Adnams presented a detailed review of its previously announced financial performance for the year ending 31st December, 2025, at its AGM on Friday.
Revenues for the year had been £63.7m, and while brewery volumes fell 6% year on year, they had outperformed the market decline of 8% in the prior year. Operating profits grew from a prior year loss to a profit of £0.5m, as a result of improved operations and disposal of non-core assets. Pre-tax losses reduced to (£0.7m) with an adjusted EBITDA of £0.5m. The Company confirmed its previous announcement that no dividend was to be paid, although it was hoped to be able to establish a dividend policy going forward.
Chair Simon Townsend confirmed that 2025 had been a difficult year for the company, following a series of loss-making years. While the company had already commenced the process of disposing of a number of assets, the disposal programme continued throughout 2025.
He said cost increases arising from the October 2024 budget, including changes to National Insurance contributions, the national minimum wage, and extended producer responsibilities, had added an estimated £2m to the cost base. Additionally, global geopolitical tensions have caused input price inflation, fuel cost increases and interest rates to remain stubbornly high.
Sales fell by just over £4m in the year, of which two-thirds was due to the reduction in sites combined with the loss of some contract brewing and distilling work. Adjusted EBITDA fell as a result, but pre-tax losses were reduced on the prior year.
The management team had also secured a further extension of the company’s borrowing facilities with Barclays through to June 2027, and the balance sheet repair that had been undertaken now means it can secure a longer-term facility from lenders. It was confirmed that banking discussions have already started in this regard.
“We have worked tirelessly to gain market share,” said chief executive Jenny Hanlon. “For example, in ale, we outperformed the market by 2%, which included securing over 3,700 new distribution points in the last 12 months across all the major supermarkets. Additionally, in 2026, our direct free trade business is holding value year on year, in a market that is facing significant decline.
“Nationally in pub companies, we’ve had significant success with our fastest growing beer, Ghost Ship Alcohol Free, with our latest big win being with Marstons for distribution in all of their 1,300 sites across the country. We retained and renewed our presence as primary ale supplier into Lords, with Old Father Time in the Members’ bar. In addition, we are also the exclusive beer provider to the Le Mans 24 hour race.”
