Good Drinks Australia (GDA) has announced its 2024 financial results, highlighting a significant boost in earnings across its core and hospitality businesses, alongside a seven percent volume growth in its brand portfolio despite challenges in the beer market.
The company reported an underlying EBITDA of $8.2 million for FY24, marking a 14 percent increase from the previous year. GDA attributed this growth to the continued robust performance of its hospitality segment.
In a statement to the Australian Securities Exchange (ASX), GDA celebrated the successful opening of Matso’s Sunshine Coast venue, which has become a key asset alongside its flagship Gage Roads Fremantle location. Both venues enjoyed a record year of operations.
The company noted, “Our international partner brands have shown growth in their competitive segments, and we are excited to add Rekorderlig Cider to our portfolio. This cements Good Drinks Australia’s position as one of the most successful Australian brewers, ranking fourth in market share behind Asahi (CUB), Kirin (Lion), and Coopers, while being the fastest-growing among the top four national brewers.”
GDA’s statement emphasized the value of sustained investment in sales and marketing. The company invested $9 million in expanding its sales team and establishing a national call center to enhance service in remote and regional areas. Additionally, $9.9 million was spent on marketing activities, bringing total sales and marketing expenditures to $18.9 million, an increase of $0.5 million from the previous year.
This focused strategy led to a 26% increase in sales volume in Queensland and an 11% rise in Western Australia, driven primarily by the Gage Roads and Matso’s brands. Other brands in the portfolio, including Magners, Coors, Millers, and new products like Matso’s Nightlife 6% and Rider, also contributed significantly to the year’s sales volumes.
Chairman Ian Olson expressed satisfaction with the company’s performance, stating, “The Group generated $112 million in revenue and an underlying EBITDA of $8.2 million, a pleasing result given the challenging economic environment characterized by reduced consumer spending.”
Olson underscored the importance of continued investment in sales and marketing, which he believes will eventually lead to a higher company valuation not yet reflected in its current share price. He highlighted that GDA’s strategic investments have established the largest independent national sales, distribution, and marketing platform in Australia, positioning GDA as the country’s fourth-largest national brewer and the fastest-growing in its category.
He concluded by commending the GDA team for their dedication and professionalism, stating, “The entire team at Good Drinks Australia deserves recognition for their passion and commitment to building a world-class operation, with the mission of placing a Good Drinks beverage in every fridge and pub across the country.”
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