Core Concept - Truly Hard Seltzer is launching an open casting call for a reality TV miniseries titled Truly Unscripted: Spring Break, offering one friend group an all-expenses-paid getaway to star in their own show [2][3]. Group 1: Casting Call Details - The casting call invites friend groups nationwide to submit their applications, explaining why they deserve to be featured and what drama they can bring [3]. - The winning group will enjoy a weekend at a beach house in Florida from April 16 to 19, with a full production crew documenting their experience [3]. - The resulting miniseries will be released as a three-part series on YouTube, showcasing the group's adventures [3]. Group 2: Promotion and Marketing - Reality TV star JaNa Craig is partnering with Truly to promote the casting call, leveraging her experience to engage potential participants [4]. - Matt Withington, senior director of marketing at Truly, emphasizes the synergy between Truly, spring break, and friend groups, suggesting that the combination will yield entertaining content [5]. - Participants are encouraged to share their casting videos on social media platforms like TikTok and Instagram using the hashtag TrulyUnscripted [11]. Group 3: Product Offerings - Truly is promoting its Party Pack and the new Truly Paradise Pack, which includes various flavors aimed at enhancing the spring break experience [5]. - The Party Pack features flavors such as Citrus Squeeze, Pineapple, Watermelon, and Raspberry, while the Paradise Pack includes Mango Tango, Pineapple Plunge, Blood Orange Breeze, and Passionfruit Orange Guava [5]. Group 4: Company Background - Truly Hard Seltzer, established in 2016, is recognized as a pioneer in the hard seltzer category, focusing on providing innovative and enjoyable alcoholic beverages [7]. - The brand aims to cater to diverse consumer preferences with a range of flavors and styles, including high-ABV options and seasonal releases [7]. Group 5: Parent Company Information - The Boston Beer Company, founded in 1984, is a major player in the craft brewing industry, known for its high-quality products and innovation in various beverage categories, including hard seltzer [8]. - The company has a portfolio that includes well-known brands such as Samuel Adams, Angry Orchard, and Dogfish Head, and operates taprooms in several states [8].

Core Concept - Truly Hard Seltzer is launching an open casting call for a reality TV miniseries titled "Truly Unscripted: Spring Break," allowing one friend group to star in their own show with a weekend getaway and full production crew [1][2]. Group 1: Casting Call Details - Friend groups can submit their applications explaining why they deserve to be featured, with the winning group receiving an all-expenses-paid trip to a beach house in Florida from April 16 to 19 [2]. - The weekend will be filmed and turned into a three-part miniseries to be released on YouTube, showcasing the group's experiences [2][4]. Group 2: Promotion and Engagement - Reality TV star JaNa Craig is involved in promoting the casting call, aiming to inspire friend groups to participate [3][4]. - Participants are encouraged to share videos on TikTok or Instagram using the hashtag TrulyUnscripted, with finalists receiving callbacks for the final selection [8]. Group 3: Product Promotion - Truly Hard Seltzer is promoting its Party Pack and the new Truly Paradise Pack, which includes various flavors, as part of the spring break experience [4]. - The brand emphasizes its innovative approach to alcoholic beverages, catering to diverse consumer preferences with a range of flavors and styles [6]. Group 4: Company Background - Truly Hard Seltzer, launched in 2016, is a leading brand in the hard seltzer category, known for its great-tasting and sessionable alcoholic beverages [6]. - The Boston Beer Company, the parent company of Truly, has a long history in the craft brewing industry and is recognized for its quality products across various beverage categories [7].

