8-K
false000094987000009498702024-02-272024-02-27

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): February 27, 2024

The Boston Beer Company, Inc.

(Exact name of Registrant as Specified in Its Charter)

Massachusetts

001-14092

04-3284048

(State or Other Jurisdiction

of Incorporation)

(Commission File Number)

(IRS Employer

Identification No.)

 

 

 

One Design Center Place, Suite 850,

Boston, MA

02210

(Address of Principal Executive Offices)

(Zip Code)

Registrant’s Telephone Number, Including Area Code: (617) 368-5000

Not Applicable

(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

 

Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

 

Title of each class

 

Trading

Symbol(s)

 

Name of each exchange on which registered

Class A Common Stock

 

SAM

 

NYSE

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).

Emerging growth company

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

 

 

 


 

 

Item 2.02 Results of Operations and Financial Condition

On February 27, 2024, The Boston Beer Company, Inc. disclosed financial information for the fourth quarter of 2023 in an earnings release, a copy of which is set forth in the attached Exhibit 99.

The information in this Form 8-K and the Exhibit 99 attached hereto is being furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 (the “Exchange Act”) or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933 or the Exchange Act, regardless of any general incorporation language in such filing, unless expressly incorporated by specific reference in such filing.

Item 9.01 Financial Statements and Exhibits

 

 Exhibit 99

 

Earnings Release of The Boston Beer Company, Inc. dated February 27, 2024

 

 

 

 104

Cover Page Interactive Data File (embedded within Inline XBRL document).

 

 


 

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

 

The Boston Beer Company, Inc.

 

 

(Registrant)

 

 

 

Date: February 27, 2024

 

/s/ Diego Reynoso

 

 

Diego Reynoso

 

 

Chief Financial Officer

 

 


EX-99

 

 

 

 

 

Exhibit 99

Investor Relations Contact:

 

 

Media Contact:

Jennifer Larson

 

 

Dave DeCecco

(617) 368-5152

 

 

(914) 261-6572

jennifer.larson@bostonbeer.com

 

 

dave.dececco@bostonbeer.com

 

BOSTON BEER REPORTS

FOURTH QUARTER FINANCIAL RESULTS

 

BOSTON (February 27, 2024) -- The Boston Beer Company, Inc. (NYSE: SAM), today reported financial results for its fourth quarter and full fiscal year 2023 that ended December 30, 2023. The 2023 fiscal fourth quarter included 13 weeks and is compared to the 2022 fiscal fourth quarter, which included 14 weeks. The 2023 full fiscal year included 52 weeks and is compared to the 2022 full fiscal year, which included 53 weeks.
 

Key results were:

 

Fourth Quarter 2023 Summary:

 

Depletions decreased 9%. Depletions decreased 1% on a 13-week comparable basis
Shipments decreased 12.2%. Shipments decreased 3.5% on a 13-week comparable basis
Net revenue of $393.7 million decreased 12.0%. Net revenue decreased 3.1% on a 13-week comparable basis
Gross margin of 37.6%, up 60 basis points year over year
Net loss of $18.1 million
GAAP diluted loss per share of $1.49

 

Full Year 2023 Summary:

 

Depletions decreased 6%. Depletions decreased 5% on a 52-week comparable basis
Shipments decreased 6.2%. Shipments decreased 5.2% on a 52-week comparable basis
Net revenue of $2.009 billion decreased 3.9%. Net revenue decreased 2.9% on a 52-week comparable basis
Gross margin of 42.4%, up 120 basis points year over year
Net income of $76.3 million
GAAP diluted earnings per share of $6.21, which includes a non-cash impairment charge of $0.96 per share recorded in the third quarter of 2023
Non-GAAP diluted earnings per share of $7.17

 

Capital Structure

 

Generated $265 million in operating cash flow for the full 2023 fiscal year
Ended the fourth quarter with $298.5 million in cash and no debt
Repurchased $128.5 million in shares from January 2, 2023 to February 23, 2024

 

 


 

“We were pleased to deliver steady improvement in comparable weeks depletions, solid progress on gross margin expansion and strong cash flow generation for the full 2023 fiscal year,” said Chairman and Founder Jim Koch. “As we look forward into 2024, we believe we have the right strategies in place to steadily improve our revenue and margin performance while continuing to invest in our brands and industry leading salesforce.”

