Brown-Forman (BFB) Barclays 19th Annual Global Consumer Conference summary

Strategic priorities and portfolio evolution

• Geographic expansion, especially for Jack Daniel's, has shifted sales from 80% U.S. to 60% international over 30 years.

• Innovation is now central, with successful launches like Jack Daniel's Blackberry and Heritage Barrel.

• Portfolio premiumization continues, with divestitures of lower-end brands and acquisitions of super and ultra-premium brands.

• Emerging brands and international opportunities, such as Woodford outside the U.S., are key growth drivers.

• M&A and strategic direction may evolve, but core focus on global expansion and innovation remains non-negotiable.

U.S. route-to-market and distributor landscape

• U.S. distribution changes prioritized focus and execution, improving trends and terms.

• Transition from RNDC allowed for better portfolio management and faster adaptation.

• Industry-wide distributor shakeup was disruptive but is largely complete, with stronger partners now in place.

• Blurring lines between beer, spirits, and non-alcoholic distributors are reshaping the landscape.

Cost discipline, investment, and organizational culture

• Recent restructuring and cost initiatives have positioned the company for disciplined, balanced growth.

• Emphasis on productivity for growth: cost savings are reinvested in innovation and emerging markets.

• Organizational culture supports long-term investment over short-term gains, prioritizing high-return areas.

• Brand investments are optimized for efficiency and effectiveness.