LOUISVILLE, KY — Brown‑Forman Corporation (NYSE: BFA, BFB) reported financial results for its fourth quarter and fiscal year ended April 30, 2024. Fourth quarter reported net sales decreased 8%¹ to $1.0 billion (-5% on an organic basis²) compared to the same prior-year period. In the quarter, reported operating income increased 26% to $375 million (-16% on an organic basis) and diluted earnings per share increased 31% to $0.56.

For the full year, the company’s reported net sales decreased 1% to $4.2 billion (-1% on an organic basis) compared to the same prior-year period. Operating income increased 25% to $1.4 billion (-2% on an organic basis) and diluted earnings per share increased 32% to $2.14.

Lawson Whiting, Brown‑Forman’s President and Chief Executive Officer shared, “In a challenging year within the spirits industry, Brown‑Forman remained agile and focused on the long-term growth of our brands and our business. While our fiscal 2024 organic results reflect the inventory reductions across the entire spirits value chain, when you adjust for the changes in distributor inventory, we feel good about the results we delivered and are confident in the strength of our strategy, brands, and business. As we look to fiscal 2025, we believe we can build on this foundation and deliver top and bottom line organic growth as well as continued gross margin expansion.”

Fiscal 2024 Highlights

• Reported net sales declines in the United States and Developed International³ markets were largely offset by growth in Emerging³ markets and the Travel Retail³ channel.
• From a brand perspective:
  • Jack Daniel’s Tennessee Whiskey’s reported net sales declined 6% (-5% organic).
  • Diplomático and Gin Mare drove Rest of Portfolio’s³ reported net sales growth of 61% (+15% organic).
  • New Mix delivered reported net sales growth of 32% (+17% organic).
• Reported gross profit increased 1% (+2% organic) with gross margin expansion of 150 basis points.
• The company increased reported advertising expense by 4% (+2% organic).
• The combined divestitures of Finlandia and Sonoma‑Cutrer resulted in a gain of $267 million.
• The company returned $804 million to stockholders by distributing $404 million in regular quarterly dividends and $400 million through its share repurchase program.

Fiscal 2024 Brand Results

• Reported net sales for Whiskey³ products declined 3% (-2% organic), driven by lower volumes for Jack Daniel’s Tennessee Whiskey and Jack Daniel’s Tennessee Honey reflecting an estimated net decrease in distributor inventories. This decline was partially offset by the growth of Jack Daniel’s Tennessee Apple and the rest of our whiskey portfolio, including Jack Daniel’s super-premium expressions and Glenglassaugh old and rare cask sales. 
• Reported net sales for the Tequila³ portfolio decreased 4% (-7% organic). Herradura’s reported net sales declined 10% (-13% organic) led by lower volumes in the United States reflecting an estimated net decrease in distributor inventories. el Jimador’s reported net sales were flat (-1% organic) driven by lower volumes in Mexico and the United States offset by higher prices.
• The Ready-to-Drink³ (RTD) portfolio delivered reported net sales growth of 2% (flat on an organic basis). New Mix’s reported net sales increased 32% (+17% organic) fueled by higher prices. Reported net sales of Jack Daniel’s RTD/RTP portfolio declined 6% (-5% organic) driven by lower volumes of Jack Daniel's & Cola RTD, partially offset by the continued launch of the Jack Daniel’s & Coca-Cola RTD. Reported net sales were negatively impacted by an estimated net decrease in distributor inventories in the United States.
• Diplomático and Gin Mare drove the significant increase in the Rest of Portfolio's reported net sales growth of 61% (+15% organic) led by the Developed International markets and the United States.

Fiscal 2024 Market Results                                                                                         

• Reported net sales in the United States decreased 4% (-4% organic) driven by lower volumes largely reflecting an estimated net decrease in distributor inventories. This decline was partially offset by higher prices across the portfolio, led by el Jimador and Woodford Reserve, and the growth of super-premium Jack Daniel’s expressions such as Jack Daniel’s Single Barrel Rye Barrel Proof and Jack Daniel's Sinatra.
• Developed International markets’ reported net sales decreased 2% (-5% organic) primarily due to lower volumes of Jack Daniel’s Tennessee Whiskey in Japan, following a significant inventory build in the second half of the prior fiscal year. The decline in reported net sales was partially offset by growth from the recently acquired brands, Diplomático and Gin Mare, and Glenglassaugh old and rare cask sales.
• The Travel Retail channel sustained growth on an exceptionally high comparison in the same prior-year period, as reported net sales increased 8% (+6% organic) propelled by the super-premium American whiskey portfolio. Woodford Reserve and the launch of Jack Daniel’s American Single Malt were the largest contributors of growth in the channel.
• Emerging marketsgrew reported net sales 5% (+8% organic) led by very strong growth of New Mix in Mexico and Jack Daniel’s Tennessee Apple in Brazil. The growth was partially offset by Jack Daniel’s Tennessee Whiskey declines in United Arab Emirates and Sub-Saharan Africa due to an estimated net decrease in distributor inventories.

