The company cut its forecast for full-year earnings.
Boston Beer said it was considering price increases this year or early next year because of higher costs related to the latest barley crop.BOSTON — Boston Beer Co., which brews Samuel Adams beer, cut its forecast for full-year earnings and said Tuesday that it might raise prices later this year.
The company said it expects 2011 earnings of between $3.20 and $3.60 per share, down from an earlier forecast of $3.45 to $3.95 per share. Analysts were expecting $3.56 per share.
The shares fell in after-hours trading.
The news about prices and full-year earnings came as Boston Beer released second-quarter results that fell short of analysts' expectations.
Net income rose to $28 million, or $2.01 per share, compared with $16.3 million, or $1.13 per share, from a year earlier.
But nearly half the income came from a recall-related settlement. Without that item, the company would have earned $1.09 per share. Analysts, who usually exclude items, had expected $1.18 per share, according to a FactSet survey.
Revenue rose to $146 million from $141.2 million a year ago, mostly on higher volume. Advertising and promotional costs rose by $5.4 million.
Craft brews such as Samuel Adams and Sierra Nevada have challenged the bigger brewers' domination of the beer business, and Boston Beer said it was still seeing expanded distribution for specialty and craft brands.
Boston Beer said it was considering price increases this year or early next year because of higher costs related to the latest barley crop. It didn't break out how much the price of a six-pack might rise.
The shares fell $1.23 to close at $88.69. After the financial results were released, they plunged $6.80, or 7.7 percent, to $81.89 after more than an hour of extended trading.