2<\/sup>) compared to the same prior-year period. In the quarter, reported operating income decreased 10% to $305 million (-9% on an organic basis) and diluted earnings per share decreased 14% to $0.47.\n<\/p>\n\nFor the first six months of the fiscal year, the company\u2019s reported net sales decreased 4% to $2.0 billion (flat on an organic basis) compared to the same prior-year period. First half reported operating income decreased 9% to $565 million (-4% on an organic basis) and diluted earnings per share decreased 13% to $0.83.\n<\/p>\n
\nLawson Whiting, Brown-Forman\u2019s President and Chief Executive Officer shared, \u201cOur second quarter results reflect a continuation of the themes we saw in the first quarter, and the first half of the year unfolded largely as we expected. While the operating environment continues to be challenging, our team remains resilient and focused on executing our plans. Based on this performance and our visibility into the remainder of the year, we are pleased to reaffirm our fiscal year guidance.\u201d\n<\/p>\n
First Half of Fiscal 2026 Highlights<\/span><\/b><\/p>\n\n- \nNet sales decline largely driven by the end of the Korbel Champagne Cellars relationship (Korbel relationship) and the absence of the Sonoma-Cutrer prior-year transition services agreement (TSA).\n<\/li>\n
- \nFrom a geographic perspective, net sales growth in Emerging3<\/sup> markets and the Travel Retail3<\/sup> channel was more than offset by declines in the United States and Developed International3<\/sup> markets.\n<\/li>\n
- \nGross margin expanded 30 basis points driven by the positive effect of acquisitions and divestitures, partially offset by higher costs and unfavorable price\/mix.\n<\/li>\n
- \nThe Brown-Forman Board of Directors authorized a $400 million share repurchase program and increased the quarterly cash dividend for the 42nd consecutive year.\n<\/li>\n
- \nCash flows from operations grew by $163 million to $292 million and free cash flow2<\/sup> increased by $179 million to $236 million.\n<\/li>\n<\/ul>\n
First Half of Fiscal 2026 Brand Results<\/span><\/b><\/p>\n\n- \nNet sales for Whiskey3<\/sup> products were flat (flat organic). The launch of Jack Daniel\u2019s Tennessee Blackberry and higher net sales of Woodford Reserve, driven by distributor inventories and transitions in the United States, were offset by lower volumes of Jack Daniel\u2019s Tennessee Whiskey and Jack Daniel\u2019s Tennessee Honey.\n<\/li>\n
- \nNet sales for the Tequila3<\/sup> portfolio declined 3% (-3% organic). Herradura\u2019s net sales declined 11% (-11% organic) led by lower volumes in the United States as the tequila category remains competitive. el Jimador\u2019s net sales increased 1% (+2% organic) driven by higher volumes in Colombia and an estimated net increase in distributor inventories in the United States.\n<\/li>\n
- \nNet sales for the Ready-to-Drink3<\/sup> (RTD) portfolio increased 5% (+5% organic). Net sales of New Mix increased 28% (+30% organic) fueled by growth in Mexico with market share gains in an accelerating category. Jack Daniel\u2019s RTD\/RTP portfolio declined 4% (-4% organic) largely due to the absence of American-made beverage alcohol from retail shelves across most provinces in Canada.\n<\/li>\n
- \nRest of Portfolio’s3<\/sup> net sales declined 35% (+22% organic) driven by the conclusion of the Korbel relationship and the absence of the Sonoma-Cutrer and Finlandia prior-year TSAs. The decline was partially offset by the distribution of new agency brands in Japan and Mexico, along with broad-based growth of Gin Mare.\n<\/li>\n
- \nNet sales for non-branded and bulk decreased 61% driven by lower used barrel sales.\n<\/li>\n<\/ul>\n
First Half of Fiscal 2026 Market Results<\/span><\/b><\/p>\n\n- \nNet sales in the United States decreased 9% (flat organic) driven by the end of the Korbel relationship and the absence of the Sonoma-Cutrer prior-year TSA, as well as lower volumes of Jack Daniel\u2019s Tennessee Whiskey, Herradura, and Jack Daniel\u2019s Tennessee Honey. These declines were partially offset by the launch of Jack Daniel\u2019s Tennessee Blackberry and higher net sales across the portfolio as a result of changes to our distributor relationship terms.\n<\/li>\n
- \nIn a challenging economic environment, net sales in the Developed International markets declined 4% (-6% organic), though improved sequentially. The decline was driven by the absence of American- made beverage alcohol from retail shelves in most of the Canadian provinces and lower volumes of Jack Daniel\u2019s Tennessee Whiskey in Germany and the United Kingdom. The decline was partially offset by the positive effect of foreign exchange, new agency brands in Japan, and the benefit from transition to owned distribution in Italy.\n<\/li>\n
- \nNet sales in Emerging markets increased 10% (+12% organic) led by strong double digit growth of New Mix, higher volumes across the Jack Daniel\u2019s family of brands in Brazil and T\u00fcrkiye, and an estimated net increase in distributor inventories.\n<\/li>\n
- \nThe Travel Retail channel\u2019s net sales increased 7% (+6% organic) due to higher volumes of Jack Daniel\u2019s Tennessee Whiskey, the phasing of ordering patterns, and the positive effect of foreign exchange.\n<\/li>\n<\/ul>\n
First Half of Fiscal 2026 Other P&L Items<\/span><\/b><\/p>\n\n- \nGross profit decreased 4% (-3% organic). Gross margin expanded 30 basis points to 59.5% driven by the positive effect of acquisitions and divestitures, partially offset by higher costs and unfavorable price\/mix.\n<\/li>\n
- \nAdvertising expense decreased 2% (-1% organic) as a more focused investment for the new \u201cThat\u2019s What Makes Jack, JACK\u201d global campaign, the launch of Jack Daniel\u2019s Tennessee Blackberry, and the negative effect of foreign exchange was more than offset by lower spend across the rest of our portfolio and the absence of the Korbel brands.\n<\/li>\n
- \nSelling, general, and administrative (SG&A) expenses decreased 3% (-4% organic) largely driven by lower compensation-and-benefit-related expenses.\n<\/li>\n
- \nThe company incurred $16 million in charges related to the strategic restructuring initiative announced in January 2025.\n<\/li>\n
- \nOperating income declined 9% (-4% organic) with an operating margin decrease of 150 basis points to 28.9%. The operating margin decrease was primarily driven by the decline in gross profit, the impact of the restructuring initiative, and the absence of the prior-year franchise tax refund. These declines were partially offset by the benefit of the substitution drawback claims2<\/sup>.\n<\/li>\n
- \nThe company recognized a non-operating pension settlement charge of $22 million, largely related to the early retirement benefit offered in fiscal 2025.\n<\/li>\n
- \nDiluted earnings per share decreased $0.13 driven by the decrease in operating income and an increase in non-operating postretirement expense.\n<\/li>\n<\/ul>\n
First Half of Fiscal 2026 Financial Stewardship<\/span><\/b><\/p>\n\nOn November 19, 2025, the Brown-Forman Board of Directors approved an increase of 2% to the quarterly cash dividend from $0.2265 per share to $0.2310 per share on its Class A and Class B Common Stock. The dividend is payable on January 2, 2026, to stockholders of record on December 5, 2025. Brown-Forman, a member of the S&P 500 Dividend Aristocrats Index, has paid regular quarterly cash dividends for 82 consecutive years and has increased the regular dividend for 42 consecutive years.\n<\/p>\n
\nAs announced on October 2, 2025, the Brown-Forman Board of Directors authorized the repurchase of $400 million (exclusive of brokerage fees and excise taxes) of outstanding shares of Class A and Class B common stock from October 1, 2025, through October 1, 2026, subject to market and other conditions. As of October 31, 2025, $301 million remained available under the program.\n<\/p>\n
\nIn addition, cash flows from operations grew $163 million to $292 million, primarily reflecting disciplined working capital management. Free cash flow increased $179 million to $236 million, reflecting strong operating cash flow generation and lower capital expenditure needs.\n<\/p>\n
Fiscal 2026 Outlook<\/span><\/b><\/p>\n\nWe continue to anticipate the operating environment for fiscal 2026 to be challenging, with low visibility due to macroeconomic and geopolitical volatility as we face headwinds from consumer uncertainty and lower non-branded sales of used barrels. We remain focused on building our business for the long term and navigating the current environment at pace with strategic initiatives in fiscal 2026 that we believe will unlock future growth led by the significant evolution of our U.S. distribution, the restructuring initiative, and meaningful new product innovation.\n<\/p>\n
\nAccordingly, we reiterate the following expectation for fiscal 2026:\n<\/p>\n
\n- \nOrganic net sales decline in the low-single digit range.\n<\/li>\n
- \nOrganic operating income decline in the low-single digit range.\n<\/li>\n
- \nOur effective tax rate to be in the range of approximately 21% to 23%.\n<\/li>\n<\/ul>\n
\nThe estimated capital expenditures range has been updated to $110 to $120 million from $125 to $135 million.\n<\/p>\n
Conference Call Details<\/span><\/b><\/p>\n\nBrown-Forman will host a conference call to discuss these results at 10:00 a.m. (ET) today. A live audio broadcast of the conference call, and the accompanying presentation slides, will be available via Brown-Forman\u2019s website, brown-forman.com, through a link to \u201cInvestors\/Events & Presentations.\u201d A digital audio recording of the conference call and the presentation slides will also be posted on the website and will be available for at least 30 days following the conference call.\n<\/p>\n
