Key Points – Brown-Forman finished fiscal 2026 ahead of expectations, with organic net sales and organic operating income both above guidance despite weakness in U.S. discretionary spending, developed international markets, Canada, and used barrel sales. – Growth was driven by…
erging markets, travel retail, and innovation, especially New Mix in Mexico and Jack Daniel’s Tennessee Blackberry, which became a standout launch and helped offset declines in developed regions. – The company is cautious on fiscal 2027, forecasting roughly flat organic sales and a 3% to 5% decline in organic operating income as macro pressure, higher input costs, and the Canada shelf issue continue to weigh on results. Brown Forman (NYSE:BF.A) said it finished fiscal 2026 ahead of its organic expectations, despite continued pressure from weaker discretionary spending in the U.S. and developed international markets, lower used barrel sales and the ongoing absence of American spirits from many Canadian shelves
President and Chief Executive Officer Lawson Whiting said the company “delivered a strong finish to fiscal 2026,” with full-year organic net sales and organic operating income above the company’s expectations. He said the performance reflected growth in emerging international markets, momentum in travel retail and continued contributions from new products, particularly Jack Daniel’s Tennessee Blackberry. For the year, Brown-Forman reported that net sales declined 1%, while organic net sales were flat after adjusting for the absence of Korbel and Sonoma-Cutrer and the effect of foreign exchange.
Whiting noted that Brown-Forman is “no longer in the wine or champagne business” following those portfolio changes. Emerging Markets and Travel Retail Offset Developed-Market Weakness Whiting said emerging international markets delivered 12% organic net sales growth, led by strong double-digit performance from New Mix in Mexico. He described New Mix as Mexico’s original tequila ready-to-drink…