Jack Daniel's delivers another "superb" year of growth for Brown-Forman's 2015 year end results

By Erin Smith

Published: 04 June, 2015

Brown-Forman reported another year of growth with net sales increasing 4% to $4.096m and operating income increasing 6% to $1.027m for the fiscal year end of 2015.

The fiscal year ended on 30 April, 2015.

Paul Varga, Brown-Forman's chief executive officer said: "Fiscal 2015 was another superb year of comprehensive progress for Brown-Forman."

The United States market which accounts for 43% of reported net sales is what helped to deliver one the "strongest years in recent history."

The UK, which is the third largest market and accounts for 9% of reported net sales saw a 2% for 2015.

"Foreign exchange impact aside, our business performed exceptionally well and once again delivered underlying growth in net sales and operating income that compares quite favourably in our industry," said Varga.

With the increasing US dollar, Brown-Forman lost $19m due to foreign exchange.

The Jack Daniel's brand grew underlying net sales by 8%. Jack Daniel's Tennessee Whiskey underlying newt sales by 6% and Jack Daniel's Tennessee Honey underlying net sales by 28%.

In the emerging markets underlying net sales grew by 9%, which was a strong performance considering the US dollar had strengthened throughout much of the last 12 months.

Within Europe, France saw incredible growth for the Jack Daniel's Tennessee Whiskey with underlying net sales posting a 42% gain.

Australia, which is Brown-Forman second largest market, with 11% of reported sales saw growth decline. Net reported sales declined by 8% as a result of a weakening currency, particularly against the US dollar and a challenging economic climate within the country.

Brown-Forman anticipates that strong growth the company has experienced since 2012 will continue. Specifically the flavoured whiskey category with Jack Daniel's Tennessee Honey and Tennessee Fire in the United States will help to drive growth.

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