Brown

By Will Feuer

Brown-Forman is scheduled to report results for the fiscal fourth quarter on Wednesday morning. Here's what you need to know:

--PROFIT: Analysts surveyed by FactSet expect the Louisville, Ky., maker of Jack Daniel's Tennessee Whiskey to post earnings of 41 cents a share for the quarter, which typically ends in April, up from 31 cents a share a year earlier. Adjusted earnings are expected to be 43 cents a share.

--REVENUE: Analysts expect the company to log revenue of $990.4 million, down from $996 million last year.

WHAT TO WATCH

--READY-TO-DRINK: Ready-to-drink and ready-to-pour cocktails were a source of growth for the spirits industry throughout the pandemic. Brown-Forman sells a few options in the category, including Jack Daniel's Ready to Drink, which it has sold for decades. Last year, the company launched a premium premixed cocktail brand called Up or Over. The company's quarterly readout will offer insight into the extent to which these brands are holding on to sales or whether people are returning to pre-pandemic behaviors.

--SUPPLY CHAIN: Brown-Forman's profit has been hurt by supply-chain challenges in recent quarter. Shortages of glass bottles has at times over the past three years limited the company's ability to stock shelves, and higher prices for commodities, energy, and fuel has dented margins.

--PREMIUM: Investors are looking to consumer companies for insight into how customers' spending levels are holding up amid stubbornly high inflation and rising interest rates. Brown-Forman's results will offer insight into how sales of premium offerings are holding up, compared with the lower-priced brands.

Write to Will Feuer at [email protected]

The Heartland Value Plus fund identifies under-the-radar companies, focusing on quality and dividends.

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