 

“The investments we made in our brands, marketing mix changes and supply chain enhancements drove improvement in operational and financial performance in 2023 and position us well to further fortify our business in 2024 and beyond,” said President and CEO Dave Burwick. “Moving forward, we’ll maintain our focus on driving volume and gross margin performance and winning in the marketplace with our advantaged Beyond Beer portfolio, new innovation and improved Supply Chain capabilities.”

 

Details of the results were as follows:

 

Fourth Quarter 2023 (13 weeks ended December 30, 2023) Summary of Results

 

The 2023 fiscal fourth quarter included 13 weeks and is compared to the 2022 fiscal fourth quarter, which included 14 weeks.

 

Net revenue of $393.7 million decreased 12.0% compared to the prior year. Approximately 8.9 percentage points of this decrease is due to the impact of the 14th week in 2022. Net revenue decreased 3.1% on a 13-week comparable basis. Fourth quarter revenue was negatively impacted by a $5.1 million international sales tax adjustment. Excluding this impact, net revenue decreased 10.9% on a reported basis and decreased 1.9% on a 13-week comparable basis.

 

Depletions in the fourth quarter declined 9%. Depletions on a 13-week comparable basis decreased 1% from the prior year, primarily due to declines in Truly Hard Seltzer, partially offset by increases in Twisted Tea and growth in Samuel Adams Non-Alcoholic styles and Dogfish Head Canned cocktails.

 

Shipment volume for the quarter was approximately 1.5 million barrels, a 12.2% decrease from the prior year. On a 13-week comparable basis, shipments decreased 3.5% in the fourth quarter.

 

The Company believes distributor inventory as of December 30, 2023 was at an appropriate level for each of its brands and averaged approximately four weeks on hand compared to five weeks on hand at the end of the third quarter.

 

As previously disclosed in the Company’s SEC Forms 10-K and 10-Q, before the decline in volumes related to hard seltzer in the second half of 2021, the Company entered into certain contractual agreements to access third party production capacity. These agreements continue to negatively impact the Company’s gross margins. The costs associated with these agreements include shortfall fees for not meeting contractual production minimums and third party production pre-payments that are being expensed over the estimated life of the related agreements.

 

Gross margin of 37.6% increased 60 basis points from the 37.0% margin realized in the prior year. Gross margin primarily benefited from price increases, procurement savings and lower inventory obsolescence partially offset by inflationary costs, higher third-party production shortfall fees and higher brewery processing costs per barrel due to lower volumes. The fourth quarter gross margin of 37.6% includes $6.5 million of

 


 

shortfall fees which negatively impacted gross margin by approximately 165 basis points on an absolute basis and non-cash expense of third-party production pre-payments of $5.6 million that negatively impacted gross margins by approximately 140 basis points on an absolute basis.

 

Advertising, promotional and selling expenses for the fourth quarter of 2023 decreased $10.6 million or 7.6% from the fourth quarter of 2022, due to decreased freight to distributors of $11.8 million from lower rates and volumes, partially offset by an increase in brand and selling costs of $1.2 million, mainly driven by increased media investments.

 

General and administrative expenses increased by $2.1 million or 5.1% from the fourth quarter of 2022, primarily due to higher salaries and benefits costs.

 

The Company incurred impairment costs for brewery equipment of $1.5 million in the fourth quarter of 2023 and $1.5 million in the fourth quarter of 2022.

 

The Company’s effective tax rate benefit for the fourth quarter was 18.3% compared to 25.8% in the prior year. The decrease in the tax benefit rate was primarily due to an increase in tax expense in the fourth quarter of 2023 related to non-deductible stock compensation of $3.5 million.

 

Full year 2023 (52 weeks ended December 30, 2023) Summary of Results

 

The 2023 full fiscal year included 52 weeks and is compared to the 2022 full fiscal year, which included 53 weeks.

 

Net revenue of $2.009 billion decreased 3.9% compared to full year 2022. Approximately 1.0 percentage points of this decrease is due to the impact of the 53rd week in 2022.

 

Depletions for the full year declined 6% with depletions on a 52-week comparable basis down 5% from full year 2022. These decreases were primarily due to declines in Truly Hard Seltzer and the Company’s beer portfolio which were partially offset by strong growth in Twisted Tea and growth in Truly Vodka Soda, Dogfish Head Canned Cocktails, and Samuel Adams Non Alcoholic offerings.