Fiscal 2024 Other P&L Items

• Reported gross profit increased 1% (+2% organic) with strong gross margin expansion of 150 basis points to 60.5%. The increase in gross margin was driven by favorable price/mix and lower supply chain disruption related costs, partially offset by higher input costs and the negative effect of foreign exchange.
• Reported advertising expense grew 4% (+2% organic) driven by increased investment in Jack Daniel’s Tennessee Whiskey, Diplomático and Gin Mare brands, and the launch of Jack Daniel’s & Coca-Cola RTD. Reported selling, general, and administrative expenses increased 11% (+7% organic) led by higher compensation and benefit-related expenses and the $23 million commitment to the Brown‑Forman Foundation and Dendrifund.
• The company’s reported operating income increased 25% (-2% organic) driven by the positive effect of acquisitions and divestitures, favorable price/mix, the absence of the prior-year period Finlandia non-cash impairment, and lower supply chain disruption costs. This increase was partially offset by operating expense growth, the negative effect of foreign exchange, and the $23 million commitment to the Brown‑Forman Foundation and Dendrifund.
• Diluted earnings per share increased $0.52 driven primarily by the increase in reported operating income.

Fiscal 2024 Financial Stewardship

During fiscal 2024, the company paid $404 million to stockholders through its regular quarterly dividend and returned $400 million to stockholders through its share repurchase program which was completed in December 2023. Brown‑Forman, a member of the prestigious S&P 500 Dividend Aristocrats index, has paid regular quarterly cash dividends for 80 consecutive years and has increased the regular dividend for 40 consecutive years.

Fiscal 2025 Outlook

We anticipate a return to growth for organic net sales and organic operating income in fiscal 2025 driven by gains in international markets and the benefit of normalizing inventory trends. This outlook is tempered by our belief that global macroeconomic and geopolitical uncertainties will continue to create a challenging operating environment. Accordingly, we expect the following in fiscal 2025:

• Organic net sales growth in the 2% to 4% range.
• Organic operating income growth in the 2% to 4% range.
• Our effective tax rate to be in the range of approximately 21% to 23%.
• Capital expenditures planned to be in the range of $195 to $205 million.

Click here for the full financial results.

Conference Call Details

Brown‑Forman will host a conference call to discuss these results at 10:00 a.m. (ET) today. A live audio broadcast of the conference call, and the accompanying presentation slides, will be available via

Brown‑Forman’s website, brown-forman.com, through a link to “Investors/Events & Presentations.” A digital audio recording of the conference call and the presentation slides will also be posted on the website and will be available for at least 30 days following the conference call.

For more than 150 years, Brown‑Forman Corporation has enriched the experience of life by responsibly building fine quality beverage alcohol brands, including Jack Daniel's Tennessee Whiskey, Jack Daniel's Ready-to-Drinks, Jack Daniel's Tennessee Honey, Jack Daniel's Tennessee Fire, Jack Daniel's Tennessee Apple, Gentleman Jack, Jack Daniel's Single Barrel, Woodford Reserve, Old Forester, Coopers’ Craft, The GlenDronach, Benriach, Glenglassaugh, Slane, Herradura, el Jimador, New Mix, Korbel, Chambord, Fords Gin, Gin Mare, and Diplomático Rum. Brown‑Forman’s brands are supported by approximately 5,700 employees globally and sold in more than 170 countries worldwide. For more information about the company, please visit brown-forman.com. Follow us on LinkedIn, Instagram, and X, formerly Twitter.