\nBrown-Forman Corporation is a global leader in the spirits industry, responsibly building exceptional beverage alcohol brands for more than 155 years. Headquartered in Louisville, Kentucky, we are guided by our founding promise, \u201cNothing Better in the Market.\u201d Our premium portfolio includes the Jack Daniel\u2019s Family of Brands, Woodford Reserve, Old Forester, New Mix, el Jimador, Herradura, The Glendronach, Glenglassaugh, Benriach, Diplom\u00e1tico Rum, Gin Mare, Fords Gin, Chambord, and Slane. With approximately 5,000 employees worldwide, we proudly share our passion for fine-quality spirits in more than 170 countries. Learn more at brown-forman.com and stay connected with us on LinkedIn, Instagram, and X.\n<\/p>\n
Important Information on Forward-Looking Statements:<\/b><\/p>\n
\nThis press release contains statements, estimates, and projections that are \u201cforward-looking statements\u201d as defined under U.S. federal securities laws. Words such as \u201caim,\u201d \u201cambition,\u201d \u201canticipate,\u201d \u201caspire,\u201d \u201cbelieve,\u201d \u201ccan,\u201d \u201ccontinue,\u201d \u201ccould,\u201d \u201cenvision,\u201d \u201cestimate,\u201d \u201cexpect,\u201d \u201cexpectation,\u201d \u201cintend,\u201d \u201cmay,\u201d \u201cmight,\u201d \u201cplan,\u201d \u201cpotential,\u201d \u201cproject,\u201d \u201cpursue,\u201d \u201csee,\u201d \u201cseek,\u201d \u201cshould,\u201d \u201cwill,\u201d \u201cwould,\u201d and similar words indicate forward-looking statements, which speak only as of the date we make them. Except as required by law, we do not intend to update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise. By their nature, forward-looking statements involve risks, uncertainties, and other factors (many beyond our control) that could cause our actual results to differ materially from those expressed in or implied by the forward-looking statements. These risks and uncertainties include, but are not limited to:\n<\/p>\n
\n- \nOur substantial dependence upon the continued growth of the Jack Daniel\u2019s family of brands\n<\/li>\n
- \nSubstantial competition from new entrants, consolidations by competitors and retailers, and other competitive activities, such as pricing actions (including price reductions, promotions, discounting, couponing, or free goods), marketing, category expansion, product introductions, or entry or expansion in our geographic markets or distribution networks\n<\/li>\n
- \nDisruption of our distribution network or inventory fluctuations in our products by distributors, wholesalers, or retailers\n<\/li>\n
- \nRisks from changes to the trade policies, tariffs and import and export regulations of the U.S. or foreign governments and the effectiveness of our actions to mitigate the negative impact on our margins, sales, and\/or distributors\n<\/li>\n
- \nChanges in consumer preferences, consumption, or purchase patterns \u2013 particularly away from larger producers in favor of small distilleries or local producers, or away from brown spirits, our premium products, or spirits generally, and our ability to anticipate or react to them; further legalization of cannabis, hemp-derived products or other similar products; bar, restaurant, travel, or other on-premise declines; shifts in demographic or health and wellness trends; or unfavorable consumer reaction to new products, line extensions, package changes, product reformulations, or other product innovation\n<\/li>\n
- \nRoute-to-consumer changes that affect the timing of our sales, temporarily disrupt the marketing or sale of our products, or result in higher fixed costs\n<\/li>\n
- \nProduction facility, aging warehouse, or supply chain disruption\n<\/li>\n
- \nImprecision in supply\/demand forecasting\n<\/li>\n
- \nHigher costs, lower quality, or unavailability of energy, water, raw materials, product ingredients, or labor\n<\/li>\n
- \nRisks associated with acquisitions, dispositions, business partnerships, or investments \u2013 such as acquisition integration, termination difficulties or costs, or impairment in recorded value\n<\/li>\n
- \nUnfavorable global or regional economic conditions and related economic slowdowns or recessions, low consumer confidence, high unemployment, weak credit or capital markets, budget deficits, burdensome government debt, austerity measures, higher interest rates, higher taxes, political instability, higher inflation, deflation, lower returns on pension assets, or lower discount rates for pension obligations\n<\/li>\n
- \nImpact of health epidemics and pandemics, and the risk of the resulting negative economic impacts and related governmental actions\n<\/li>\n
- \nProduct recalls or other product liability claims, product tampering, contamination, or quality issues\n<\/li>\n
- \nNegative publicity related to our company, products, brands, marketing, executive leadership, employees, Board of Directors, family stockholders, operations, business performance, or prospects\n<\/li>\n
- \nFailure to attract or retain key executive or employee talent\n<\/li>\n
- \nRisks associated with being a U.S.-based company with a global business, including commercial, political, and financial risks; local labor policies and conditions; compliance with local trade practices and other regulations; terrorism, kidnapping, extortion, or other types of violence; and health pandemics\n<\/li>\n
- \nFailure to comply with anti-corruption laws, trade sanctions and restrictions, or similar laws or regulations\n<\/li>\n
- \nFluctuations in foreign currency exchange rates, particularly due to a stronger U.S. dollar\n<\/li>\n
- \nChanges in laws, regulatory measures, or governmental policies, especially those affecting production, importation, marketing, labeling, pricing, distribution, sale, or consumption of our beverage alcohol products\n<\/li>\n
- \nTax rate changes (including excise, corporate, sales or value-added taxes, property taxes, payroll taxes, import and export duties, and tariffs) or changes in related reserves, changes in tax rules or accounting standards, and the unpredictability and suddenness with which they can occur\n<\/li>\n
- \nDecline in the social acceptability of beverage alcohol in significant markets\n<\/li>\n
- \nSignificant additional labeling or warning requirements or limitations on availability of our beverage alcohol products\n<\/li>\n
- \nCounterfeiting and inadequate protection of our intellectual property rights\n<\/li>\n
- \nSignificant legal disputes and proceedings, or government investigations\n<\/li>\n
- \nCyber breach or failure or corruption of our key information technology systems or those of our suppliers, customers, or direct and indirect business partners, or failure to comply with personal data protection laws\n<\/li>\n
- \nOur status as a family \u201ccontrolled company\u201d under New York Stock Exchange rules, and our dual-class share structure\n<\/li>\n<\/ul>\n
\nFor further information on these and other risks, please see the risks and uncertainties described in Part I, Item 1A. Risk Factors of our 2025 Form 10-K, and those described from time to time in our reports on Form 10-Q filed with the SEC.\n<\/p>\n
\n\n| \n Brown-Forman Corporation<\/b><\/p>\n \nUnaudited Consolidated Statements of Operations\n<\/p>\n \nFor the Three Months Ended October 31, 2024 and 2025\n<\/p>\n \n(Dollars in millions, except per share amounts)\n<\/p>\n<\/td>\n<\/tr>\n |
\n | \n | \n | \n | \n | \n\n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n |
\n| \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n2024\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n2025\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \nChange\n<\/p>\n<\/td>\n<\/tr>\n |
\n| \n \n\u00a0\n<\/p>\n \nNet sales\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n \n$\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n \n1,095\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n \n$\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n \n1,036\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n \n(5%)\n<\/p>\n<\/td>\n<\/tr>\n |
\n| \n \nCost of sales\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n449\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n421\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(6%)\n<\/p>\n<\/td>\n<\/tr>\n |
\n| \n \nGross profit\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n646\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n615\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(5%)\n<\/p>\n<\/td>\n<\/tr>\n |
\n| \n \nAdvertising expenses\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n126\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n126\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n0%\n<\/p>\n<\/td>\n<\/tr>\n |
\n| \n \nSelling, general, and administrative expenses\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n185\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n187\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n0%\n<\/p>\n<\/td>\n<\/tr>\n |
\n| \n \nRestructuring and other charges\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n2\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n4\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n |
\n| \n \nOther expense (income), net\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(8\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(7\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n |
\n| \n \nOperating income\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n341\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n305\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(10)%\n<\/p>\n<\/td>\n<\/tr>\n |
