BrewDog half-year sales up 55% to £78m

Ellon, Aberdeenshire-based craft brewing firm BrewDog on Thursday released a half-year trading update and said its total revenue is at £78 million, up 55% on the same stage of 2017.

Revenue of the brewery’s bar division is up 92%, generating an incremental £10 million so far in 2018.

BrewDog said its heavy investment in the off-trade, its bar openings and the newly acquired Draft House business have all contributed to its UK retail sales growth of 83%.

BrewDog cofounder James Watt said: “We’re at one of the most exciting and pivotal junctures in our existence.

“We’ve established a solid and rapidly growing presence in the UK and the demand from Europe shows no signs of waning.

“We’re making significant inroads in Asia and Australia, which I believe will begin to bear fruit in 2019.

“Our US business is expanding at breakneck speed with new distribution points added every week.

“All this wouldn’t be possible without our passionate community and a global beer audience that is growing increasingly tired of the lack of quality and variety offered by megabreweries.

“These half year figures are great, but we won’t rest on our laurels.

“There is much work still to do to change minds and bring more people into the craft beer revolution around planet Earth.”

BrewDog said it is now the 13th biggest beer brand in the UK and its flagship beer Punk IPA is now “the number 1 on trade craft beer in the UK with a market growth of 9.8% and a value growth of over 28.8%.”

It said on the off trade, Punk IPA “remains the best-selling craft beer, as it has been for the last three years.”

BrewDog added: “Currently, five of the top ten best-selling craft beers in the UK off trade are BrewDog products …

“Ongoing partnerships with JD Wetherspoon and Greene King have added 1,200 draught Punk IPA distribution points in the on trade, while on the off trade, Morrisons and Tesco have added 1,900 and 6,000 distribution points respectively in 2018.

“So far, in 2018, BrewDog has opened nine bars internationally, including two in Columbus, Ohio, and its first BrewPub in Tower Hill, London.

“Just last week, the brewery opened its first bar in Seoul, South Korea.

“In March, BrewDog purchased the Draft House estate of 14 bars in London and the South East and revamped the beer offering at all sites.

“BrewDog’s own Punk IPA and LoneWolf gin are now currently in the top 5 drinks sold at Draft House venues.

“At its AGM in April this year, BrewDog announced plans to open at least 17 new bars in the UK and around the world …”