Based on the aforementioned assumptions, Brown-Forman expects the organic operating income to increase 6-8%, driven by lower supply-chain disruption costs, partly offset by continued input cost pressures. It predicts trends to normalize after two consecutive years of double-digit organic sales growth. The company remains optimistic about organic sales and organic operating income growth. Consequently, management has issued an upbeat fiscal 2024 view.īrown-Forman anticipates organic sales growth of 5-7% for fiscal 2024. Shares of the Zacks Rank #3 (Hold) company have risen 5% in the past three months against the industry and the sector’s declines of 2.9% and 1.3%, respectively.īF.B also remains on track with its long-term pricing strategy, which aims to increase prices year over year to grow sales as part of its revenue growth management initiatives. The gains of these efforts have been well reflected in its share price.
The company has been gaining from the premiumization of its portfolio and aggressive brand investments.
Brown-Forman Corporation ( BF.B) has been in a good spot, courtesy of strength in its brands, mainly Jack Daniel’s Tennessee Whiskey.