 

Shipment volume full year was approximately 7.7 million barrels, a 6.2% decrease from full year 2022. On a 52-week comparable basis, shipments decreased 5.2%.

 

As previously disclosed in the Company’s SEC Forms 10-K and 10-Q, before the decline in volumes related to hard seltzer in the second half of 2021, the Company entered certain contractual agreements to access third party production capacity. These agreements continue to negatively impact the Company’s gross margins. The costs associated with these agreements include shortfall fees for not meeting contractual production minimums and third party production pre-payments which are being expensed over the estimated life of the related agreements.

 

Gross margin of 42.4% increased from the 41.2% gross margin realized in full year 2022, with benefits from price increases, procurement savings and lower inventory obsolescence partially offset by inflationary costs, higher third-party production shortfall fees and higher brewery processing costs per barrel due to lower volumes. The full year gross margin of 42.4% includes $9.5 million of shortfall fees which negatively impacted

 


 

gross margin by approximately 45 basis points on an absolute basis and non-cash expense of third-party production pre-payments of $27.8 million which negatively impacted gross margins by approximately 140 basis points on an absolute basis.

 

Advertising, promotional and selling expenses decreased $22.4 million or 3.9% from full year 2022, primarily due to decreased freight to distributors of $50.9 million from lower rates and volumes, partially offset by an increase in brand investments of $28.5 million, mainly driven by higher investments in local marketing and media and increased salaries and benefits costs.

 

General and administrative expenses increased by $17.0 million or 10.8% from full year 2022, primarily due to increased consulting and increased salaries and benefits costs.

 

Impairment of intangible assets reflects a $16.4 million non-cash impairment charge recorded primarily for the Dogfish Head brand, taken as a result of the Company’s annual impairment analysis as of September 1, 2023. The impairment determination was primarily based on the latest forecasts of brand performance which have been below the Company’s projections made on the acquisition date. In the third quarter of 2022, the Company recorded an impairment charge of $27.1 million for the Dogfish Head brand.

 

The Company incurred impairment costs for brewery equipment of $5.4 million in full year 2023 and $2.8 million in full year 2022.

 

In 2022, the Company recorded $5.4 million in contract termination costs, most of which was recorded in the first quarter, as a result of further negotiations with suppliers that eliminated certain future shortfall fees.

 

The Company’s effective tax rate for the full year 2023 was 30.4% compared to 26.4% in the prior full year. The increase in the effective tax rate was mainly due to increase in tax expense in the fourth quarter of 2023 related to non-deductible stock compensation of $3.5 million.

 

Net income of $76.3 million or $6.21 per diluted share, represented an increase of $9.0 million or $0.77 per diluted share compared to full year 2022. This increase between periods was primarily driven by higher gross margins, lower operating expenses and lower impairment, partially offset by lower revenue and a higher tax rate.

 

The Company expects that its December 30, 2023 cash balance of $298.5 million, together with its projected future operating cash flows and the unused balance on its $150.0 million line of credit, will be sufficient to fund future cash requirements.

 

During the 52-week period ended December 30, 2023 and the period from January 2, 2024 through February 23, 2024, the Company repurchased shares of its outstanding Class A Common Stock in the amounts of $92.9 million and $35.6 million, respectively, for a total of $128.5 million of repurchases since the beginning of the Company’s 2023 fiscal year. As of February 23, 2024, the Company had approximately $230 million remaining on the $1.2 billion share buyback expenditure limit set by the Board of Directors.

 

Depletions Estimate

 

 


 

Year-to-date depletions through the 8-week period ended February 24, 2024 are estimated by the Company to have decreased approximately 2% from the prior year comparable period.

 

Full Year 2024 Projections

 

The Company’s actual 2024 results could vary significantly from the current projection and are highly sensitive to changes in volume and supply chain performance as well as inflationary impacts. The 2024 and 2023 fiscal years both include 52 weeks.

