June 5 (Reuters) - Jack Daniel's maker Brown-Forman ( BF/A )

beat fourth-quarter profit expectations on Wednesday, as

price hikes on its premium whiskey and tequila helped offset

waning demand, sending the company's shares up 3% in premarket

trading.

Gains from price hikes across the portfolio and lower supply

chain costs helped the company counter higher raw materials

costs such as agave, a key ingredient for tequila, and wood

barrels.

Brown-Forman ( BF/A ) reported earnings per share of 56 cents for the

quarter ended April 30, while analysts, on average, estimated it

to earn 42 cents, according to LSEG data.

The el Jimador tequila maker's quarterly gross margin fell

to 59% from 60.8% a year earlier, mainly due to increased

advertising expenses and input costs.

However, the price hikes over the past few quarters have led

to some consumers cutting back spending on its higher-margin

liquor, causing an 8% decline in quarterly net sales to $964

million.

For the fourth quarter, the company reported net sales of

$964 million compared with analysts' estimates of $1.03 billion.

Brown-Forman ( BF/A ) reported a 2% decline in the organic sales of

its Whiskey products owing to lower volumes for Jack Daniel's

Tennessee Whiskey and Jack Daniel's Tennessee Honey, reflecting

an estimated net decrease in distributor inventories.

The company, which saw a 7% drop in organic sales of its

tequila business, forecast annual organic sales growth in the

range of 2% to 4%, the midpoint of which is slightly below

analysts' estimates of 3.68% growth.