\n| \n \nNon-operating postretirement expense\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n1\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n3\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n |
\n| \n \nInterest expense, net\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n29\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n23\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n |
\n| \n \nEquity method investment income and gain on sale\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(2\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n |
\n| \n \nIncome before income taxes\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n313\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n279\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(11)%\n<\/p>\n<\/td>\n<\/tr>\n |
\n| \n \nIncome taxes\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n55\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n55\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n |
\n| \n \nNet income\n<\/p>\n<\/td>\n | \n \n$\n<\/p>\n<\/td>\n | \n \n258\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n$\n<\/p>\n<\/td>\n | \n \n224\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(14)%\n<\/p>\n<\/td>\n<\/tr>\n |
\n| \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n |
\n| \n \nEarnings per share:\n<\/p>\n<\/td>\n | | \n | \n | \n | \n | <\/tr>\n
\n| \n \nBasic\n<\/p>\n<\/td>\n | \n \n$\n<\/p>\n<\/td>\n | \n \n0.55\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n$\n<\/p>\n<\/td>\n | \n \n0.47\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(13)%\n<\/p>\n<\/td>\n<\/tr>\n |
\n| \n \nDiluted\n<\/p>\n<\/td>\n | \n \n$\n<\/p>\n<\/td>\n | \n \n0.55\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n$\n<\/p>\n<\/td>\n | \n \n0.47\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(14)%\n<\/p>\n<\/td>\n<\/tr>\n |
\n | \n | \n | \n | \n | \n | \n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n |
\n| \n \nGross margin\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n59.1\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n59.3\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n |
\n| \n \nOperating margin\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n31.1\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n29.4\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n |
\n | \n | \n | \n | \n | \n | \n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n |
\n| \n \nEffective tax rate\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n17.6\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n20.2\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n |
\n | \n | \n | \n | \n | \n | \n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n |
\n| \n \nCash dividends paid per common share\n<\/p>\n<\/td>\n | \n \n$\n<\/p>\n<\/td>\n | \n \n0.2178\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n$\n<\/p>\n<\/td>\n | \n \n0.2265\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n |
\n | \n | \n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n |
\n| \n \nShares (in thousands) used in the calculation of earnings per share\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n |
\n| \n \nBasic\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n472,660\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n471,873\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n |
\n| \n \nDiluted\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n473,057\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n472,607\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n<\/table>\n \n\n| \n Brown-Forman Corporation<\/b><\/p>\n \nUnaudited Consolidated Statements of Operations\n<\/p>\n \nFor the Six Months Ended October 31, 2024 and 2025\n<\/p>\n \n(Dollars in millions, except per share amounts)\n<\/p>\n<\/td>\n<\/tr>\n | \n | \n | \n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n | \n| \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n2024\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n2025\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \nChange\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \n\u00a0\n<\/p>\n \nNet sales\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n \n$\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n \n2,046\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n \n$\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n \n1,960\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n \n(4%)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nCost of sales\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n835\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n793\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(5%)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nGross profit\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n1,211\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n1,167\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(4%)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nAdvertising expenses\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n252\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n246\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(2%)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nSelling, general, and administrative expenses\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n373\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n364\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(3%)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nRestructuring and other charges\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n2\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n16\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nOther expense (income), net\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(38\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(24\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nOperating income\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n622\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n565\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(9)%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nNon-operating postretirement expense\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n1\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n22\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nInterest expense, net\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n57\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n44\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nEquity method investment income and gain on sale\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(2\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nIncome before income taxes\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n566\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n499\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(12)%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nIncome taxes\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n113\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n105\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nNet income\n<\/p>\n<\/td>\n | \n \n$\n<\/p>\n<\/td>\n | \n \n453\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n$\n<\/p>\n<\/td>\n | \n \n394\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(13)%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nEarnings per share:\n<\/p>\n<\/td>\n | | \n | \n | \n | \n | <\/tr>\n \n| \n \nBasic\n<\/p>\n<\/td>\n | \n \n$\n<\/p>\n<\/td>\n | \n \n0.96\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n$\n<\/p>\n<\/td>\n | \n \n0.83\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(13)%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nDiluted\n<\/p>\n<\/td>\n | \n \n$\n<\/p>\n<\/td>\n | \n \n0.96\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n$\n<\/p>\n<\/td>\n | \n \n0.83\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(13)%\n<\/p>\n<\/td>\n<\/tr>\n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n | \n| \n \nGross margin\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n59.2\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n59.5\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nOperating margin\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n30.4\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n28.9\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n | \n| \n \nEffective tax rate\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n20.1\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n21.2\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n | \n| \n \nCash dividends paid per common share\n<\/p>\n<\/td>\n | \n \n$\n<\/p>\n<\/td>\n | \n \n0.4356\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n$\n<\/p>\n<\/td>\n | \n \n0.4530\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nShares (in thousands) used in the calculation of earnings per share\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nBasic\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n472,647\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n472,233\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nDiluted\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n472,997\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n472,720\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n<\/table>\n \n\n| \n Brown-Forman Corporation<\/b><\/p>\n \nUnaudited Condensed Consolidated Balance Sheets\n<\/p>\n \n(Dollars in millions)\n<\/p>\n<\/td>\n<\/tr>\n | \n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n | \n| \n \n\u00a0\n<\/p>\n<\/td>\n | \n \nApril 