Boston Beer, makers of Sam Adams and Angry orchards among other brands, has hardly reported good news in recent time. The company seemingly became a victim of its own success. The craft beer industry that Boston Beer helped launch has become so large — and so local-focused — that Boston Beer has become lost amidst the thousands of national craft breweries. Times have been tough, and rumors of a sell-out persisted.
But this week the company had good news to release. As reported by Brewbound, Boston Beer in a call with investors and analysts announced double-digit revenue and shipment growth in the first quarter of 2018.
This included 17.8% growth in net revenue, totaling $190.5 million, and a 15% jump in shipments to 813,000 barrels. This time last year, the company had bad news for Q1 2017: shipments had decreased 15%to 707,000 barrels, while revenue declined 14% to $161.7 million.
Why the turnaround in 2018? Jim Koch, Boston Beer founder and CEO, pointed towards new products that have taken off: Samuel Adams’ Sam ’76 and New England IPA, plus Angry Orchard Rosé.
Dave Burwick, the company’s new CEO (pictured atop, right, with Koch), also mentioned gains in depletions by Twisted Tea and Truly Spiked & Sparkling, which helped make up for losses experienced by certain Sam Adams brands.
During the call, Koch said that threats to Boston Beer remained with the ever-growing craft industry. To help address this, the company will soon open new tap rooms in Boston and Cincinnati.