 

Full Year 2024

Guidance

Depletions and Shipments Percentage Change

Down low single digit to up low single digit

Price Increases

1% to 2%

Gross Margin

43% to 45%

Advertising, Promotion, and Selling Expense Year Over Year Change ($ million)

($5) to $15

Effective Tax Rate

27.5%

GAAP EPS

$7.00 to $11.00

Capital Spending ($ million)

$90 to $110

 

Underlying the Company’s current 2024 projection are the following full-year estimates and targets:

 

During full year 2024, the Company estimates shortfall fees will negatively impact gross margin by 50 to 75 basis points and non-cash expense of third-party production pre-payments will negatively impact gross margins by 125 to 150 basis points
The advertising, selling and promotional expense projection does not include any changes in freight costs for the shipment of products to the Company’s distributors
The Company’s business is seasonal, with the first quarter and fourth quarter being lower volume quarters and the fourth quarter typically the lowest absolute gross margin rate of the year

 

Use of Non-GAAP Measures

 

Non-GAAP EPS is not a defined term under U.S. generally accepted accounting principles (“GAAP”). Non-GAAP EPS, or Non-GAAP earnings per diluted share, excludes from projected GAAP EPS the impact of the non-cash asset impairment charge of $16.4 million, or $0.96 per diluted share, recognized in the third quarter of fiscal 2023 relating primarily to the Dogfish Head brand. This non-GAAP measure should not be considered in isolation or as a substitute for diluted earnings per share prepared in accordance with GAAP, and may not be comparable to calculations of similarly titled measures by other companies. Management uses this non-GAAP financial measure to make operating and strategic decisions and to evaluate the Company’s underlying business performance. Management believes this forward-looking non-GAAP measure provides meaningful and useful information to investors and analysts regarding the Company’s outlook for its ongoing financial and business performance or trends and facilitates period to period comparisons of its forecasted financial performance.

Forward-Looking Statements

 

 


 

Statements made in this press release that state the Company’s or management’s intentions, hopes, beliefs, expectations or predictions of the future are forward-looking statements. It is important to note that the Company’s actual results could differ materially from those projected in such forward-looking statements. Additional information concerning factors that could cause actual results to differ materially from those in the forward-looking statements is contained from time to time in the Company’s SEC filings, including, but not limited to, the Company’s report on Form 10-K for the year ended December 30, 2023 and subsequent reports filed by the Company with the SEC on Forms 10-Q and 8-K. Copies of these documents are available from the SEC and may be found on the Company’s website, www.bostonbeer.com. You should not place undue reliance on forward-looking statements, which speak only as of the date they are made. The Company undertakes no obligation to publicly update or revise any forward-looking statements.

 

About the Company

 

The Boston Beer Company, Inc. (NYSE: SAM) began in 1984 brewing Samuel Adams beer and has since grown to become one of the largest and most respected craft brewers in the United States. We consistently offer the highest-quality products to our drinkers, and we apply what we’ve learned from making great-tasting craft beer to making great-tasting and innovative “beyond beer” products. Boston Beer Company has pioneered not only craft beer but also hard cider, hard seltzer and hard tea. Our core brands include household names like Angry Orchard Hard Cider, Dogfish Head, Truly Hard Seltzer, Twisted Tea Hard Iced Tea, and Samuel Adams. We have taprooms and hospitality locations in California, Delaware, Massachusetts, New York and Ohio. For more information, please visit our website at www.bostonbeer.com, which includes links to our respective brand websites.

 

Tuesday, February 27, 2024

 


 

THE BOSTON BEER COMPANY, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(in thousands, except per share data)

 

(unaudited)

 

 

 

December 30,

 

December 31,

 

December 30,

 

December 31,

 

2023 (13 weeks)

 

2022 (14 weeks)

 

2023 (52 weeks)

 

2022 (53 weeks)

Barrels sold

1,503

 

1,712

 

7,678

 

8,183

Revenue

$417,409

 

$476,025

 

$2,133,292

 

$2,222,667

Less excise taxes

23,687

 

28,500

 

124,667

 

132,333

      Net revenue

393,722

 

447,525

 

2,008,625

 

2,090,334

Cost of goods sold

245,826

 

282,012

 

1,156,256

 

1,228,348

      Gross profit

147,896

 

165,513

 

852,369

 

861,986

Operating expenses:

 

 

 

 

 

 

 

Advertising, promotional, and selling expenses

128,629

 

139,185

 

555,998

 

