Duckhorn Portfolio shares rally after hours on upbeat forecast, helped by wine enthusiasts’ ‘resilience’

Shares of high-end wine maker Duckhorn Portfolio Inc.
NAPA,
+1.10%
rose 3.8% after hours on Thursday after the company raised the low end of its full-year sales forecast, nudged its profit outlook higher and reported estimate-beating quarterly results, helped by price increases and the “resilience” of wine enthusiasts willing to pay more despite stubborn inflation. The company said it expected full-year sales of $400 million to $404 million, compared with earlier expectations for $398 million to $404 million. Duckhorn also raised its adjusted earnings per share outlook to a range of between 64 cents and 66 cents, up from a prior outlook of 63 cents to 65 cents. For its fiscal third quarter, Duckhorn reported net income of $16.8 million, or 15 cents a share, compared with $15.6 million, or 14 cents a share in the same quarter last year. Net sales were $91.2 million, down from $91.6 million in the prior-year quarter. Excluding stock compensation and value changes in derivatives, the company earned 16 cents a share. Analysts polled by FactSet expected adjusted earnings per share of 12 cents, on revenue of $89.8 million.