E-Malt.com News article: Canada, ON: Brick Brewing Co. announces its financial results for the second quarter

Brick Brewing Co. Limited, Ontario's largest Canadian-owned and Canadian-based publicly held brewery, released its financial results for the second quarter ended July 31, 2011, Stockhouse reported on September, 7.

"Our core beer portfolio continued to deliver strong growth in the second quarter. The Laker trademark, which is our largest brand family, grew 18.6% year over year," said George Croft, President and CEO.

"The Seagram Blends integration is substantially complete and we are ready to turn our focus to growth, applying the same rigor and discipline that helped Brick achieve success within its beer portfolio. Profitability of the Seagram portfolio has met our expectations," said Croft. "Consumers will start to see new product innovation as early as December 2011," added Mr. Croft.

Financial highlights are as follows:

- Net revenues for the second quarter of fiscal 2012 were C$10.7 mln compared to C$9.1 mln in the second quarter of fiscal 2011.

- Sales volumes for Brick beer brands increased by 7.1% compared to the second quarter of fiscal 2011. Brick drove this sales growth through a period of intense price competition between its largest competitors.

- Gross profit percentage declined slightly from 30.4% to 27.7%.

- In the second quarter the company continued to prepare for a Global Food Safety certification, and incurred C$0.1 mln of incremental maintenance costs. Once completed, Brick will be the first Canadian brewer with this distinction.

- Continued growth of cans (64.9% in the quarter and 92.2% year to date), resulted in a shift of product mix. Brick generates a lower margin on can sales as compared to bottles, due to the relative speed of production and aluminum costs.

- EBITDA for the period ended July 31, 2011 was C$1.8 mln, with a net income of C$0.8 mln.

About Brick Brewing

Brick Brewing Co. Limited is Ontario's largest Canadian-owned and Canadian-based publicly held brewery. The company is a regional brewer of award winning premium quality and value beers. The company, founded in 1984, was the first craft brewery to start up in Ontario, and is credited with pioneering the present day craft brewing renaissance in Canada. The company has complemented its Waterloo family of premium craft beers with other popular brands such as Laker, Red Baron, Red Cap and Formosa Springs Draft.


09 September, 2011