Group 1 - The Boston Beer Company, Inc. (SAM) is expanding its Sinless Vodka Cocktails from three test markets to 34 states, featuring a 5% ABV vodka base with 100 calories, no sugar or carbs, and available in various flavors [1] - In the fourth quarter, the company reported net revenue of $385.7 million, a decrease from $402.3 million, and a loss of $22.5 million or $2.12 per share, compared to a $38.8 million loss the previous year [2] - The company experienced a tariff impact of $3.6 million and a 6% decline in depletions, primarily due to drops in sales of Truly Hard Seltzer, Samuel Adams, and Twisted Tea [2] Group 2 - The Boston Beer Company's anticipated earnings per share for 2026 are projected to be between $8.50 and $11.00, with depletions expected to be in the low to mid-single digits and a pricing increase of 1% to 2% [2] - The company produces and sells a variety of alcoholic beverages, including brands such as Truly Hard Seltzer, Twisted Tea, Samuel Adams, Angry Orchard, Sun Cruiser, and Dogfish Head Craft Brewery [3]

Core Insights - Samuel Adams has opened applications for the 15th annual Brewing & Business Experienceship, aimed at supporting emerging craft brewers across the nation [1][4] - The Experienceship offers mentorship, industry expertise, and resources to help one selected brewer grow their business [1][3] - The program includes collaboration opportunities with the Samuel Adams team to create a limited-edition beer, enhancing the craft and creativity of the brewing process [2] Program Details - The Brewing & Business Experienceship was established in 2012 to help break down barriers in the brewing industry, supporting brewers from diverse backgrounds [3] - Applications for this year's program are open until March 20, 2026, with finalists invited to the Crafting Dreams Beer Bash in NYC [4] - The program has provided nearly 4,500 loans totaling approximately $121 million to food and beverage entrepreneurs since 2008, creating or retaining nearly 12,200 jobs [6] Company Background - The Boston Beer Company, founded in 1984, is one of the largest craft brewers in the U.S., known for its high-quality products and innovation in various beverage categories [7] - The company has expanded its offerings beyond craft beer to include hard cider, hard seltzer, and hard tea, with well-known brands like Angry Orchard and Truly Hard Seltzer [7]

Core Insights - Boston Beer Company, Inc. (SAM) reported a narrower loss per share of $2.12 in Q4 2025, better than the Zacks Consensus Estimate of a loss of $2.33, but both top and bottom lines declined year over year [1][10] Financial Performance - Revenues for the quarter were $409 million, with net revenues of $385.7 million, reflecting a 4.1% decline from the prior year due to reduced volumes, partially offset by higher pricing and a favorable product mix [2] - Shipment volume decreased by 7.5% year over year to approximately 1.4 million barrels, primarily due to declines in Twisted Tea, Truly Hard Seltzer, and Samuel Adams brands, although growth was seen in Sun Cruiser, Angry Orchard, and Dogfish Head brands [3] - Gross profit increased by 4.4% year over year to $167.7 million, with a gross margin expansion of 360 basis points to 43.5%, driven by brewery efficiencies and price increases, despite inflationary pressures and tariff costs [5] Expenses - Advertising, promotional, and selling expenses rose by 6% to $148 million, influenced by higher salaries, marketing investments, and increased freight costs [6] - General and administrative expenses increased by 9.4% year over year to $52.2 million, mainly due to higher salaries and benefits [6] Financial Position - As of December 27, 2025, Boston Beer had cash and cash equivalents of $223.4 million and total stockholders' equity of $846.3 million, with a $150 million line of credit available [7] Share Buyback - During the 52-week period ended December 27, 2025, the company repurchased shares worth $199.2 million, with approximately $214.7 million remaining on its $1.6 billion share buyback authorization as of February 20, 2026 [8] Future Expectations - For 2026, Boston Beer anticipates earnings per share in the range of $8.50 to $11, with gross margins projected at 48-50%, and tariff costs expected to impact margins by $20-$30 million [11][10] - Depletions and shipments are expected to remain flat to down mid-single digits for 2026, with price increases projected at 1-2% [12] - Management expects significant gross margin improvement in Q4 2026 as shortfall fees are anticipated to be lower than in 2025 [13]

