0.5%+1.0%-4.1%
Q4 2021-5.0%-4.4%-5.6%
Q3 2021-4.7%-3.2%-4.3%
Q2 2021+0.3%+4.1%-6.2%
Q1 2021+10.4%+10.8%+5.3%
Q4 2020-0.0%-3.5%-4.4%
Q3 2020-4.1%-11.3%-13.7%
Q2 2020-6.3%-6.8%-0.2%
Q1 2020-0.1%-0.8%+2.7%
Q4 2019+8.5%+10.4%+11.6%
Q3 2019-1.7%-1.3%+2.0%
Q2 2019-1.3%-2.1%-1.3%
Q1 2019+0.4%+0.3%-3.2%
Q4 2018-8.0%-6.7%-6.2%
Q3 2018-4.8%-3.5%-4.4%
Q2 2018+6.1%+4.9%+7.5%
Q1 2018+3.8%+3.8%+4.0%
Q4 2017-5.7%-6.1%-9.5%
Q3 2017-2.9%-3.7%-5.3%
Q2 2017+1.4%+1.1%-1.4%
Q1 2017-4.6%-4.6%-6.8%
Q4 2016+2.1%-0.2%+0.3%
Q3 2016-1.4%
Q2 2016+1.7%
Q1 2016+0.5%
Q4 2015-0.5%
Q3 2015-0.5%
Q2 2015+2.2%
Q1 2015-2.4%
Q4 2014+2.4%
Q3 2013+1.6%
Q3 2014+4.6%
Q2 2014+0.3%
Q1 2014-1.8%
Q4 2013-0.9%
Q2 2013-0.6%
Q1 2013+2.6%
Q2 2012-1.4%
Q4 2012+4.4%
Q3 2012-0.2%
Q1 2012-3.6%
Q4 2009-0.1%
Q2 2011-0.1%
Q4 2010-0.1%
Q4 2011-0.1%
Q3 2011-0.8%
Q3 2010-0.8%
Q1 2011+1.9%
Q1 2010+1.9%
Q2 2010+1.9%

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