578,400

General and administrative expenses

43,714

 

41,605

 

174,548

 

157,534

Impairment of intangible asset

-

 

-

 

16,426

 

27,100

Impairment of brewery assets

1,480

 

1,480

 

5,396

 

2,782

Contract termination costs and other

-

 

49

 

 

5,379

Total operating expenses

173,823

 

182,319

 

752,368

 

771,195

Operating (loss) income

(25,927)

 

(16,806)

 

100,001

 

90,791

Other income (expense), net:

 

 

 

 

 

 

 

Interest income (expense), net

4,018

 

1,752

 

10,995

 

2,561

Other expense, net

(271)

 

(324)

 

(1,408)

 

(1,916)

Total other income (expense), net

3,747

 

1,428

 

9,587

 

645

(Loss) income before income tax (benefit) provision

(22,180)

 

(15,378)

 

109,588

 

91,436

Income tax (benefit) provision

(4,056)

 

(3,961)

 

33,338

 

24,173

Net (loss) income

$(18,124)

 

$(11,417)

 

$76,250

 

$67,263

 

 

 

 

 

 

 

Net (loss) income per common share - basic

$(1.49)

 

$(0.93)

 

$6.23

 

$5.46

Net (loss) income per common share - diluted

$(1.49)

 

$(0.93)

 

$6.21

 

$5.44

 

 

 

 

 

 

 

Weighted-average number of common shares - basic

12,166

 

12,329

 

12,243

 

12,317

Weighted-average number of common shares - diluted

12,166

 

12,329

 

12,258

 

12,345

 

 

 

 

 

 

 

Net (loss) income

$(18,124)

 

$(11,417)

 

$76,250

 

$67,263

Other comprehensive income (loss), net of tax:

 

 

 

 

 

 

 

      Currency translation adjustment

166

 

6

 

166

 

(269)

      Defined benefit plans liability adjustment

(13)

 

90

 

(13)

 

253

Total other comprehensive income (loss), net of tax:

153

 

96

 

153

 

(16)

Comprehensive (loss) income

$(17,971)

 

$(11,321)

 

$76,403

 

$67,247

 

 


 

THE BOSTON BEER COMPANY, INC. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

(in thousands, except share data)

 

 

(unaudited)

 

 

 

 

 

 

 

December 30,

 

 

December 31,

 

 

 

 

2023

 

 

2022

 

 

Assets

 

 

 

 

 

 

 

Current Assets:

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

298,491

 

 

$

180,560

 

 

Accounts receivable

 

 

66,997

 

 

 

56,672

 

 

Inventories

 

 

115,773

 

 

 

148,450

 

 

Prepaid expenses and other current assets

 

 

20,538

 

 

 

27,461

 

 

Income tax receivable

 

 

1,711

 

 

 

10,126

 

 

Total current assets

 

 

503,510

 

 

 

423,269

 

 

Property, plant, and equipment, net

 

 

642,509

 

 

 

667,909

 

 

Operating right-of-use assets

 

 

35,559

 

 

 

43,768

 

 

Goodwill

 

 

112,529

 

 

 

112,529

 

 

Intangible assets

 

 

59,644

 

 

 

76,324

 

 

Third-party production prepayments

 

 

33,581

 

 

 

61,339

 

 

Other assets

 

 

42,661

 

 

 

35,635

 

 

Total assets

 

$

1,429,993

 

 

$

1,420,773

 

 

Liabilities and Stockholders' Equity

 

 

 

 

 

 

 

Current Liabilities:

 

 

 

 

 

 

 

Accounts payable

 

$

87,245

 

 

$

84,248

 

 

Accrued expenses and other current liabilities

 

 

126,930

 

 

 

111,153

 

 

Current operating lease liabilities

 

 

9,113

 

 

 

8,866

 

 

Total current liabilities

 

 

223,288

 

 

 

204,267

 

 

Deferred income taxes, net

 

 

85,721

 

 

 

96,592

 

 

Non-current operating lease liabilities

 

 

36,161

 

 

 

45,274

 

 

Other liabilities

 

 

6,894

 

 

 

6,091

 

 

Total liabilities

 

 

352,064

 

 

 

352,224

 

 

Stockholders' Equity:

 

 

 

 

 

 

 