Core Viewpoint - Boston Beer Co. has warned that its depletions and shipments may decline again in 2026, following a decrease in 2025, which has disappointed analysts [1][2] Group 1: Financial Performance - In the 12 months ending December 27, Boston Beer reported a net revenue decrease of 2.4% to $1.97 billion, primarily due to declines in Twisted Tea, Truly Hard Seltzer, and Samuel Adams brands [4] - Operating income increased significantly from just under $76 million in the 2024 financial year to $144.9 million, aided by a decline in the cost of goods sold and the absence of higher impairment charges [4] - Annual net income rose to $108.5 million compared to $59.7 million the previous year, although net income decreased by 2.5% when excluding non-cash brand impairment and contract settlement charges [5] Group 2: Future Projections - The company projects that depletions and shipments in 2026 will range from flat year-on-year to a decline in mid-single digits, following a 4% decrease in depletions and a 4.7% drop in shipments in 2025 [2][6] - Bernstein analysts noted that the consensus forecast among Wall Street analysts was for depletions and shipments to remain flat in 2026, while Bernstein itself had projected a 1.4% decline [6] Group 3: Strategic Focus - The company is focused on operational excellence, investing in its portfolio of iconic brands, developing a strong innovation pipeline, and executing multi-year productivity initiatives to improve performance and create long-term shareholder value [3]

Financial Data and Key Metrics Changes - In 2025, the company reported a revenue decrease of 2.4% year-over-year, driven by a 4.7% decline in shipments, although there was a positive price and mix contribution of 2.3 percentage points [23][24] - Gross margin expanded by 410 basis points to 48.5%, the highest since 2019, with an adjusted gross margin of 50% excluding certain costs [24] - Earnings per share (EPS) increased by 4.7% year-over-year to $9.89, despite a $61 million increase in advertising spend [24] Business Line Data and Key Metrics Changes - Depletions decreased by 6% in Q4 2025, with significant declines in Twisted Tea, Truly Hard Seltzer, and Samuel Adams, partially offset by growth in Sun Cruiser, Angry Orchard, and Dogfish Head [24][25] - Twisted Tea experienced a 6% decline in dollar sales for the full year 2025, while Sun Cruiser grew volumes over 300% from 2024 to 2025 [11][15] Market Data and Key Metrics Changes - The overall beer industry saw a 4% decline in depletions, aligning with the company's performance [5] - The beyond beer category, which includes hard tea and hard seltzers, has doubled in volume from 2019 to 2025, now representing 9% of total U.S. alcohol consumption [7] Company Strategy and Development Direction - The company aims to focus on brand investment, innovation, and local market execution to drive volume improvement and maintain market share [8][9] - Plans for 2026 include scaling Sun Cruiser, expanding distribution of Sinless Vodka Cocktails, and increasing advertising investments [9][10] Management's Comments on Operating Environment and Future Outlook - Management anticipates continued industry volume headwinds in 2026 due to economic uncertainty and moderation trends affecting demand [6][8] - The company remains optimistic about long-term growth opportunities in the beyond beer category, despite current challenges [6][7] Other Important Information - The company repurchased $200 million in shares in 2025 and ended the year with $223 million in cash and no debt [23][34] - Capital expenditures for 2026 are expected to be between $70 million and $90 million, primarily for brewery improvements [34] Q&A Session Summary Question: Can you discuss the gross margin outlook and inflation impacts? - Management noted that they do not hedge aluminum and expect some inflation, but not as severe as in the past [38][39] Question: What is the perspective on Twisted Tea's improvement? - Management indicated that pricing adjustments and local market support have contributed to Twisted Tea's better performance [46][48] Question: How is shelf space being managed in the current environment? - Management acknowledged some erosion of beer shelf space to RTDs but noted that overall beer shelf space remains stable [50][51] Question: What are the plans for Sun Cruiser in 2026? - Management expressed confidence in Sun Cruiser's growth and plans to increase distribution and marketing support [55][58] Question: Can you elaborate on the tariff impacts for 2026? - Management outlined that aluminum and other imports are significant contributors to tariff costs, with expectations for a phased impact throughout the year [72][73]

