CALGARY, AB , May 14, 2025 /CNW/ - Big Rock Brewery Inc. (TSX: BR) (" Big Rock " or the " Corporation ") today announces its financial results for the three months ended March 31, 2025 .
Financial Summary
For the three months ended March 31, 2025 , compared to the three months ended March 31, 2024 , the Corporation reported:
- total sales volumes up 51.2% to 68,344 hl compared to 45,204 hl, driven by contract sales volumes that more than doubled and consistent wholesale volumes;
- net revenue increased by 30.5% to $11.2 million from $8.6 million because of increased co-packing sales volumes;
- gross margin increased to 33.1% compared to 20.2%;
- operating income increased to $0.1 million , compared to an operating loss of $(2.3) million ;
- net loss decreased by $(3.1) million to $nil; and
- Adjusted EBITDA increased by $2.2 million to $0.7 million . Adjusted EBITDA is a non-GAAP financial measure, see " Non-GAAP Measures ".
Summary of Results
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$000, except hl and per share amounts |
Three months ended March 31 |
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2025 |
2024 |
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Sales volumes - wholesale (hl) |
31,892 |
32,352 |
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Sales volumes – contract (hl) |
36,452 |
12,852 |
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Total sales volumes (hl) |
68,344 |
45,204 |
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Gross product revenue |
$ 14,203 |
$ 11,288 |
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Net revenue |
11,200 |
8,582 |
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Cost of sales |
7,491 |
6,845 |
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Adjusted EBITDA (1) |
688 |
(1,473) |
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Operating income (loss) |
100 |
(2,299) |
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Net loss |
(49) |
(3,073) |
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Net loss per share amount (basic & diluted) |
$ (0.00) |
$ (0.44) |
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(1) |
Non-GAAP measure. See " Non-GAAP Measures" . |
Sales volumes increased by 51.2% compared the first quarter of 2024 and a 9.2% increase compared to the fourth quarter of 2024. More importantly, our adjusted EBITDA was a positive $0.7 million , which represents a $2.2 million improvement from the first quarter loss of $1.5 million incurred in 2024.
"In these times of uncertainty and significant economic headwinds I am thrilled to announce our first quarter 2025 results. These improvements are the result of the implementation of our strategy that we outlined in 2024. Growth of contract sales volumes allows the Corporation to flatten the historically seasonal production and sales curve which not only improves operational efficiencies but improves profitability as a significant portion of the Corporations costs are fixed. The management team is also working to mitigate the impact of the recently announced changes to the Alberta Markup Share and ongoing turmoil with global tariffs ". said Mr. Kinder
Additional Information
The unaudited condensed interim consolidated financial statements of the Corporation and the Corporation's Management Discussion & Analysis for the quarter ended March 31, 2025 dated May 13, 2025 , can be viewed on Big Rock's website at www.bigrockbeer.com and on SEDAR+ at www.sedarplus.ca under Big Rock Brewery Inc.
Big Rock is also pleased to announce that the Annual Meeting of Big Rock shareholders is expected to be held on May 14, 2025 at 2:00 p.m. (Mountain Standard Time) . Further details of the Annual Meeting will follow in due course.
NON-GAAP MEASURES
The Corporation uses certain financial measures referred to in this press release to quantify its results that are not prescribed by Generally Accepted Accounting Principles (" GAAP "). Such financial measures do not have a standardized meaning under GAAP and therefore may not be comparable to similar measures presented by other issuers.
This press release contains the term "Adjusted EBITDA". Adjusted EBITDA is a non-GAAP financial measure that the Corporation uses to measure operating performance and borrowing capacity. The calculation of Adjusted EBITDA is a non-GAAP financial measure, whose nearest GAAP measure is net income, or net loss, as applicable, with the reconciliation between the two as follows:
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(1) |
Non-GAAP measure. See " Non-GAAP Measures ". |
Forward-Looking Information
Certain statements contained in this press release constitute forward-looking statements. These statements relate to future events or Big Rock's future performance. All statements, other than statements of historical fact, may be forward-looking statements. Forward-looking information are not facts, but only predictions and generally can be identified by the use of statements that include words or phrases such as, "anticipate", "believe", "continue", "could", "estimate", "expect", "intend", "likely", "may", "project", "predict", "propose", "potential", "might", "plan", "seek", "should", "targeting", "will", and similar expressions. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. Big Rock believes that the expectations reflected in those forward-looking statements are reasonable but no assurance can be given that these expectations will prove to be correct and such forward-looking statements included in this press release should not be unduly relied upon by readers, as actual results may vary materially from such forward-looking statements. These statements speak only as of the date of this press release and are expressly qualified, in their entirety, by this cautionary statement.