Class A Common Stock, $0.01 par value; 22,700,000 shares authorized; 10,033,303
   and 10,238,009 issued and outstanding as of December 30, 2023 and
   December 31, 2022, respectively

 

 

100

 

 

 

102

 

 

Class B Common Stock, $0.01 par value; 4,200,000 shares authorized; 2,068,000
   issued and outstanding at December 30, 2023 and December 31, 2022

 

 

21

 

 

 

21

 

 

Additional paid-in capital

 

 

656,297

 

 

 

629,515

 

 

Accumulated other comprehensive loss

 

 

(57

)

 

 

(210

)

 

Retained earnings

 

 

421,568

 

 

 

439,121

 

 

Total stockholders' equity

 

 

1,077,929

 

 

 

1,068,549

 

 

Total liabilities and stockholders' equity

 

$

1,429,993

 

 

$

1,420,773

 

 

 

 

 

 

 

 

 

 

 

 


 

THE BOSTON BEER COMPANY, INC. AND SUBSIDIARIES

 

CONSOLIDATED STATEMENTS OF CASH FLOWS

 

(in thousands)

 

 

 

(unaudited)

 

 

 

 

 

 

December 30,

 

 

December 31,

 

 

 

2023 (52 weeks)

 

 

2022 (53 weeks)

 

Cash flows provided by operating activities:

 

 

 

 

 

 

Net income

 

$

76,250

 

 

$

67,263

 

Adjustments to reconcile net income to net cash provided by operating activities:

 

 

 

 

 

 

Depreciation and amortization

 

 

88,141

 

 

 

81,356

 

Impairment of intangible asset

 

 

16,426

 

 

 

27,100

 

Impairment of brewery assets

 

 

5,396

 

 

 

2,782

 

Change in right-of-use assets

 

 

7,678

 

 

 

7,972

 

Stock-based compensation expense

 

 

16,971

 

 

 

13,988

 

Deferred income taxes

 

 

(10,871

)

 

 

9,097

 

Other non-cash expense

 

 

224

 

 

 

89

 

Changes in operating assets and liabilities:

 

 

 

 

 

 

Accounts receivable

 

 

(10,340

)

 

 

(2,042

)

Inventories

 

 

31,500

 

 

 

131

 

Prepaid expenses, income tax receivable, and other current assets

 

 

13,979

 

 

 

38,652

 

Third-party production prepayments

 

 

27,758

 

 

 

26,955

 

Other assets

 

 

(5,849

)

 

 

(14,031

)

Accounts payable

 

 

2,763

 

 

 

(2,219

)

Accrued expenses, other current liabilities, and other liabilities

 

 

13,884

 

 

 

(50,632

)

Operating lease liabilities

 

 

(8,759

)

 

 

(6,516

)

Net cash provided by operating activities

 

 

265,151

 

 

 

199,945

 

Cash flows used in investing activities:

 

 

 

 

 

 

Purchases of property, plant, and equipment

 

 

(64,087

)

 

 

(90,582

)

Proceeds from sale of property, plant, and equipment

 

 

1,709

 

 

 

2,076

 

Net cash used in investing activities

 

 

(62,378

)

 

 

(88,506

)

Cash flows (used in) provided by financing activities:

 

 

 

 

 

 

Repurchases and retirement of Class A common stock

 

 

(92,877

)

 

 

 

Proceeds from exercise of stock options and sale of investment shares

 

 

11,723

 

 

 

7,946

 

Net cash paid on finance leases and notes payable

 

 

(1,575

)

 

 

(1,672

)

Payment of tax withholding on stock-based payment awards and investment shares

 

 

(2,113

)

 

 

(3,474

)

Line of credit borrowings

 

 

 

 

 

30,000

 

Line of credit repayments

 

 

 

 

 

(30,000

)

Net cash (used in) provided by financing activities

 

 

(84,842

)

 

 

2,800

 

Change in cash and cash equivalents

 

 

117,931

 

 

 

114,239

 

Cash and cash equivalents and restricted cash at beginning of period

 

 

180,560

 

 

 

66,321

 

Cash and cash equivalents and restricted cash at end of period

 

$

298,491

 

 

$

180,560

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Copies of The Boston Beer Company's press releases, including quarterly financial results,

 

are available on the Internet at www.bostonbeer.com