Why BellRing Brands Stock Fell as Much as 17% in the First Hour Today
Shares of nutrition supplement maker BellRing Brands (NYSE: BRBR) fell sharply at the open on Friday, dropping as much as 17% in the first hour of trading. By roughly 10:30 a.m. ET, the stock had pared that loss to around 11%. The main reason for the decline was the food maker's fiscal fourth-quarter 2021 earnings release, which hit the Street after the close on Thursday.
On the top line, BellRing posted fourth-quarter sales of $340 million, up a hefty 20.3% from the fiscal fourth quarter of 2020. Management highlighted an 18.2% sales advance for its Premier Protein brand, on a volume increase of 13.6%, and an 18.5% sales bump for the ready-to-drink version of the product, with a volume gain of 13.6%.
Distribution gains in a hot product category were key tailwinds, with pricing actions to help offset the impacts of inflation also showing up as a net benefit. The company's Dymatize brand had an even better showing, with sales up 41.3% year over year on a 32.4% volume gain, but a key contributor here was the reopening of gyms and other specialty stores that were shuttered in 2020 to help slow the spread of the coronavirus. Sales of the company's other products rose 7.6%.
Source Fool.com
