logo-loader
viewCastle Brands Inc

Alcohol producer Castle Brands shares spike after fiscal 4Q revenue beat

The company brought in $26.9 million in revenue in the quarter, up 11% year-over-year from $24.1 million

Jefferson's Reserve bourbon
A primary driver of the strong results was the success of Jefferson’s bourbons, which saw case sales grow more than 20% in fiscal 2019

Castle Brands Inc (NYSEAMERICAN:ROX), the producer of alcohol brands including Jefferson’s Bourbon, posted fiscal fourth-quarter and full-year earnings early Monday that swung to a profit.

The New York Company brought in $26.9 million in revenue in the quarter, up 11% year-over-year from $24.1 million in the year-ago quarter. That was good enough to beat the consensus estimate of $26.3 million.

Shares spiked 27% above Friday’s close to $0.65 before settling in just 1.3% higher at $0.52 to end the Monday session.

READ: ROBO Global finds the AI technologies giving HBO's 'Westworld' so much whizbang are not all fiction

Net income in 4Q nearly quintupled to $1.7 million from $349,892 in the prior-year quarter. On a per share basis, earnings increased to $0.05 per share from flat.

For the year, revenue climbed 6.6% to $95.8 million from $89.9 million, just ahead of Street expectations of $95.2 million. Earnings swung to a $0.03 per share gain from a $0.01 loss.

A primary driver of the strong results was the success of Jefferson’s bourbons, which saw case sales grow more than 20% in fiscal 2019. Goslings Stormy Ginger Beer saw sales increase 6.4% and surpassed 2 million cases for the year.

"This was an outstanding year for Castle Brands,” CEO Richard Lampen said. “Continued growth of our more profitable brands, such as Jefferson's, Goslings and Knappogue Irish whiskey, resulted in continued growth in revenue and gross profit. Importantly, we reported positive net income per share for the fiscal year for the first time in the Company's history.”

Contact Andrew Kessel at [email protected]

Follow him on Twitter @andrew_kessel

Quick facts: Castle Brands Inc

Price: 1.26 USD

NYSEMKT:ROX
Market: NYSEMKT
Market Cap: $214.67 m
Follow

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events

NO INVESTMENT ADVICE

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...

FOR OUR FULL DISCLAIMER CLICK HERE

Watch

Buds & Duds: Cannabis stocks off to rocky start ahead of much-anticipated...

The North American Marijuana Index, which tracks the top cannabis stocks in the US and Canada, slipped 1.7% at 130.3 points. Elsewhere, the OTCQX Cannabis Index lost 0.4% at 469.8 points. Buds today were Aleafia Health Inc (TSE:ALEF) (OTCMKTS:ALEAF), CB2 Insights Inc (CSE:CBII)...

2 hours, 24 minutes ago

2 min read