The Brown-Foreman corporation announced it had beaten Wall Street estimates for its quarterly sales, as higher prices for whiskey, as well as a constant demand for its brands, such as Jack Daniels whiskey, Woodford Reserve bourbon and el Jimador tequila.

Company shares rose roughly 2% in early trading.

Amid increase costs and a stronger US dollar, spirit makers have raised their prices in an effort to protect their margins.

For the fourth quarter ending April 30th, Brown-Foreman’s revenue increased 5% to $1.05 billion, topping analyst estimates of $990.3 million, according to Refinitiv data.

However even hiking prices, the company has been battling with higher expenses, related to supply chain costs, raw materials, and packaging, all reducing gross margins to 60.8% for the quarter, down from 62.8% one year earlier.

That is in contrast with other consumer companies, such as beverage makers and retailers, which have relied on reduced input costs and inventories, as well as extended price hikes, to recover their margins quicker than expected.

Based out of Louisville, Kentucky, Brown-Foreman also benefitted from air and cruise travel rebounding, as well as distributors in markets like Germany, Australia and Mexico, restocking its products after a year of disruptions to supply chains.

Earnings per share for the quarter were 43 cents per share, which was consistent with analyst expectations.

Brown-Foreman’s results were consistent with the results of similar companies, such as Anheuser-Busch InBev, Molson Coors Beverage Co and Constellation Brands Inc, all of which have reported resilient demand for their costlier products, and an upbeat quarter.

Brown-Forman reported that its expectations are for organic net sales to increase between 5% and 7% for the full year.