Boston Beer Company’s Q4 loss was better than expected, revenue exceeded expectations; stock price dipped slightly

LootboxPhobia · 2026-02-25T10:34:29+00:00

Boston Beer Company reported a Q4 loss of $2.12 per share, slightly better than expected, with revenue of $385.7 million, down 4.1% year-over-year. Despite a 7.5% decline in shipments, the company's gross profit margin increased to 43.5%. The company expects FY2026 earnings per share to be between $8.50 and $11.00.

LootboxPhobia

2026-02-25 10:34:29

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Boston - Boston Beer Co. (NYSE:SAM) reports a smaller-than-expected fourth-quarter loss, despite revenue declining compared to the same period last year in a challenging market environment.

The company posted a fourth-quarter loss of $2.12 per share, better than the analyst consensus of a $2.54 loss per share. Revenue was $385.7 million, exceeding the expected $381.36 million, but down 4.1% from the previous year. Shipments declined 7.5% to approximately 1.4 million barrels, mainly due to decreased sales of Twisted Tea, Truly Hard Seltzer, and Samuel Adams brands. After the earnings release, the stock fell 1.5%.

Gross margin increased to 43.5%, up 360 basis points year-over-year, driven by improved brewery efficiency, procurement cost savings, and price increases. However, the quarter included $13.9 million in shortage costs and $3.6 million in tariff expenses, putting pressure on profit margins.

Chairman, Founder, and CEO Jim Koch stated, “We are pleased to achieve our 2025 financial commitments while maintaining market share in a challenging operating environment. Looking ahead, we remain highly focused on operational excellence, including investing in our iconic brand portfolio, developing a strong innovation pipeline, and continuing to execute our multi-year productivity improvement plan.”

For fiscal year 2026, Boston Beer provides an earnings per share guidance of $8.50 to $11.00. The company expects consumption and shipment volumes to remain flat to low single-digit percentage declines, with gross margins of 48% to 50%. The midpoint of the EPS guidance range is $9.75.

The company anticipates tariffs costs of $20 million to $30 million in 2026 and plans to increase advertising, promotion, and sales expenses by $20 million to $40 million. As of the end of 2025, Boston Beer had $223.4 million in cash and no debt, with an annual operating cash flow of $270.2 million.

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