EarningsQ3 2026 Earnings Report
DE:BBEA Q3 2026 EPS Results
Actual EPS€3.93
Consensus EPS€3.78
Beat/MissBeat by +€0.14
One Year Ago EPS€3.82
DE:BBEA Q3 2026 Revenue Results
Actual Revenue€467.53M
Expected Revenue€470.09M
Beat/MissMissed by -€2.56M
YoY Revenue Growth-3.24%
Earnings Announcement Details
QuarterQ3 2026
Date10/22/2026
TimeAfter Close
Conference CallThursday, October 22, 2026
DE:BBEA Upcoming Earnings
Boston Beer's next earnings date is estimated for March 2, 2027, based on past reporting schedules.
Q3 2026 Earnings Call Audio
DE:BBEA Q3 2026 Earnings Call
0:00 / 0:00
Q3 2026 Earnings Slide Deck
No slide deck is available for this earnings event.
Q3 2026 Earnings Call Summary
Earnings Call Sentiment|Neutral
The call was mixed. Boston Beer reported strong gross-margin expansion, productivity gains, higher internal production, continued share repurchases, successful Sun Cruiser and Angry Orchard performance, and a broad innovation pipeline. However, these positives were offset by declining industry and company volumes, pressure on Truly and Twisted Tea, elevated freight and commodity costs, a substantial supplier litigation charge, and continued consumer spending pressure. Management raised the low end of gross margin and EPS guidance, but lowered the volume outlook to down mid-single digits.Company Guidance
Gross Margin Reached Highest Level Since 2017
Third-quarter gross margin was 51.7%, up 90 basis points year over year and the company's highest quarterly gross margin rate since 2017. Improvement was driven by higher brewery efficiencies, favorable product mix, procurement savings, and price increases, partially offset by commodity and tariff-related costs.
Productivity and Savings Initiatives Tracking Ahead
The company said it remains on track to deliver its 2026 savings targets across four workstreams and is tracking ahead of its planned full-year 2026 savings. Savings have helped offset higher aluminum, energy, tariff, and freight costs, with additional procurement savings expected into 2027.
Increased Internal Production
Boston Beer produced 98% of its domestic volume internally in the third quarter, compared with 89% in the third quarter of 2025. Full-year 2026 domestic internal production is expected to exceed 90%, compared with 86% in 2025.
Guidance Raised for Gross Margin and EPS
The company raised the low end of its full-year gross margin and non-GAAP EPS guidance despite softer volume trends and higher freight costs. Gross margin guidance is now 49% to 50%, representing 50 to 150 basis points of year-over-year expansion, while non-GAAP EPS guidance is $9 to $10.50 versus the prior range of $8.50 to $10.50.
Lower Tariff Cost Outlook
Full-year tariff costs are now expected to be $18 million to $22 million, compared with the previous guidance of $20 million to $30 million and $11 million in partial-year costs in 2025. The lower outlook primarily reflects ingredient and packaging tariffs coming in below the prior estimate, including a $3 million tariff refund in the third quarter.
Strong Cash Generation and Share Repurchases
Management said the business is generating strong cash flow. Boston Beer repurchased $80 million of shares year to date through October 16, 2026, including $73.5 million during the 39-week period ended September 26 and $6 million from September 27 through October 16. Approximately $149 million remained under the $1.6 billion share repurchase authorization as of October 16.
Sun Cruiser Continued Rapid Growth
Sun Cruiser grew approximately 60% in tracked channels during the quarter and has become a top-four spirits RTD in just over two years. Management said the brand continues to have strong velocity and distribution opportunities, with expectations for double-digit growth in 2027 from expanded distribution and more SKUs per store.
Sun Cruiser Expanded Marketing and Distribution Support
Sun Cruiser expanded its sports and event presence through partnerships involving the PGA, Major League Baseball, the New York Knicks, MetLife Stadium, the New York Jets, and the New York Giants. The brand is also supporting ski season with retail and on-premise displays, branded merchandise, ski-area partnerships, and a winter-themed media campaign beginning in December.
Twisted Tea Maintained Category Leadership
Twisted Tea remained the clear No. 1 brand in malt-based hard tea with more than 85% market share, while the next-largest brand had only a low-single-digit share. Twisted Tea Singles, Twisted Tea Light, and Twisted Tea Extreme continued to gain share of the FMB category year to date.
Angry Orchard Delivered Continued Growth
Angry Orchard grew for the sixth consecutive quarter and saw growth across both core flavors and seasonal packs for the second straight year. Its fall seasonal Thriller variety pack grew triple digits in measured off-premise channels.
On-Premise Trends Improved
On-premise trends were up low-single digits across the Boston Beer portfolio during the third quarter.
Brand Investment Was Reallocated Toward More Responsive Brands
Management said advertising was reduced where campaigns were not generating a depletion response, particularly for Truly, and reallocated toward Twisted Tea, Samuel Adams, and Angry Orchard, where management said advertising appeared to be producing a sales response. Full-year advertising, promotional, and selling expenses are expected to be approximately flat year over year.
New Chief Marketing Officer Joined
Alison Stransky joined Boston Beer earlier in October as chief marketing officer. Management highlighted her consumer brand-building and data-driven digital marketing experience from Google, Samsung, L'Oreal, and Johnson & Johnson.
Innovation Pipeline Expanded
Rally Dog Vodka, a 100-calorie, 5% ABV ready-to-drink cocktail, launched in four states and is expected to expand to seven additional states over the following month, with plans to go national in 2027. LYTT electric coolers expanded from five states to an additional 18 states and is also planned for national availability in 2027. LYTT won the 2026 Best New Alcoholic Beverage High ABV award at the National Association of Convenience Stores show.
LYTT Positioned as a High-Margin, Incremental Opportunity
Management described LYTT as a 15% ABV malt-based product in a resealable and recyclable 6.8-ounce package that targets the pre-event occasion. Management said the product is potentially incremental to the portfolio, has unusually high margins, and received strong retailer attention because of its distinctive packaging and merchandising format.
Additional Innovation Remains in Development
Sinless Vodka cocktails continued in test as a zero-sugar, zero-carb, 100-calorie offering. Management said the innovation brands are in early development and are not expected to have a significant impact on results in 2026, but could become more meaningful in 2027.
Improved Supply Chain and Inventory Management
Distributor inventory ended the quarter at four weeks on hand, slightly below 4.5 weeks in the prior-year quarter. Management said improved ordering and inventory-management processes maintained high customer service levels while reducing inventory and improving cash flow.
Liquidity Supported Ongoing Investment
Boston Beer ended the quarter with $38 million of cash and $150 million available on its line of credit. Management said these balances and projected operating cash flows support operating investments, shareholder returns, and a potential litigation-related payment.
Capital Expenditure Plan Remained Focused on Breweries and Innovation
Capital expenditures are expected to be $55 million to $70 million in 2026, primarily for company-owned breweries, efficiency improvements, and innovation. Management said projects were pushed from 2026 into 2027 because of supplier and equipment availability, including a wastewater project at the Pennsylvania brewery.
DE:BBEA Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed