Slide 1: First Quarter of Fiscal 2026
First Quarter of Fiscal 2026 August 28, 2025
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation contains statements, estimates, and projections that are “forward-looking statements” as defined under U.S. federal securities laws. Words such as “aim,” “ambition,” “anticipate,” “aspire,” “believe,” “can,” “continue,” “could,” “envision,” “estimate,” “e
Slide 3: Highlights: First Quarter of Fiscal 2026
Highlights: First Quarter of Fiscal 2026 (3)% (+1% organic1) 59.8% GEOGRAPHY Growth from Emerging International markets and the Net sales 40 basis points of Travel Retail channel was more than offset by declines in declined Developed International markets and the U.S. gross margin expansion (7)% (+2
Slide 4: First Quarter of Fiscal 2026 Results
First Quarter of Fiscal 2026 Results Reported Reported Acquisitions Other Foreign Organic ($ in millions, Change & Items1 Exchange Change2 except per (%) Divestitures (+/-) (+/-) (%) share amount) (+/-) Net Sales $924 (3)% 3% —% —% 1% Gross Profit $552 (2)% (1)% —% 1% (2)% Advertising Expense $120 (
Slide 5: Net Sales Across Categories
Net Sales Across Categories Reported REPORTEDQ1 F26 Q1 F25 Organic 1 ORGANIC1 Q1 F26 Q1 F25 —% —% WHISKEY Whiskey WHISKEYWhiskey (5)% (3)% Jack Daniel’s (4)% (4)% JACK DANIEL’S TENNESSEE WHISKEY Tennessee Jack Daniel’s... JACK DANIEL’S TENNESSEE WHISKEY (8)% (6)% Whiskey (2)% Woodford (1)% WOODFORD
Slide 6: Net Sales Across Geographic Aggregations
Net Sales Across Geographic Aggregations Q1 F26 Q1 F25 Q1 F26 Q1 F25 U.S. DEVELOPED INTERNATIONAL REPORTED CHANGE ORGANIC CHANGE1 REPORTED CHANGE ORGANIC CHANGE1 (2)% (4)% (5)% (6)% (8)% (8)% (9)% (9)% EMERGING TRAVEL RETAIL REPORTED CHANGE ORGANIC CHANGE1 REPORTED CHANGE ORGANIC CHANGE1 25% 20% 8%
Slide 7: Gross Margin
Gross Margin Gross Margin Expansion 2.4% of 40 Basis Points Gross margin expansion driven by the positive effect of (0.5)% acquisitions and divestitures, partially offset by higher costs, (0.5)% 59.8% unfavorable price/mix, and the negative effect of foreign 59.4% exchange. (0.9)% Q1 F25 Acquisition
Slide 8: Fiscal 2026 Outlook
Fiscal 2026 Outlook Organic1 net sales Organic1 operating Capital expenditures Effective tax rate to be in decline in the income decline in the to be in the range of the range of approximately low-single digit range. low-single digit range. $125 to $135 million. 21% to 23%. 1 See appendix for Non-GA
Slide 9: Appendix
Appendix The Source of Our S T R E N G T H 9
Slide 10: Non-GAAP Financial Measures and Reconciliation: Q1 F26 vs. Q1 F25
Non-GAAP Financial Measures and Reconciliation: Q1 F26 vs. Q1 F25 Use of Non-GAAP Financial Information. We report our financial results in accordance with U.S. generally accepted accounting principles (GAAP). Additionally, we use some financial measures in this this presentation that are not measur
Slide 11: Non-GAAP Financial Measures and Reconciliation: Q1 F26 vs. Q1 F25 (cont.)
Non-GAAP Financial Measures and Reconciliation: Q1 F26 vs. Q1 F25 (cont.) • “Foreign exchange.” We calculate the percentage change in certain line items of the statements of operations in accordance with GAAP and adjust to exclude the cost or benefit of currency fluctuations. Adjusting for foreign e
Slide 12: Non-GAAP Financial Measures and Reconciliation: Q1 F25 vs. Q1 F24
Non-GAAP Financial Measures and Reconciliation: Q1 F25 vs. Q1 F24 Use of Non-GAAP Financial Information. We report our financial results in accordance with U.S. generally accepted accounting principles (GAAP). Additionally, we use some financial measures in this this presentation that are not measur
Slide 13: Non-GAAP Financial Measures and Reconciliation: Q1 F25 vs. Q1 F24 (cont.)
Non-GAAP Financial Measures and Reconciliation: Q1 F25 vs. Q1 F24 (cont.) We use the non-GAAP measure “organic change,” along with other metrics, to: (a) understand our performance from period to period on a consistent basis; (b) compare our performance to that of our competitors; (c) calculate comp
Slide 14: Definitions
Definitions From time to time, to explain our results of operations or to highlight trends and uncertainties affecting our business, we aggregate markets according to stage of economic development as defined by the International Monetary Fund (IMF), and we aggregate brands by beverage alcohol catego
Slide 15: Definitions (continued)
Definitions (continued) • “Ready-to-Drink” includes all ready-to-drink (RTD) and ready-to-pour (RTP) products. The brands included in this category are Jack Daniel’s RTD and RTP products (JD RTD/RTP), New Mix, and other RTD/RTP products. • “Jack Daniel’s RTD/RTP” products include all RTD line extens
Slide 16: Definitions (continued)
Definitions (continued) Other Metrics. • “Shipments.” We generally record revenues when we ship or deliver our products to our customers. In this presentation, unless otherwise specified, we refer to shipments when discussing volume. • “Depletions.” This metric is commonly used in the beverage alcoh
Slide 17: First Quarter of Fiscal 2026 Reconciliation
First Quarter of Fiscal 2026 Reconciliation Three months ended July 31, 2025 Acquisitions & Foreign Exchange Reported Other Items1 (+/-) Organic Divestitures (+/-) (+/-) Net Sales (3)% 3% —% —% 1% Gross Profit (2)% (1)% —% 1% (2)% Operating Expenses 2 3% (3)% (3)% (2)% (5)% Advertising Expense (4)%
Slide 18: Brand Reconciliation First Quarter of Fiscal 2026 Net Sales Growth
Brand Reconciliation First Quarter of Fiscal 2026 Net Sales Growth Three months ended July 31, 2025 Acquisitions & Foreign Exchange Reported Other Items1 (+/-) Organic Divestitures (+/-) (+/-) Whiskey —% —% —% —% —% Jack Daniel’s Tennessee Whiskey (4)% —% —% —% (4)% Woodford Reserve (2)% —% —% —% (1
Slide 19: Geographic Reconciliation Fiscal 2025 and Fiscal 2024 Net Sales Growth
Geographic Reconciliation Fiscal 2025 and Fiscal 2024 Net Sales Growth Three months ended July 31, 2025 Acquisitions & Foreign Exchange Reported Other Items1 (+/-) Organic Divestitures (+/-) (+/-) United States (8)% 6% —% —% (2)% Developed International (8)% 1% —% (1)% (9)% Emerging 20% 1% —% 3% 25%
Slide 20: The Source of Our Strength
The Source of Our BROWN-FORMAN