Craft Beer Pioneer Meets Financial Objectives

Craft Beer Pioneer Meets Financial Objectives

Pioneering New Zealand craft brewery, Renaissance Brewing, has released its end of financial year report to its shareholders. In August 2014 Renaissance became the first New Zealand company to equity crowdfund and part of the agreement with the new shareholders was that it would provide a unaudited financial and strategic overview at the end of financial year. Renaissance sent this to shareholders yesterday.

In the March-End 2015 Financial Year Renaissance posted an operating profit (EBITDA) of $225k on revenues of $1.835m at a gross margin of 42.3%. This is above the expectations and forecast Renaissance provided in its Information Memorandum (IM) at the time of crowdfunding.

Gareth Lyne, Chairman of Renaissance, was extremely pleased with the result:

“Over delivering on our financial objectives in the first year we have been required to set targets and publish results to our broader ownership base is very important. The board of directors took huge rigour in ensuring that the numbers we projected were an achievable challenge for our staff. They [the staff] have done a fantastic job in achieving this goal, especially the effort that has gone into seeding our newly opened export markets in Japan and Finland. I would like to also thank Wallace Diack our local accountants for getting the end of year accounts prepared so swiftly and professionally for us.”

Renaissance’s full year result is more than a 20% increase on the previous financial year revenue and the half year result from Oct-14 to Mar-15 was 40% above the revenue the previous year.

Brian Thiel, Founder and CEO, said: “The Snowball Effect crowdfunding provided us with the shot in the arm we required to get things cranking, the 40% growth since we did it is testament to this. The seeds we have planted are starting to grow. The next couple of years we expect to exceed the projections we gave to investors, whilst maintaining and improving our gross margins. It is sustainable and, more importantly, achievable growth for us. Maintaining margins whilst increasing revenues and profit are very important as we want to be a high end luxury brand, not a commoditised volume product.”

Highlights of the last year for Renaissance have been:

• First New Zealand Company to Equity Crowdfund

• Champion International Small Brewery (AIBA), Westcoast IPA Challenge Champion, New World Beer and Cider Awards Trophy for Stonecutter, NZ Beer Awards Trophy for Black the RIPA.

• Founding Member of the New Zealand Craft Beer Collective (opening the UK market collaboratively alongside Tuatara, 8 Wired, Three Boys and Yeastie Boys).

• New markets opened – Finland, Japan, Switzerland and Quebec.

• Moved into the NZTE Focus 700 Company segment

• Revenue up 20% to $1.835m, EBITDA up 31% to $225k, Gross Margin at 42.3%

• Retained earnings invested back into company, no cash dividend paid as per long term growth policy.
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About Renaissance Brewing: Renaissance is based in Blenheim, Marlborough and is one of the pioneers of craft brewing in New Zealand. In 2015 it will celebrate 10 since it was founded by Brothers-In-Law; Andy Deuchars and Brian Thiel. It makes a range of award winning craft beers and sells them domestically in New Zealand and exports them to 10 different countries globally.

For more information please contact: shareholders@renaissancebrewing.co.nz

For Dropbox Company Images:

https://www.dropbox.com/sh/40ns9ybfz4ex3w0/AADsnRlDqktRZ0cUQ1HuvuJna?dl=0

ENDS

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