Financial Data and Key Metrics Changes - In 2025, the company reported a revenue decrease of 2.4% year-over-year, driven by a 4.7% decline in shipments, partially offset by a positive price and mix contribution of 2.3 percentage points [23][24] - Gross margin expanded by 410 basis points to 48.5%, the highest since 2019, with an EPS of $9.89, reflecting a 4.7% increase year-over-year [24][25] - Free cash flow for 2025 was $216 million, equating to $19.72 per share, allowing for a $200 million share repurchase [6][23] Business Line Data and Key Metrics Changes - Depletions decreased by 6% in Q4 2025, with significant declines in Twisted Tea, Truly Hard Seltzer, and Samuel Adams, while Sun Cruiser, Angry Orchard, and Dogfish Head showed growth [24][25] - Twisted Tea experienced a 6% decline in dollar sales for the full year 2025, despite gaining distribution [11][24] - Sun Cruiser grew volumes over 300% from 2024 to 2025, becoming a top 5 RTD Spirits brand [15][19] Market Data and Key Metrics Changes - The overall beer industry saw a 4% decline in depletions, aligning with the company's performance [5][24] - The beyond beer category, which includes hard tea and hard seltzers, has doubled in volume from 2019 to 2025, now representing 9% of total U.S. alcohol consumption [7][19] - The hard seltzer category declined by 5% in dollars in 2025, as consumer preferences shifted towards premium RTD spirits-based beverages [17] Company Strategy and Development Direction - The company aims to maintain or grow market share while investing in brand support and innovation, particularly in the beyond beer category [8][9] - Plans for 2026 include increased advertising investment, local market activation, and the scaling of successful products like Sun Cruiser and Sinless Vodka Cocktails [9][10] - The company is focused on margin-accretive innovation and productivity improvements to enhance profitability [10][29] Management's Comments on Operating Environment and Future Outlook - Management anticipates continued industry volume headwinds in 2026 due to economic uncertainty and moderation trends affecting consumer demand [6][8] - The company expects 2026 depletions and shipments to be flat to down mid-single digits, with a focus on brand investment to drive future growth [30][31] - Management remains optimistic about long-term growth opportunities in the beyond beer category, despite current challenges [7][8] Other Important Information - The company ended 2025 with $223 million in cash and no debt, providing flexibility for future investments [23][34] - Capital expenditures for 2026 are expected to be between $70 million and $90 million, primarily for brewery improvements [34] Q&A Session Summary Question: Can you discuss the gross margin outlook and inflation impacts? - Management noted that they do not hedge aluminum and expect some inflation, but not as severe as in the past [38][39] Question: What is the outlook for Twisted Tea's performance? - Management indicated that improvements in Twisted Tea are due to strategic pricing adjustments and increased local market support [46][48] Question: How is shelf space being managed in the current market? - Management acknowledged some erosion of beer shelf space to RTDs but noted that overall beer shelf space remains stable [50][51] Question: What are the plans for Sun Cruiser in 2026? - Management expressed confidence in Sun Cruiser's growth and plans to increase distribution and marketing support [55][57]