30,\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \nOctober 31,\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n2025\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n2025\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nAssets:\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nCash and cash equivalents\n<\/p>\n<\/td>\n | \n \n$\n<\/p>\n<\/td>\n | \n \n444\n<\/p>\n<\/td>\n | | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n$\n<\/p>\n<\/td>\n | \n \n319\n<\/p>\n<\/td>\n | | <\/tr>\n \n| \n \nAccounts receivable, net\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n830\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n1,042\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nInventories\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n2,511\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n2,559\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nAssets held for sale\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n121\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nOther current assets\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n289\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n291\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nTotal current assets\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n4,195\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n4,211\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n | \n | \n | \n | \n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n | \n| \n \nProperty, plant, and equipment, net\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n1,095\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n1,101\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nGoodwill\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n1,505\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n1,510\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nOther intangible assets\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n981\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n1,075\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nOther assets\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n310\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n324\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nTotal assets\n<\/p>\n<\/td>\n | \n \n$\n<\/p>\n<\/td>\n | \n \n8,086\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n$\n<\/p>\n<\/td>\n | \n \n8,221\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \n\u00a0\n<\/p>\n \nLiabilities:\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nAccounts payable and accrued expenses\n<\/p>\n<\/td>\n | \n \n$\n<\/p>\n<\/td>\n | \n \n741\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n$\n<\/p>\n<\/td>\n | \n \n802\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nAccrued income taxes\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n27\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n39\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nShort-term borrowings\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n312\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n228\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nCurrent portion of long-term debt\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n347\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nTotal current liabilities\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n1,080\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n1,416\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n | \n | \n | \n | \n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n | \n| \n \nLong-term debt\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n2,421\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n2,072\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nDeferred income taxes\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n241\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n224\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nAccrued postretirement benefits\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n164\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n172\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nOther liabilities\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n187\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n203\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nTotal liabilities\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n4,093\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n4,087\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n | \n | \n | \n | \n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n | \n| \n \nStockholders\u2019 equity\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n3,993\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n4,134\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nTotal liabilities and stockholders\u2019 equity\n<\/p>\n<\/td>\n | \n \n$\n<\/p>\n<\/td>\n | \n \n8,086\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n\n \n$\n<\/p>\n<\/td>\n | \n \n8,221\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n<\/table>\n \n\n| \n Brown-Forman Corporation<\/b><\/p>\n \nUnaudited Condensed Consolidated Statements of Cash Flows\n<\/p>\n \nFor the Six Months Ended October 31, 2024 and 2025\n<\/p>\n \n(Dollars in millions)\n<\/p>\n<\/td>\n<\/tr>\n | \n | \n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n | \n| \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n2024\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n2025\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \n\u00a0\n<\/p>\n \nCash provided by operating activities\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n \n$\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n \n129\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n \n$\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n \n292\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n | \n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n | \n| \n \nCash flows from investing activities:\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nProceeds from sale of cooperage assets\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n51\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n33\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nAdditions to property, plant, and equipment\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(72\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(56\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nCash provided by (used for) investing activities\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(21\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(23\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nCash flows from financing activities:\n<\/p>\n<\/td>\n | | \n | \n | \n | <\/tr>\n \n| \n \nNet change in short-term borrowings\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n83\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(84\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nPayments of withholding taxes related to stock-based awards\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(2\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(1\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nAcquisition of treasury stock\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(99\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nDividends paid\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(206\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(214\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nOther\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(4\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(1\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nCash provided by (used for) financing activities\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(129\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(399\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n<\/tr>\n | \n | \n | \n | \n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n | \n| \n \nEffect of exchange rate changes\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(9\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n5\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nNet increase (decrease) in cash, cash equivalents, and restricted cash\n<\/p>\n<\/td>\n | | \n\n \n(30\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | | \n\n \n(125\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n<\/tr>\n | \n | \n | \n | \n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n | \n| \n \nCash, cash equivalents, and restricted cash at beginning of period\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n456\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n463\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nCash, cash equivalents, and restricted cash at end of period\n<\/p>\n<\/td>\n | | \n\n \n426\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n\n \n338\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nLess: Restricted cash at end of period\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(10\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(19\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nCash and cash equivalents at end of period\n<\/p>\n<\/td>\n | \n \n$\n<\/p>\n<\/td>\n | \n \n416\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n$\n<\/p>\n<\/td>\n | \n \n319\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n<\/table>\n \n\n| \n Schedule A<\/b><\/p>\n \nBrown-Forman Corporation\n<\/p>\n \nSupplemental Statement of Operations Information (Unaudited)\n<\/p>\n<\/td>\n<\/tr>\n | \n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n | \n| \n Percentage change versus the prior-year<\/i> period