Craft Beer annual Sales and Profits report
Accounts newly filed at Companies House show that Pauls, which supplies the brewing and distilling industries in the UK and internationally, saw turnover fall to £109.321m in the year to June 30, 2016, compared with £121.193m in the previous 12 months.
Profit before tax fell to £8.598m, from £9.443m in 2014-15, with a reduction in the cost of sales and distribution offset by increased administrative expenses.
The overall decline in turnover included a fall in UK sales to £86.716m, from £94.254m the previous year. Sales to the rest of Europe, Asia and Africa were also lower, although there was a small increase in sales to the rest of the world.
Pauls, which is part of the international maltings group Boortmalt, based in Antwerp, Belgium, says in its report accompanying the annual accounts that UK beer market remained stable, with 2015’s fall in global sales being led by reductions in China (4.3%), Brazil (2%) and the United Sates (1.4%).
It also notes that, while the UK’s average beer consumption 67.1 litres per head is now below the European Union average of 72 litres, the UK remains the world’s ninth largest beer producer.
“In common with many other countries the UK has benefited from the craft revolution and the numbers of UK brewers increased by 200 in 2015 to reach 1,380,” it says. “The US continues to lead the world as far as craft brewing is concerned with further growth of 13% in 2015 and the 4,225 craft brewer now accounting for 12.2% to total US beer market share.
“In response to this development the Boortmalt group has developed four distinct craft beer brands including one for the UK. These will be progressively rolled out in 2017 to take advantage of the global craft phenomena and the associated attractive margins available,” it adds.