Financial Data and Key Metrics Changes - In 2025, revenue decreased by 2.4% year-over-year, driven by a 4.7% decline in shipments, partially offset by a positive price and mix impact of 2.3 percentage points [23][24] - Gross margin expanded by 410 basis points to 48.5%, the highest since 2019, with a gross margin of 50% when excluding certain costs [24][25] - Earnings per share (EPS) increased by 4.7% year-over-year to $9.89, despite a $61 million increase in advertising spend [24][25] Business Line Data and Key Metrics Changes - Depletions decreased by 6% in Q4 2025, with significant declines in Twisted Tea, Truly Hard Seltzer, and Samuel Adams, while Sun Cruiser, Angry Orchard, and Dogfish Head showed growth [24][25] - Twisted Tea experienced a 6% decline in dollar sales for the full year 2025, despite gaining distribution [11][24] - Sun Cruiser grew volumes over 300% from 2024 to 2025, becoming a top 5 RTD Spirits brand [6][15] Market Data and Key Metrics Changes - The overall beer industry saw a 4% decline in depletions, aligning with the company's performance [4][24] - The beyond beer category, which includes hard tea and hard seltzers, has doubled in volume from 2019 to 2025, now representing 9% of total U.S. alcohol consumption [6][11] - The hard seltzer category declined by 5% in dollars in 2025, as consumer preferences shifted towards premium RTD spirits [17][19] Company Strategy and Development Direction - The company aims to support its full portfolio of brands through increased advertising and local market execution investments, focusing on margin-accretive innovation [8][9] - Plans for 2026 include scaling Sun Cruiser and expanding distribution of Sinless Vodka Cocktails, alongside increased advertising investments [9][10] - The company is focused on maintaining or growing market share and investing behind brands to position for future growth [7][8] Management's Comments on Operating Environment and Future Outlook - Management expects continued industry volume headwinds in 2026 due to economic uncertainty and moderation trends affecting demand [5][7] - The company remains optimistic about long-term growth opportunities in the beyond beer category, despite current challenges [6][7] - Management is confident in operational plans for 2026, emphasizing brand investment and innovation capabilities [20][21] Other Important Information - The company reported free cash flow of $216 million in 2025, allowing for $200 million in share repurchases [5][23] - The company plans to increase capital expenditures to between $70 million and $90 million in 2026, primarily for brewery improvements [34] Q&A Session Summary Question: Can you discuss the gross margin outlook and inflation impacts? - Management noted that they do not hedge aluminum and expect some inflation, but not as much as in the past [37][38] Question: What is the perspective on year-to-date performance and category growth? - Management indicated that Twisted Tea's trends have improved, contributing to better overall category performance [39][40][41] Question: Can you elaborate on Twisted Tea's improvement and shelf space dynamics? - Management highlighted pricing adjustments and local market support as key factors in Twisted Tea's recovery, while noting some erosion of shelf space to RTDs [46][50] Question: What are the plans for Sun Cruiser in 2026? - Management expressed optimism for Sun Cruiser's continued growth and plans for increased distribution and marketing support [54][56][58]

Core Insights - The beverage landscape is evolving, with Anheuser-Busch InBev (AB InBev) and The Boston Beer Company (Boston Beer) as key competitors in the alcoholic beverage market, each adapting to changing consumer preferences [1][2] Group 1: AB InBev (BUD) - BUD dominates the brewing industry through an extensive sourcing and distribution network, focusing on premiumization, digital transformation, and brand equity investment [2] - Premiumization is a central growth strategy for BUD, with strong performances from premium and super-premium brands, despite flat growth in the above-core portfolio due to challenges in China [4][9] - BUD's digital platforms, including BEES and Zé Delivery, are crucial for customer engagement, generating $13.3 billion in gross merchandise value (GMV), with a year-over-year increase of 11% [5][6] - The company’s global operating model allows it to adapt to local market dynamics, with megabrand revenues increasing by 3% year over year, driven by strong consumer demand [7] - BUD is expanding its portfolio beyond traditional beer, targeting a year-over-year EBITDA growth of 4-8% in 2025 [8][9] - BUD's sales are projected to decrease by 1.3% in 2025, but earnings per share (EPS) are expected to grow by 3.1% [14] Group 2: Boston Beer (SAM) - Boston Beer has a strong craft heritage and is diversifying its portfolio to include hard seltzers, ciders, and flavored malt beverages, but faces challenges in the competitive craft beer market [10][12] - The Samuel Adams brand, while iconic, is struggling with competition and changing consumer preferences, prompting Boston Beer to focus on revitalization and cost-efficiency [11] - Boston Beer is experiencing a slowdown in the hard seltzer category, with management forecasting a negative impact from tariffs of $9-$13 million in 2025 [13] - Sales for Boston Beer are expected to decline by 2.4% in 2025, with a modest EPS growth of 0.7% [14] Group 3: Performance and Valuation Comparison - Over the past year, BUD has outperformed with a total return of 43.2%, compared to the industry growth of 10.8% and Boston Beer’s decline of 14.4% [17] - BUD trades at a forward price-to-earnings (P/E) multiple of 16.56X, slightly above the industry average, while Boston Beer trades at a higher multiple of 18.95X [19][20] - BUD's valuation reflects strong momentum in high-growth brands, while Boston Beer faces uncertainty due to ongoing challenges in the craft beer segment [21][25] Conclusion - AB InBev is positioned as a more compelling investment opportunity due to its strong stock performance, attractive valuation, and clear growth strategy, while Boston Beer presents a longer-term opportunity amid its diversification efforts [25][26][27]