ended<\/i><\/p>\n<\/td>\n | \n October 31, 2025<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n3 Months\n<\/p>\n<\/td>\n | | \n\n \n6 Months\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n Reported change in net sales<\/b><\/p>\n<\/td>\n | \n (5<\/b><\/p>\n<\/td>\n | \n %)<\/b><\/p>\n<\/td>\n | | \n\n (4<\/b><\/p>\n<\/td>\n | \n %)<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n \nAcquisitions and divestitures\n<\/p>\n<\/td>\n | \n \n5\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | | \n\n \n4\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nForeign exchange\n<\/p>\n<\/td>\n | \n \n(1\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | | \n\n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n Organic* change in net sales<\/b><\/p>\n<\/td>\n | \n (2<\/b><\/p>\n<\/td>\n | \n %)<\/b><\/p>\n<\/td>\n | | \n\n \u2014<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n<\/tr>\n\n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n | \n| \n Reported change in gross profit<\/b><\/p>\n<\/td>\n | \n (5<\/b><\/p>\n<\/td>\n | \n %)<\/b><\/p>\n<\/td>\n | | \n\n (4<\/b><\/p>\n<\/td>\n | \n %)<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n \nAcquisitions and divestitures\n<\/p>\n<\/td>\n | \n \n2\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | | \n\n \n1\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nForeign exchange\n<\/p>\n<\/td>\n | \n \n(2\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | | \n\n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n Organic change in gross profit<\/b><\/p>\n<\/td>\n | \n (4<\/b><\/p>\n<\/td>\n | \n %)<\/b><\/p>\n<\/td>\n | | \n\n (3<\/b><\/p>\n<\/td>\n | \n %)<\/b><\/p>\n<\/td>\n<\/tr>\n\n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n | \n| \n Reported change in advertising expenses<\/b><\/p>\n<\/td>\n | \n \u2014<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | | \n\n (2<\/b><\/p>\n<\/td>\n | \n %)<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n \nAcquisitions and divestitures\n<\/p>\n<\/td>\n | \n \n3\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | | \n\n \n3\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nForeign exchange\n<\/p>\n<\/td>\n | \n \n(1\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | | \n\n \n(1\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n Organic change in advertising expenses<\/b><\/p>\n<\/td>\n | \n 1<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | | \n\n (1<\/b><\/p>\n<\/td>\n | \n %)<\/b><\/p>\n<\/td>\n<\/tr>\n\n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n | \n| \n Reported change in SG&A<\/b><\/p>\n<\/td>\n | \n \u2014<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | | \n\n (3<\/b><\/p>\n<\/td>\n | \n %)<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n \nAcquisitions and divestitures\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | | \n\n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nForeign exchange\n<\/p>\n<\/td>\n | \n \n(1\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | | \n\n \n(1\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n Organic change in SG&A<\/b><\/p>\n<\/td>\n | \n (1<\/b><\/p>\n<\/td>\n | \n %)<\/b><\/p>\n<\/td>\n | | \n\n (4<\/b><\/p>\n<\/td>\n | \n %)<\/b><\/p>\n<\/td>\n<\/tr>\n\n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n | \n| \n Reported change in operating income<\/b><\/p>\n<\/td>\n | \n (10<\/b><\/p>\n<\/td>\n | \n %)<\/b><\/p>\n<\/td>\n | | \n\n (9<\/b><\/p>\n<\/td>\n | \n %)<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n \nAcquisitions and divestitures\n<\/p>\n<\/td>\n | \n \n3\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | | \n\n \n3\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nOther items*\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | | \n\n \n1\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nForeign exchange\n<\/p>\n<\/td>\n | \n \n(2\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | | \n\n \n1\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n Organic change in operating income<\/b><\/p>\n<\/td>\n | \n (9<\/b><\/p>\n<\/td>\n | \n %)<\/b><\/p>\n<\/td>\n | | \n\n (4<\/b><\/p>\n<\/td>\n | \n %)<\/b><\/p>\n<\/td>\n<\/tr>\n<\/table>\n\n\n| ____________________<\/td>\n<\/tr>\n | \n| \n \n*See \u201cNote 2 – Non-GAAP Financial Measures\u201d for details on our use of Non-GAAP financial measures, how these measures are calculated, and the reasons why we believe this information is useful to readers.\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n Note: Totals may differ due to rounding.<\/i><\/p>\n<\/td>\n<\/tr>\n<\/table>\n\n\n| Schedule B<\/b><\/p>\n \nBrown-Forman Corporation\n<\/p>\n \nSupplemental Statement of Operations Information (Unaudited)\n<\/p>\n Six Months Ended October 31, 2025<\/i><\/p>\n<\/td>\n<\/tr>\n\n | \n | \n | \n | \n | \n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n | \n | \n\n \nSupplemental Information^\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n | \n\n \nVolumes (9-Liter Cases)\n<\/p>\n<\/td>\n | \n \nNet Sales % Change vs. Prior-Year Period\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n Product Category \/
\n
Brand Family \/
\n
<\/b>Brand^<\/b><\/p>\n<\/td>\n | \n \nDepletions
\n
(Millions)*\n<\/p>\n<\/td>\n | \n \n% Change
\n
vs. Prior-
\n
Year
\n
Period\n<\/p>\n<\/td>\n | \n \nShipments
\n
(Millions)*\n<\/p>\n<\/td>\n | \n \n% Change
\n
vs. Prior-
\n
Year
\n
Period\n<\/p>\n<\/td>\n | \n \nReported\n<\/p>\n<\/td>\n | \n Acquisitions
\n
and
\n
<\/i>Divestitures<\/i><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n Foreign
\n
<\/i>Exchange<\/i><\/p>\n<\/td>\n | \n \nOrganic^\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n Whiskey<\/b><\/p>\n<\/td>\n | \n 10.2<\/b><\/p>\n<\/td>\n | \n (1<\/b><\/p>\n<\/td>\n | \n %)<\/b><\/p>\n<\/td>\n | \n 10.5<\/b><\/p>\n<\/td>\n | \n (1<\/b><\/p>\n<\/td>\n | \n %)<\/b><\/p>\n<\/td>\n | \n \u2014<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | \n \u2014<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | \n \u2014<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | \n \u2014<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n \nJDTW\n<\/p>\n<\/td>\n | \n \n6.6\n<\/p>\n<\/td>\n | \n \n(5\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n6.7\n<\/p>\n<\/td>\n | \n \n(6\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n(6\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n(6\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nJDTH\n<\/p>\n<\/td>\n | \n \n0.9\n<\/p>\n<\/td>\n | \n \n(4\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n0.9\n<\/p>\n<\/td>\n | \n \n(5\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n(6\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n(1\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n(6\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nGentleman Jack\n<\/p>\n<\/td>\n | \n \n0.4\n<\/p>\n<\/td>\n | \n \n1\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n0.4\n<\/p>\n<\/td>\n | \n \n1\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n(1\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n1\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nJDTA\n<\/p>\n<\/td>\n | \n \n0.6\n<\/p>\n<\/td>\n | \n \n18\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n0.6\n<\/p>\n<\/td>\n | \n \n19\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n16\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n(2\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n14\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nJDTF\n<\/p>\n<\/td>\n | \n \n0.3\n<\/p>\n<\/td>\n | \n \n(5\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n0.3\n<\/p>\n<\/td>\n | \n \n(7\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n(7\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n(8\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nWoodford Reserve\n<\/p>\n<\/td>\n | \n \n0.8\n<\/p>\n<\/td>\n | \n \n(1\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n0.9\n<\/p>\n<\/td>\n | \n \n2\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n6\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n6\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nOld Forester\n<\/p>\n<\/td>\n | \n \n0.2\n<\/p>\n<\/td>\n | \n \n(5\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n0.2\n<\/p>\n<\/td>\n | \n \n3\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n2\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n2\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nRest of Whiskey\n<\/p>\n<\/td>\n | \n \n0.4\n<\/p>\n<\/td>\n | \n \n74\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n0.5\n<\/p>\n<\/td>\n | \n \n119\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n54\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n54\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n Ready-to-Drink<\/b><\/p>\n<\/td>\n | \n 11.2<\/b><\/p>\n<\/td>\n | \n 9<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | \n 11.2<\/b><\/p>\n<\/td>\n | \n 9<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | \n 5<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | \n \u2014<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | \n \u2014<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | \n 5<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n \nJD RTD\/RTP\n<\/p>\n<\/td>\n | \n \n5.1\n<\/p>\n<\/td>\n | \n \n(4\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n5.2\n<\/p>\n<\/td>\n | \n \n(3\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n(4\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n(4\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nNew Mix\n<\/p>\n<\/td>\n | \n \n6.0\n<\/p>\n<\/td>\n | \n \n22\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n6.1\n<\/p>\n<\/td>\n | \n \n23\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n28\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n2\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n30\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n Tequila<\/b><\/p>\n<\/td>\n | \n 1.0<\/b><\/p>\n<\/td>\n | \n (5<\/b><\/p>\n<\/td>\n | \n %)<\/b><\/p>\n<\/td>\n | \n 1.0<\/b><\/p>\n<\/td>\n | \n 2<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | \n (3<\/b><\/p>\n<\/td>\n | \n %)<\/b><\/p>\n<\/td>\n | \n \u2014<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | \n \u2014<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | \n (3<\/b><\/p>\n<\/td>\n | \n %)<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n \nel Jimador\n<\/p>\n<\/td>\n | \n \n0.6\n<\/p>\n<\/td>\n | \n \n(5\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n0.7\n<\/p>\n<\/td>\n | \n \n5\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n1\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n2\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nHerradura\n<\/p>\n<\/td>\n | \n \n0.3\n<\/p>\n<\/td>\n | \n \n(9\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n0.3\n<\/p>\n<\/td>\n | \n \n(9\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n(11\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n(11\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n Rest of Portfolio<\/b><\/p>\n<\/td>\n | \n 0.6<\/b><\/p>\n<\/td>\n | \n 8<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | \n 0.6<\/b><\/p>\n<\/td>\n | \n 18<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | \n (35<\/b><\/p>\n<\/td>\n | \n %)<\/b><\/p>\n<\/td>\n | \n 59<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | \n (2<\/b><\/p>\n<\/td>\n | \n %)<\/b><\/p>\n<\/td>\n | \n 22<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n Non-branded and bulk<\/b><\/p>\n<\/td>\n | \n NA<\/b><\/p>\n<\/td>\n | \n NA<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n NA<\/b><\/p>\n<\/td>\n | \n NA<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n (61<\/b><\/p>\n<\/td>\n | \n %)<\/b><\/p>\n<\/td>\n | \n \u2014<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | \n \u2014<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | \n (61<\/b><\/p>\n<\/td>\n | \n %)<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n Total Portfolio<\/b><\/p>\n<\/td>\n | \n 23.0<\/b><\/p>\n<\/td>\n | \n 3<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | \n 23.4<\/b><\/p>\n<\/td>\n | \n 4<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | \n (4<\/b><\/p>\n<\/td>\n | \n %)<\/b><\/p>\n<\/td>\n | \n 4<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | \n \u2014<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | \n \u2014<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n<\/tr>\n\n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n | \n| \n Other Brands and Aggregations<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nJack Daniel’s Family\n<\/p>\n<\/td>\n | \n \n14.2\n<\/p>\n<\/td>\n | \n \n(2\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n14.5\n<\/p>\n<\/td>\n | \n \n(2\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n(1\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n(2\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nAmerican Whiskey\n<\/p>\n<\/td>\n | \n \n10.2\n<\/p>\n<\/td>\n | \n \n(1\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n10.5\n<\/p>\n<\/td>\n | \n \n(1\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nDiplom\u00e1tico\n<\/p>\n<\/td>\n | \n \n0.2\n<\/p>\n<\/td>\n | \n \n8\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n0.2\n<\/p>\n<\/td>\n | \n \n13\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n15\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n(3\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n12\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nGin Mare\n<\/p>\n<\/td>\n | \n \n0.1\n<\/p>\n<\/td>\n | \n \n27\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n0.1\n<\/p>\n<\/td>\n | \n \n20\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n38\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n(5\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n33\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n<\/table>\n \n\n| ____________________<\/td>\n<\/tr>\n | \n| \n \n^See \u201cNote 2 – Non-GAAP Financial Measures\u201d for details on our use of Non-GAAP financial measures, how these measures are calculated, and the reasons why we believe this information is useful to readers. See \u201cNote 3 – Definitions\u201d for details on our brand aggregations and other metrics.\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \n*Volumes are adjusted to remove increases or decreases related to acquired and divested brands for periods not comparable year over year. For additional information concerning acquisitions and divestitures impacting depletions and shipments, see the applicable defined terms in \u201cNote 2 \u2013 Non-GAAP Financial Measures.\u201d\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n Note: Totals may differ due to rounding.<\/i><\/p>\n<\/td>\n<\/tr>\n<\/table>\n\n\n| \n Schedule C<\/b><\/p>\n \nBrown-Forman Corporation\n<\/p>\n \nSupplemental Statement of Operations Information (Unaudited)\n<\/p>\n Six Months Ended October 31, 2025<\/i><\/p>\n<\/td>\n<\/tr>\n\n | \n\u00a0<\/td>\n<\/tr>\n | \n| \n \n\u00a0\n<\/p>\n<\/td>\n | \n \nNet Sales % Change vs. Prior-Year Period\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n Geographic Area^<\/b><\/p>\n<\/td>\n | \n Reported<\/b><\/p>\n<\/td>\n | \n Acquisitions
\n
<\/i>and
\n
<\/i>Divestitures<\/i><\/p>\n<\/td>\n | \n Foreign
\n
<\/i>Exchange<\/i><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n Organic^<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n United States<\/b><\/p>\n<\/td>\n | \n (9<\/b><\/p>\n<\/td>\n | \n %)<\/b><\/p>\n<\/td>\n | \n 8<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | \n \u2014<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | \n \u2014<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n Developed International<\/b><\/p>\n<\/td>\n | \n (4<\/b><\/p>\n<\/td>\n | \n %)<\/b><\/p>\n<\/td>\n | \n \u2014<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | \n (2<\/b><\/p>\n<\/td>\n | \n %)<\/b><\/p>\n<\/td>\n | \n (6<\/b><\/p>\n<\/td>\n | \n %)<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n \nGermany\n<\/p>\n<\/td>\n | \n \n(5\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n(4\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n(8\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nAustralia\n<\/p>\n<\/td>\n | \n \n(2\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n3\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n1\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nUnited Kingdom\n<\/p>\n<\/td>\n | \n \n(13\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n1\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n(13\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nFrance\n<\/p>\n<\/td>\n | \n \n2\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n(4\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n(2\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nCanada\n<\/p>\n<\/td>\n | \n \n(62\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n1\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n(61\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nRest of Developed International\n<\/p>\n<\/td>\n | \n \n5\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n(3\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n3\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n Emerging<\/b><\/p>\n<\/td>\n | \n 10<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | \n 1<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | \n 1<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | \n 12<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n \nMexico\n<\/p>\n<\/td>\n | \n \n17\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n1\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n18\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nPoland\n<\/p>\n<\/td>\n | \n \n4\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n6\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n(9\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nBrazil\n<\/p>\n<\/td>\n | \n \n22\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n(1\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n21\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nT\u00fcrkiye\n<\/p>\n<\/td>\n | \n \n(16\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n\u2014\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n23\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n8\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nRest of Emerging\n<\/p>\n<\/td>\n | \n \n10\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n1\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n | \n \n(1\n<\/p>\n<\/td>\n | \n \n%)\n<\/p>\n<\/td>\n | \n \n9\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n Travel Retail<\/b><\/p>\n<\/td>\n | \n 7<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | \n \u2014<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | \n (1<\/b><\/p>\n<\/td>\n | \n %)<\/b><\/p>\n<\/td>\n | \n 6<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n Non-branded and bulk<\/b><\/p>\n<\/td>\n | \n (61<\/b><\/p>\n<\/td>\n | \n %)<\/b><\/p>\n<\/td>\n | \n \u2014<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | \n \u2014<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | \n (61<\/b><\/p>\n<\/td>\n | \n %)<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n Total<\/b><\/p>\n<\/td>\n | \n (4<\/b><\/p>\n<\/td>\n | \n %)<\/b><\/p>\n<\/td>\n | \n 4<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | \n \u2014<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | \n \u2014<\/b><\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n<\/tr>\n<\/table>\n\n\n| ____________________<\/td>\n<\/tr>\n | \n| \n \n^See \u201cNote 2 – Non-GAAP Financial Measures\u201d for details on our use of Non-GAAP financial measures, how these measures are calculated, and the reasons why we believe this information is useful to readers. See \u201cNote 3 – Definitions\u201d for details on our geographic aggregations.\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n Note: Totals may differ due to rounding.<\/i><\/p>\n<\/td>\n<\/tr>\n<\/table>\n\n\n| \n Schedule D<\/b><\/p>\n \nBrown-Forman Corporation\n<\/p>\n \nSupplemental Information (Unaudited) \u2014\n<\/p>\n \nEstimated Net Change in Distributor Inventories\n<\/p>\n<\/td>\n<\/tr>\n | \n | \n\u00a0<\/td>\n<\/tr>\n | \n| \n Six Months Ended October 31, 2025<\/i><\/p>\n<\/td>\n | | <\/tr>\n \n | \n\u00a0<\/td>\n<\/tr>\n | \n| \n Geographic Area^ – Net Sales<\/b><\/p>\n<\/td>\n | \n Estimated Net Change in Distributor
