American spirits maker Brown-Forman Corp, on Tuesday reported a 4% drop in third quarter net income to $182m, continuing a downward trend that has been going on since the first quarter.

The maker of Jack Daniel’s Tennessee Whiskey said that its profit was dragged down by lost revenue from the sale of two brands – Southern Comfort and Tuaca in January 2016. The company also cites unfavourable foreign exchange translations in emerging markets as a reason for the poor earnings. The company makes 60% of its revenue from overseas markets.

Bown-Forman reported flat net sales of $808m in the third quarter after deducting excise taxes from sales.

Paul Varga, the company’s chief executive officer, said “Against a continued challenging global backdrop for consumer staples, our third quarter underlying sales growth accelerated nicely relative to our first half. We expect our fourth quarter underlying sales to have a similar favourable comparison to the first half, though we now anticipate full year underlying results at the lower end of our original forecast.”

Looking to the rest of the financial year, Brown-Forman said it estimates underlying net sales growth of between 3%-4%.