USA: Pyramid Breweries has announced a slight rise in net revenue for Q4 but an increase in net losses. Net revenue for the quarter to 31 December 2003 increased by 1.5% year-on-year, to $8.3m. Net loss for the quarter was $962,000 compared to a net loss of $37,000 for the fourth quarter of 2002.

EBITDA (Earnings before interest, taxes, depreciation, amortization and stock compensation expense) decreased by $743,000 to a negative $231,000 for the quarter.

Total beer shipments in the quarter decreased by 6.7% to 29,000 barrels, while total beverage barrel shipments amounted to 38,000 barrels in the quarter, decreasing by 5.1% from the previous-year period. Wholesale beverage sales decreased by 10.8% to $5.15m in the fourth quarter compared to the same quarter of 2002 as a result of lower shipment volumes, caused primarily by the retail grocery strikes in Southern California and lower sales in the Northwest Region, and an increase in promotional spending which is recorded as a sales deduction.

In a statement, president and CEO Martin Kelly said: “Unfortunately, the fourth quarter reflected some of the same challenges that we experienced earlier in the year. Overall, the quarter was disappointing.”

For the year, the company's net sales increased by 2.4% to $34.6m from $33.8m. Beverage Division net sales decreased by $1.28m to $22.2m in 2003 on lower shipment volumes. Shipment volumes were down by 2.6% to 159,000 barrels.

“While 2003 was a certainly a disappointment, we are pleased by the strong start in the beverage division in early 2004.,” said Kelly. “January shipments of beer and soda are up over 20% compared to 2003 levels. Additionally, we have successfully negotiated lower prices on many raw materials for 2004 as compared to 2003. In addition we have increased prices in much of the Northwest, effective January 2004. This price increase represents our most significant price increase in the Northwest in several years.”

11 February, 2004