Beamish sales grow 8.6% last year despite decline in Irish beer market

CORK brewer Beamish & Crawford said sales of its products grew by almost 9% last year.

The company, part of the British drinks group Scottish & Newcastle, said sales last year grew by 8.6% despite challenging conditions in the beer and pub market.

The increases compares to a 9% drop in Guinness sales in the six months to end December.

Beamish & Crawford managing director Alf Smiddy said the company enjoyed strong growth across all key brands, which include Beamish Red Irish Ale, Miller Genuine Draft, Foster's Lager, Foster's Ice, Kronenbourg 1664 and Carling Lager.

"2005 has been a record year for the company in terms of output, sales and profitability, despite a decline in the Irish beer market by 2%, and a decline in industry pub sales by 10%.

"Beamish & Crawford grew net sales by 8.6% in a challenging Irish market, one year from the introduction of the smoking ban." Mr Smiddy said.

He said Beamish increased its market share in the stout sector, while other brands also enjoyed growth.

The company said Miller Genuine Draft enjoyed high double digit growth in 2005, while Fosters lager put in a "star performance" in 2005 making it the fastest growing beer brand in Ireland in 2005.

"Overall, the variable cost business model of Beamish & Crawford, which has involved the outsourcing of distribution, warehousing, technical services, and security in their entirety, has been a key driver of business success," Mr Smiddy said.

"The outsourcing of non-core activity to leading industry specialists has allowed for maximum focus on sales and marketing of the full range of beer brands in the island of Ireland, and this will continue going forward."

Scottish & Newcastle yesterday announced that pre-tax profits for 2005 were up from £358 million (€524m) to £392m (€574m).

The company said it increased its market share during the period, helping group sales to lift more than 4% on a year earlier to £3.93 billion (€5.76bn).