The Boston Beer Company, Inc. (SAM) SEC Filings & Earnings Calls

Ongoing supplier dispute litigation with $191.0M judgment and pre-judgment interest, plus post-judgment interest at 3.79%.

“Post-judgment interest expense through the appeals process will be applied to the combined pre-tax total of the judgment and pre-judgment interest amounts of $191.0 million at the statutory rate, which is estimated to be 3.79%.” · word for word

Consumer demand environment remains challenging with depletions down 5%.

“The demand environment remains challenging.” · word for word

Freight costs elevated due to higher transportation rates, labor constraints and higher fuel costs.

“Freight costs remain elevated due to higher transportation rates, labor constraints within the transportation industry and higher fuel costs.” · word for word

Litigation Liability

“Litigation expense. For the thirty-nine weeks ended September 26, 2026, the Company recorded non-recurring pre-tax litigation expense of $194.5 million, related to the supplier dispute, consisting of the judgment of $175.5 million, pre-judgment interest of $15.5 million and post-judgment interest expense of $3.5 million.” · word for word

Volume Decline

“Total shipment volume decreased by 5.4% to 5,448,000 barrels for the thirty-nine weeks ended September 26, 2026, as compared to 5,756,000 barrels for the thirty-nine weeks ended September 27, 2025”

Tariff Cost Pressure

“Based on the information currently available and tariff programs announced by the U.S. government, the Company estimates tariffs will have an unfavorable cost impact for the full year 2026 of approximately $18 million to $22 million.” · word for word

CFO Departure

“On August 20, 2026, the Company announced that Diego Reynoso had decided to step down from his role as Treasurer and Chief Financial Officer, effective September 15, 2026.” · word for word

CFO departure may create temporary leadership gap, but orderly transition and internal appointment mitigate risk.

“Diego Reynoso stepping down; interim CFO appointed with same compensation; formal search for permanent replacement.”

Ongoing volume declines in core brands; litigation over supplier dispute with potential $191M judgment plus interest; input cost headwinds from inflation and tariffs.

“Depletions down 6%; supplier dispute litigation with $191M judgment; inflationary, commodity and tariff costs.”

Litigation liability

“For the twenty-six weeks ended June, 27, 2026, the Company recorded non-recurring pre-tax litigation expense of $192.6 million, related to the supplier dispute, consists of the judgement of $175.5 million, pre-judgement interest of $15.5 million and post-judgement interest expense of $1.7 million.” · word for word

Tariff cost pressure

“Based on the information currently available and tariff programs announced by the U.S. government, the Company estimates tariffs will have an unfavorable cost impact for the full year 2026 of approximately $20 million to $30 million.” · word for word

Volume decline

“Total shipment volume decreased by 4.5% to 2,047,000 barrels for the thirteen weeks ended June 27, 2026, as compared to 2,144,000 barrels for the thirteen weeks ended June 28, 2025.” · word for word

Material litigation loss of $191M, though partially offset by $21M interest reduction; appeal pending.

“The Company continues to deny that it breached the terms of the contract with Ardagh and intends to pursue all available posttrial motions and appellate remedies.”

Litigation liability

“During the first quarter of 2026 the Company recorded a pre-tax non-recurring litigation expense of $175.5 million and related pre-judgement interest expense of $36.5 million resulting from a verdict entered on April 6, 2026 awarding damages to a supplier.” · word for word

Tariff cost pressure

“the Company estimates tariffs will have an unfavorable cost impact for the full year 2026 of approximately $20 million to $30 million.” · word for word

Litigation liability: $175.5M damages awarded to supplier plus up to $36.5M pre-judgment interest; company intends to appeal but payment may be required.

“recorded a previously announced non-recurring pre-tax litigation expense of $175.5 million and related pre-judgement interest expense of $36.5 million resulting from a verdict entered on April 6, 2026 awarding damages to a supplier.” · word for word

Volume decline: depletions -4%, shipments -6.9%; portfolio not yet matching category improvement.

“Depletions decreased 4% and shipments decreased 6.9%” · word for word

Tariff and commodity cost headwinds pressuring margins; guidance narrowed reflecting more challenging cost environment.

“We continue to deliver strong gross margin performance and expect our savings agenda to help mitigate tariff and commodity headwinds as we move through the year.” · word for word

Depletions decline risk

“Depletions (sales by our wholesalers to retailers) decreased by 4% from the fiscal period ended December 28, 2024 (“Fiscal Year 2024”)” · word for word

Category headwinds

“the Committee and the Board considered the Company’s performance in the context of the unprecedented 4% depletions decline in the beer category” · word for word

CEO transition risk

“In August 2025, Michael Spillane stepped down from his role as President and CEO for personal reasons ... Chairman and Founder C. James Koch assumed the position of President and CEO effective August 15, 2025.” · word for word

Litigation liability from adverse jury verdict

“Jury verdict of ~$175.5M against company; company will record one-time expense; intends to appeal but outcome uncertain”

Volume decline risk

“Total shipment volume of 7,140,000 barrels for the year ended December 27, 2025 decreased by 4.7% over 2024 levels” · word for word

Shortfall fee exposure

“At current volume projections, the Company anticipates that it will recognize approximately $19 million of shortfall fees in future years” · word for word

Tariff cost pressure

“Inflationary impacts of $36.8 million consist primarily of increased raw material costs of $30.5 million, inclusive of $10.1 million impact from tariffs” · word for word

Volume decline across core brands; tariff cost headwind

“Depletions decreased 6% in Q4; tariff impact $3.6M in Q4 and $10.1M for full year”

Loss of marketing leadership could impact brand strategy

“CMO departure with advisory role through Sep 2026; transition risk.”

Key HR leadership transition, but orderly and internal; low disruption risk.

“Departure not related to any disagreement; internal appointment ensures continuity.”