The Boston Beer Company reported third quarter 2020 net revenue of $492.8 million, an increase of $114.3 million or 30.2%, from the same period last year. Net income for the third quarter was $80.8 million, an increase of $36.0 million or 80.6% from the same period last year.
Shipments increased 30.5% and 34.1% from the 13- and 39-week comparable periods in the prior year
According to a company press release, the company began seeing the impact of the COVID-19 pandemic on its business in early March. The direct financial impact of the pandemic has primarily shown in significantly reduced keg demand from the on-premise channel and higher labor and safety-related costs at the company’s breweries. But overall, like most distributing breweries with good chain store penetration, Boston Beer has had a very strong year. Full-year 2020 shipments and depletions growth is now estimated to be between 37% and 42%.
Having a leading brand in the high-growth hard seltzer category doesn’t hurt either. Jim Koch, Chairman and Founder of the Company, commented, “We achieved depletions growth of 36% in the third quarter. We believe that our depletions growth is attributable to our key innovations, quality and strong brands, as well as sales execution and support from our distributors. As the COVID-19 pandemic continues, our primary focus continues to be on operating our breweries and our business safely and working hard to meet customer demand. I am very proud of the passion, creativity and commitment to community that our company has demonstrated during this pandemic. We remain positive about the future growth of our brands and are happy that our diversified brand portfolio continues to fuel double-digit growth for the tenth consecutive quarter.”
See the full press release here.