Big Rock Brewery considers restructuring, potential sale amid industry downturn

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Big Rock Brewery considers restructuring, potential sale amid industry downturn yyc yycbiz

Big Rock’s revenue still up two per cent year-over-year, bucking industry trend

It was a tough 12 months for the brewery, which saw sales volumes drop three per cent over 2021, exacerbated by inflationary pressures and rising costs. On Tuesday, Blair Burdesco, executive director for the Alberta Small Brewery Association, said costs are up 30 per cent for brewers on everything from grain to cans and boxes.Still, there are some foundational strengths for Big Rock. Revenue is actually up two per cent year-over-year at a time when industry revenue is down four per cent.Its balance sheet took a big hit with $2.4 million in charges this quarter, including $1.

Bolstering its efforts for 2023 is the removal of volume produced under co-packing agreements from its taxation formula. This will avoid double taxation on co-pack customers and will allow Big Rock to grow its co-pack business without negative effects on Big Rock branded products sold in Alberta.Article contentRecommended from EditorialA big part of the brewery’s path forward will come in the form of a push to “premiumize” its beer.

“The revenues in the industry are down because people aren’t drinking as much beer. But in our view, people are drinking higher-end beers,” said Giblin. “It’s very competitive in the more price-conscious market. So if we premiumize, we are gonna get better margins for the business and we’re going to have a better competitive position.”

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Big Rock Brewery considers restructuring, potential sale amid industry downturnA big part of the brewery\u0027s path forward will come in the form of a push to \u0022premiumize\u0022 its beer.
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Big Rock Brewery considers restructuring, potential sale amid industry downturnA big part of the brewery\u0027s path forward will come in the form of a push to \u0022premiumize\u0022 its beer. If it was in Ontario, the feds would work out a deal!
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