We have today announced to the ASX our Q1 results which reflect ongoing growth acceleration in both beer and spirits with wholesale growth at +99% and non-Victorian venues getting back to ~ 80% of pre COVID levels. Key operational highlights included:
- Completed a capital raise for $16.1m ensuring the business is well funded and able to execute its stated growth strategy
- Continued to accelerate growth with group revenue growth of +133% vs Q1 FY20
- Wholesale revenue growth at +99% with Beer growing at 96.4% and Spirits at 117% vs Q1 FY20
- Strong performance of Spirits which will accelerate with the launch of Tasmanian Whisky Co which will have its first release of single malt Whisky in market in Q3 FY21
- Distribution growth continues to accelerate with total distribution points up 5,525 to 10,069 an increase of 84% in the quarter (i.e. vs the end of FY20)
- Appointment of Yolanda Uys into the Role of Marketing and Innovation Director reflecting upweighted investment in brands
- Execution of an agreement with Bevchain who will manage national cold chain storage and transport for Founders First brands
- Launch of a new Operating model for Founders First that simplifies the distribution model and offers improved customer service and lower cost across the group
- The Mighty Hunter Valley continues to demonstrate enormous potential despite the restrictions in place trading ~$110k per week through the recent school holidays despite capacity restricted to 300 (vs 600 PAX license)
- Kangaroo Island Distillery shortlisted for International Gin Producer of the Year at the IWSC London to be announced on November 18th
- KIS Whisky release planned for Q3 FY21
Commenting on the first quarter of FY21, Founders First Managing Director, Mark Haysman said: “A very strong start to the year with the completion of a significant capital raise in September which enables us to execute our growth strategy and invest in the business to fuel further growth. I am very pleased with our growth profile which is tracking ahead of expectations as the macro theme around craft continues to accelerate and retailers are responding well to our model which simplifies their business and in turn provides better outcomes for their customers".
You can view the full detailed announcement here.