Important Information on Forward-Looking Statements:

This press release contain statements, estimates, and projections that are “forward-looking statements” as defined under U.S. federal securities laws. Words such as “aim,” “ambition,” “anticipate,” “aspire,” “believe,” “can,” “continue,” “could,” “envision,” “estimate,” “expect,” “expectation,” “intend,” “may,” “might,” “plan,” “potential,” “project,” “pursue,” “see,” “seek,” “should,” “will,” “would,” and similar words indicate forward-looking statements, which speak only as of the date we make them. Except as required by law, we do not intend to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise. By their nature, forward-looking statements involve risks, uncertainties, and other factors (many beyond our control) that could cause our actual results to differ materially from our historical experience or from our current expectations or projections. These risks and uncertainties include, but are not limited to:

• Our substantial dependence upon the continued health of the Jack Daniel’s family of brands
• Route-to-consumer changes that affect the timing of our sales, temporarily disrupt the marketing or sale of our products, or result in higher fixed costs
• Disruption of our distribution network or inventory fluctuations in our products by distributors, wholesalers, or retailers
• Changes in consumer preferences, consumption, or purchase patterns – particularly away from larger producers in favor of small distilleries or local producers, or away from brown spirits, our premium products, or spirits generally, and our ability to anticipate or react to them; further legalization of marijuana; bar, restaurant, travel, or other on-premise declines; shifts in demographic or health and wellness trends; or unfavorable consumer reaction to new products, line extensions, package changes, product reformulations, or other product innovation
• Substantial competition from new entrants, consolidations by competitors and retailers, and other competitive activities, such as pricing actions (including price reductions, promotions, discounting, couponing, or free goods), marketing, category expansion, product introductions, or entry or expansion in our geographic markets or distribution networks
• Production facility, aging warehouse, or supply chain disruption
• Imprecision in supply/demand forecasting
• Higher costs, lower quality, or unavailability of energy, water, raw materials, product ingredients, or labor
• Risks associated with acquisitions, dispositions, business partnerships, or investments – such as acquisition integration, termination difficulties or costs, or impairment in recorded value
• Impact of health epidemics and pandemics, and the risk of the resulting negative economic impacts and related governmental actions
• Unfavorable global or regional economic conditions and related economic slowdowns or recessions, low consumer confidence, high unemployment, weak credit or capital markets, budget deficits, burdensome government debt, austerity measures, higher interest rates, higher taxes, political instability, higher inflation, deflation, lower returns on pension assets, or lower discount rates for pension obligations
• Product recalls or other product liability claims, product tampering, contamination, or quality issues
• Negative publicity related to our industry, company, products, brands, marketing, executive leadership, employees, Board of Directors, family stockholders, operations, business performance, or prospects, including labor strikes and work stoppages
• Failure to attract or retain key executive or employee talent
• Risks associated with being a U.S.-based company with a global business, including commercial, political, and financial risks; local labor policies and conditions, including labor strikes and work stoppages; protectionist trade policies, or economic or trade sanctions, including additional retaliatory tariffs on American whiskeys and the effectiveness of our actions to mitigate the negative impact on our margins, sales, and distributors; compliance with local trade practices and other regulations; terrorism, kidnapping, extortion, or other types of violence; and health pandemics
• Failure to comply with anti-corruption laws, trade sanctions and restrictions, or similar laws or regulations
• Fluctuations in foreign currency exchange rates, particularly a stronger U.S. dollar
• Changes in laws, regulatory measures, or governmental policies, especially those affecting production, exportation, importation, marketing and promotion, labeling, pricing, distribution, sale, or consumption of our beverage alcohol products
• Tax rate changes (including excise, corporate, sales or value-added taxes, property taxes, payroll taxes, import and export duties, and tariffs) or changes in related reserves, changes in tax rules or accounting standards, and the unpredictability and suddenness with which they can occur
• Decline in the social acceptability of beverage alcohol in significant markets
• Significant additional labeling or warning requirements or limitations on availability of our beverage alcohol products
• Counterfeiting and inadequate protection of our intellectual property rights
• Significant legal disputes and proceedings, or government investigations
• Cyber breach or failure or corruption of our key information technology systems or those of our suppliers, customers, or direct and indirect business partners, or failure to comply with personal data protection laws
• Our status as a family “controlled company” under New York Stock Exchange rules, and our dual-class share structure

For further information on these and other risks, please refer to our public filings, including the “Risk Factors” section of our Annual Report on Form 10-K and Quarterly Reports on Form 10-Q filed with the Securities and Exchange Commission.