Stadium sales lift Gage Roads

Shares in Gage Roads Brewing Company have jumped today after the company posted impressive quarterly results, driven by strong sales at Optus Stadium.

Palmyra-based Gage Roads generated net operating cash flows of $2.1 million on the back of $15.3 million in cash receipts, with the news sending the company’s share price up 24 per cent to 8.8 cents each.

The craft brewer said its sales to independent retailers had increased 183 per cent in the quarter, while draught keg sales were up 445 per cent compared to the previous year.

The company attributed the boost in keg sales partially to the start of of sales at Optus Stadium during the quarter.

In the nine months to March, the company’s total volume of sales was up 27 per cent, with draught sales leading the way with a 275 per cent spike.

The company also recently appointed former Little Creatures marketing head Miles Hull as its national marketing executive.

Earlier this month, Gage Roads signed a deal to extend its partnership with Perth Fringe World until 2021.

Managing director John Hoedemaker said the strong results were indicative of the momentum the company was gaining.

“The impressive third quarter and year-to-date sales results are testament to the increased brand awareness that our brands are attracting and are validating the strategies behind our five-year plan,” he said

“Miles’ appointment will help us accelerate those strategies into key markets on the east coast of Australia whilst maintaining and growing the fantastic momentum we have in Western Australia.

“Given the success of the 'brand-in-hand' partnerships such as Fringe World, we are actively working on securing additional opportunities locally and on the east coast to continue to drive brand awareness and sales of our brands that will continue to deliver increased earnings for our shareholders.“