\n
<\/i>Inventories^ vs. Prior-Year Period<\/i><\/p>\n<\/td>\n<\/tr>\n\n| \n \nUnited States\n<\/p>\n<\/td>\n | \n \n2%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nDeveloped International\n<\/p>\n<\/td>\n | \n \n(1%)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nEmerging\n<\/p>\n<\/td>\n | \n \n3%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nTravel Retail\n<\/p>\n<\/td>\n | \n \n(1%)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nNon-branded and bulk\n<\/p>\n<\/td>\n | \n \n\u2014%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \n\u00a0\n<\/p>\n Product category \/ brand family \/ brand^<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n Whiskey<\/b><\/p>\n<\/td>\n | \n \n1%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nJDTW\n<\/p>\n<\/td>\n | \n \n(2%)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nJDTH\n<\/p>\n<\/td>\n | \n \n(2%)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nGentleman Jack\n<\/p>\n<\/td>\n | \n \n\u2014%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nJDTA\n<\/p>\n<\/td>\n | \n \n\u2014%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nJDTF\n<\/p>\n<\/td>\n | \n \n(3%)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nWoodford Reserve\n<\/p>\n<\/td>\n | \n \n4%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nOld Forester\n<\/p>\n<\/td>\n | \n \n3%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nRest of Whiskey\n<\/p>\n<\/td>\n | \n \n23%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n Ready-to-Drink<\/b><\/p>\n<\/td>\n | \n \n1%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nJD RTD\/RTP\n<\/p>\n<\/td>\n | \n \n\u2014%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nNew Mix\n<\/p>\n<\/td>\n | \n \n2%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n Tequila<\/b><\/p>\n<\/td>\n | \n \n4%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nel Jimador\n<\/p>\n<\/td>\n | \n \n9%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nHerradura\n<\/p>\n<\/td>\n | \n \n(1%)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n Rest of Portfolio<\/b><\/p>\n<\/td>\n | \n \n5%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n Non-branded and bulk<\/b><\/p>\n<\/td>\n | \n \n\u2014%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n Statement of Operations Line Items<\/b><\/p>\n<\/td>\n | | <\/tr>\n \n| \n \nNet Sales\n<\/p>\n<\/td>\n | \n \n1%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nCost of Sales\n<\/p>\n<\/td>\n | \n \n1%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nGross Profit\n<\/p>\n<\/td>\n | \n \n1%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nOperating Income\n<\/p>\n<\/td>\n | \n \n2%\n<\/p>\n<\/td>\n<\/tr>\n<\/table>\n \n\n| ____________________<\/td>\n<\/tr>\n | \n| \n \n^See \u201cNote 3 – Definitions\u201d for details on our geographic aggregations, brand aggregations, and other metrics.\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nA positive difference is interpreted as a net increase in distributors\u2019 inventories; whereas, a negative difference is interpreted as a net decrease in distributors\u2019 inventories.\n<\/p>\n<\/td>\n<\/tr>\n<\/table>\n \n\n| \n Schedule E<\/b><\/p>\n \nBrown-Forman Corporation\n<\/p>\n \nSupplemental Free Cash Flow Information (Unaudited)\n<\/p>\n For the Six Months Ended October 31, 2024 and 2025<\/i><\/p>\n (Dollars in millions)<\/i><\/p>\n<\/td>\n<\/tr>\n\n | \n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n | \n| \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n \n2024\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n \n2025\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \n\u00a0\n<\/p>\n \nCash provided by operating activities\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n \n$\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n \n129\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n \n$\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n \n292\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nAdditions to property, plant, and equipment\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(72\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n(56\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nFree cash flow*\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n57\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n236\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n<\/table>\n \n\n| ____________________<\/td>\n<\/tr>\n | \n| \n \n*See \u201cNote 2 – Non-GAAP Financial Measures\u201d for details on our use of Non-GAAP financial measures, how these measures are calculated, and the reasons why we believe this information is useful to readers.\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n Note: Totals may differ due to rounding.<\/i><\/p>\n<\/td>\n<\/tr>\n<\/table>\n Note 1 – <\/b>All related commentary and percentage growth rates are on a reported basis and compared to the same prior-year periods, unless otherwise noted.\n<\/p>\n Note 2 – Non-GAAP Financial Measures<\/b><\/p>\n Use of Non-GAAP Financial Information<\/span>. We report our financial results in accordance with U.S. generally accepted accounting principles (GAAP). Additionally, we use some financial measures in this press release that are not measures of financial performance under GAAP. These non-GAAP measures, defined below, should be viewed as supplements to (not substitutes for) our results of operations and other measures reported under GAAP. Other companies may define or calculate these non-GAAP measures differently. Reconciliations of these non-GAAP measures to the most closely comparable GAAP measures are presented on Schedules A, B, C, and E of this press release.\n<\/p>\n\u201cOrganic change\u201d in measures of statements of operations<\/span>. We present changes in certain measures, or line items, of the statements of operations that are adjusted to an \u201corganic\u201d basis. We use \u201corganic change\u201d for the following measures: (a) organic net sales; (b) organic cost of sales; (c) organic gross profit; (d) organic advertising expenses; (e) organic selling, general, and administrative (SG&A) expenses; (f) organic other expense (income), net; (g) organic operating expenses* and (h) organic operating income. To calculate these measures, we adjust, as applicable, for (1) acquisitions and divestitures, (2) other items, and (3) foreign exchange. We explain these adjustments below.\n<\/p>\n\n- \u201cAcquisitions and divestitures.\u201d <\/i>This adjustment removes (a) the gain or loss recognized on sale of divested brands and certain assets, (b) any non-recurring effects related to our acquisitions and divestitures (e.g., transaction, transition, and integration costs), (c) the effects of operating activity related to acquired and divested brands, including certain divested agency brands, for periods not comparable year over year (non- comparable periods), and (d) fair value changes to contingent consideration liabilities. Excluding non- comparable periods allows us to include the effects of acquired and divested brands only to the extent that results are comparable year over year. For the first and second quarters of fiscal 2026, we had the following acquisitions and divestitures adjustments:\n
During fiscal 2023, we acquired Gin Mare Brand, S.L.U. and Mareliquid Vantguard, S.L.U., which owned the Gin Mare brand (Gin Mare). This adjustment removes the fair value adjustments to Gin Mare\u2019s contingent consideration liability that is payable in cash no later than July 2027 from our other expense (income), net and operating income.<\/p>\n During fiscal 2024, we sold our Finlandia vodka and Sonoma-Cutrer wine businesses and entered into related transition services agreements (TSAs) for these businesses. This adjustment removes the net sales, cost of sales, operating expenses, and operating income recognized pursuant to the TSAs related to distribution services in certain markets for the non-comparable period, which is activity from the first and second quarters of fiscal 2025.<\/p>\n During the first quarter of fiscal 2025, we recognized a gain of $12 million on the sale of the Alabama cooperage. This adjustment removes the gain from our other expense (income), net and operating income.<\/p>\n During the first quarter of fiscal 2026, we ended our sales, marketing, and distribution relationship with Korbel Champagne Cellars (Korbel relationship), effective June 30, 2025. This adjustment removes the net sales, cost of sales, operating expenses, and operating income for the non-comparable period, which is July through October of fiscal 2025 and 2026.
