Gage Roads Little Dove New World Pale Ale

Gage Roads Brewing Co has reported a 241 per cent increase in draught beer sales on the same period last year, according to its quarterly sales results.

The company says the draught sales are a strong indicator that its renewed focus on the on-premise channel is working.

Little more than five per cent (150,000 litres) of Gage Roads’ volume is currently draught, which the company says makes margins of 80 to 85 per cent.

Gage Roads said it had experienced strong demand for its proprietary brands through Woolworths stores, wherequarterly sales to consumers increased by 19 per cent on last year.

“Despite the improvement in sales out of Woolworths stores, the company recorded lower sales into Woolworths during Q1 FY17,” the brewer said.

“This well-anticipated 36 per cent reduction in quarterly sales is a temporary inventory adjustment and, on an annualised basis, the company expects to see growth in sales of its proprietary products to Woolworths.

“Despite the lower comparative sales in Q1 FY17, the company is on track to deliver on its strategy to achieve at least 11 million litres in sales per annum whilst achieving improved earnings through a shift to increased volumes of higher-margin products.”