The loss increased from the £2.3m figure reported a year prior, with Adnams stating that “multiple factors had continued to challenge brewing and hospitality” during 2023. The firm’s operating losses also widened to £2.5m due to higher costs.
Nonetheless, Adnams increased sales by 3% year-on-year to £66.3m and experienced stronger demand in on- and off-trade channels during the second half of year.
Meanwhile, the brewer said that beer volumes have risen by 11% during the first quarter of 2024.
Following an announcement in February 2024, Adnams also confirmed that it is continuing to explore a range of options to fund its future growth plans with the support of its advisors and “has received an encouraging response to the process”.
The board's preferred option remains the raising of additional capital from another party and/or the sale of freehold assets to return capital to the company, however no decision has yet been taken.
Commenting on the company’s performance, Adnams chief executive Andy Wood said: "As we continue to pursue our strategy, it's important that we leverage our distinctive strengths – as a heritage-rich, innovative company – to their fullest. The Adnams brand continues to hold significant equity and is championed and cherished by its customers.”
Wood is due to step down from the role in June 2024, when he will be replaced by Jenny Hanlon. Set to take up the role on 1 July, Hanlon will become the first woman to serve as Adnams chief executive in its 150-year history.
"The coming months will see the company undergo further change as it is positioned for further growth,” Wood added.
“This change is likely to result in a simplified operating model that encompasses the things the business does well, whilst reducing its borrowings, susceptibility to economic shocks and building greater resilience."
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