\n<\/li>\n<\/ul>\n \n- \u201cOther items.\u201d <\/i>Other items include the additional items outlined below.\n<\/li>\n<\/ul>\n
\u201cFranchise tax refund.\u201d <\/i>During the first quarter of fiscal 2025, we recognized a $13 million franchise tax refund due to a change in franchise tax calculation methodology for the state of Tennessee. This modification lowered our annual franchise tax obligation and was retroactively applied to franchise taxes paid during fiscal 2020 through fiscal 2023. This adjustment removes the franchise tax refund from our other expense (income), net and operating income.\n<\/p>\n \u201cRestructuring initiative.\u201d <\/i>During the third quarter of fiscal 2025, our Board of Directors approved a plan to reduce our structural cost base and realign resources toward future sources of growth. This included reducing our workforce by approximately 12% and closing the Louisville-based Brown-Forman Cooperage. We also offered a special, one-time early retirement benefit to qualifying U.S. employees. During the first and second quarters of fiscal 2026, we incurred $16 million in restructuring and other charges associated with this initiative and completed the sale of the Brown-Forman Cooperage facility and related assets. Comparatively, we incurred $2 million in related restructuring and other charges in the second quarter of fiscal 2025, prior to the restructuring initiative\u2019s announcement. This adjustment removes the restructuring initiative impact from our operating expenses and operating income for the second quarter of fiscal 2025 and the first half of fiscal 2026.\n<\/p>\n \u201cSubstitution drawback claims.\u201d <\/i>During the first quarter of fiscal 2026, we recognized a net benefit of $18 million related to the collection of substitution drawback claims filed with the U.S. Government between fiscal 2016 and 2019. As of the first quarter of fiscal 2026, all claims have been collected. This adjustment removes the benefit from our other expense (income), net and operating income.\n<\/p>\n\n- \u201cForeign exchange.\u201d <\/i>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 exchange allows us to understand our business on a constant-dollar basis, as fluctuations in exchange rates can distort the organic trend both positively and negatively. (In this press release, \u201cdollar\u201d means the U.S. dollar unless stated otherwise.) To eliminate the effect of foreign exchange fluctuations when comparing across periods, we translate current-year results at prior-year rates and remove transactional and hedging foreign exchange gains and losses from current- and prior-year periods.\n<\/li>\n<\/ul>\n
\n\n| ____________________<\/td>\n<\/tr>\n | \n| \n \n*Operating expenses include advertising expenses, SG&A expenses, restructuring and other charges, and other expenses (income), net.\n<\/p>\n<\/td>\n<\/tr>\n<\/table>\n \nWe use the non-GAAP measure \u201corganic change,\u201d 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 components of management incentive compensation; (d) plan and forecast; and (e) communicate our financial performance to the Board of Directors, stockholders, and investment community. We have consistently applied the adjustments within our reconciliations in arriving at each non-GAAP measure. We believe these non-GAAP measures are useful to readers and investors because they enhance the understanding of our historical financial performance and comparability between periods. When we provide guidance for organic change in certain measures of the statements of operations we do not provide guidance for the corresponding GAAP change, as the GAAP measure will include items that are difficult to quantify or predict with reasonable certainty, such as foreign exchange, which could have a significant impact to our GAAP income statement measures.\n<\/p>\n \nIn addition to the non-GAAP financial measures presented, we believe that our results are affected by changes in distributor inventories, particularly in our largest market, the United States, where the spirits industry is subject to regulations that essentially mandate a so-called \u201cthree-tier system,\u201d with a value chain that includes suppliers, distributors, and retailers. Accordingly, we also provide information concerning estimated fluctuations in distributor inventories. We believe such information is useful in understanding our performance and trends as it provides relevant information regarding customers\u2019 demand for our products. See Schedule D of this press release.\n<\/p>\n \u201cFree cash flow.\u201d <\/i>Free cash flow is a liquidity measure that represents cash provided by operating activities less additions to property, plant, and equipment. In Schedule E, we provide this calculation for the relevant periods. We believe this non-GAAP measure provides useful information to investors about the amount of cash generated from our business operations. We use free cash flow primarily to meet current obligations, make appropriate capital and strategic investments, and return cash to our stockholders through regular dividends and, from time to time, through share repurchases and special dividends. Free cash flow is not a measure of cash available for discretionary expenditures since we have certain non-discretionary obligations, such as debt service, that are not deducted from this measure. Free cash flow should be considered in addition to, rather than as a substitute for, cash provided by operating activities reported under GAAP.\n<\/p>\n Note 3 – Definitions<\/b><\/p>\n \nFrom 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 category. Below, we define the geographic and brand aggregations used in this release.\n<\/p>\n Geographic Aggregations.<\/i><\/p>\n \nIn Schedule C and Schedule D, we provide supplemental information for our top markets ranked by percentage of net sales. In addition to markets listed by country name, we include the following aggregations:\n<\/p>\n \n- \u201cDeveloped International\u201d <\/i>markets are \u201cadvanced economies\u201d as defined by the IMF, excluding the United States. Our top developed international markets were Germany, Australia, the United Kingdom, France, and Canada. This aggregation represents our net sales of branded products to these markets.\n<\/li>\n<\/ul>\n
\n- \u201cEmerging\u201d <\/i>markets are \u201cemerging and developing economies\u201d as defined by the IMF. Our top emerging markets were Mexico, Poland, Brazil, and T\u00fcrkiye. This aggregation represents our net sales of branded products to these markets.\n<\/li>\n<\/ul>\n
\n- \u201cBrazil\u201d <\/i>includes Brazil, Paraguay, Uruguay, and certain other surrounding territories.\n<\/li>\n<\/ul>\n
\n- \u201cTravel Retail\u201d <\/i>represents our net sales of branded products to global duty-free customers, other travel retail customers, and the U.S. military, regardless of customer location.\n<\/li>\n<\/ul>\n
\n- \u201cNon-branded and bulk\u201d <\/i>includes net sales of used barrels, contract bottling services, and non-branded bulk whiskey, regardless of customer location.\n<\/li>\n<\/ul>\n
Brand Aggregations.<\/i><\/p>\n \nIn Schedule B and Schedule D, we provide supplemental information for our top brands ranked by percentage of net sales. In addition to brands listed by name, we include the following aggregations outlined below.\n<\/p>\n \u201cWhiskey\u201d <\/i>includes all whiskey spirits and whiskey-based flavored liqueurs. The brands included in this category are the Jack Daniel\u2019s family of brands (excluding the \u201cReady-to-Drink\u201d products defined below), the Woodford Reserve family of brands (Woodford Reserve), the Old Forester family of brands (Old Forester), The Glendronach, Benriach, Glenglassaugh, and Slane Irish Whiskey.\n<\/p>\n\n- \u201cAmerican whiskey\u201d <\/i>includes the Jack Daniel\u2019s family of brands (excluding the \u201cReady-to-Drink\u201d products defined below), Woodford Reserve, and Old Forester.\n<\/li>\n<\/ul>\n
\n- \u201cSuper-premium American whiskey\u201d <\/i>includes Woodford Reserve, Gentleman Jack, and other super- premium Jack Daniel\u2019s expressions.\n<\/li>\n<\/ul>\n
\n- \u201cReady-to-Drink\u201d <\/i>includes all ready-to-drink (RTD) and ready-to-pour (RTP) products. The brands included in this category are Jack Daniel\u2019s RTD and RTP products (JD RTD\/RTP), New Mix, and other RTD\/RTP products.\n<\/li>\n<\/ul>\n
\n- \u201cJack Daniel\u2019s RTD\/RTP\u201d <\/i>products include all RTD line extensions of Jack Daniel\u2019s, such as Jack Daniel\u2019s & Coca-Cola RTD, Jack Daniel\u2019s & Cola, Jack Daniel\u2019s Double Jack, Jack Daniel\u2019s Country Cocktails, and other malt- and spirit-based Jack Daniel\u2019s RTDs, along with Jack Daniel\u2019s Winter Jack RTP.\n<\/li>\n<\/ul>\n
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