Ontario-based Andrew Peller Ltd. expects that its May sale of Vancouver’s Granville Island Brewing Co. will help what is now exclusively a wine producer increase its 2011 sales, Andrew Peller CEO John Peller said June 9, when his company released its year-end financial report.
“[We] look for further growth in both sales and profitability in fiscal 2011,” Peller said in a release.
Peller’s profitable company increased sales 4.8% to $263.2 million in the year that ended March 31.
Granville Island Brewing general manager Walter Cosman praised Andrew Peller management. But he told Business in Vancouver that he has already noticed some benefits of no longer being associated with the company.
“They were very supportive of us,” Cosman said, “but obviously not as much as someone who is in the beer business and understands that we are in the fastest growing segment within the beer industry – craft brews.”
Andrew Peller closed its sale on May 1 of both Granville Island Brewing and Mainland Beverage Distribution Ltd. to Molson Coors Brewing Co. (TAP:NYSE) subsidiary Creemore Springs Brewery Ltd. for approximately $26.2 million.
“Beer was not their core business,” Cosman said. “If there were extra dollars to be invested, you’re obviously going to look first at your core business.”
Cosman estimated that his brewery increased revenue about 12% to $25.4 million in the year ended March 31. That’s much less than the 22.7% revenue growth it enjoyed between 2008 and 2009.
Deep-pocketed owners have enabled Cosman to continue to experiment with limited edition products such as ginger beer. He launched sales of 759 dozen 650-ml bottles of that brew June 9.