Blog Tracker
24-08-2020, 11:13
Visit the Shut up about Barclay Perkins site (http://barclayperkins.blogspot.com/2020/08/a-tough-year-for-barclay-perkins.html)
https://1.bp.blogspot.com/-aKWgzmHKMSw/X0ON4aTeItI/AAAAAAAAiOQ/Egv-5LRfMtsDRVlVGg6hPrvnOuXRLjX5ACLcBGAsYHQ/w318-h422/Barclay_Perkins_Pale_Ale_2.JPG (https://1.bp.blogspot.com/-aKWgzmHKMSw/X0ON4aTeItI/AAAAAAAAiOQ/Egv-5LRfMtsDRVlVGg6hPrvnOuXRLjX5ACLcBGAsYHQ/s527/Barclay_Perkins_Pale_Ale_2.JPG)
The last full year of peace wasn't a great one for Barclay Perkins, with profits declining.
Though the analysts weren't too pessimistic about the company's long-term prospects.
"Barclay Perkins
No surprise was occasioned by the decline in the profits of Barclay Perkins & Co., brewers, published overnight, for the year's dividend of 6 per cent., compared with 8 per cent., previously announced, had prepared shareholders for some decline in earnings. The gross profits for the year ended March 31st last amount to £400,622, in comparison with £431,959 twelve months ago. While the Company has probably continued to experience an increase in turnover, the higher cost of brewing materials have doubtless had some thing to do with the lower profits now returned. This applies especially to the purchase of the new barley crop last year at a very much higher price than in the previous accounting period, the full effects of which would be felt during this year just concluded. Moreover, the undertaking is expending large sums on rebuilding and improving licensed premises, which must have an effect on the cash resources, though at the same time the avoidance of fresh borrowing strengthens the financial structure. After providing for depreciation and other charges including £13,000 for tax and N.D.C., compared with £15,000, it is proposed to pay at this time a final of 4 per cent. on the Ordinary capital, making, as already stated, 6 per cent. for the year, against 8 per cent. The carry-forward is up from £70,525 to £74,580. The Company has an excellent record, and the present decline in profits may be regarded as only temporary."
The Scotsman - Thursday 22 June 1939, page 2. There was indeed a hike in the price of barley in 1939, as you can see here. But things didn't get any better in later years, as the war caused barley imports to dry up and the price skyrocketed. In 1941, barley was almost six times as expensive as in 1938.
The increase was so great that the government felt compelled to step in and control the price of barley. This intervention stabilised the cost in the latter war years. It must have helped that domestic barley production more than doubled over the course of the war.
Barley Home Production and imports 1934 - 1945
Average Price per Cwt.
Year ended 31st Dec.
Acreage
Estimated Produce Cwts.
s.
d.
Imports Cwts.
1934
959,282
16,708,000
8
2
15,476,301
1935
871,272
14,700,000
8
1
17,097,486
1936
894,000
14,640,000
9
9.25
18,294,415
1937
906,000
13,160,000
11
8.5
18,176,124
1938
988,000
18,080,000
7
9.75
19,875,622
1939
1,013,000
17,840,000
14
7.75
13,739,923
1940
1,339,000
22,080,000
20
63
9,146,255
1941
1,475,000
22,880,000
43
7
1,276,772
1942
1,528,000
28,920,000
34
3.5
34
1943
1,786,000
32,900,000
27
6.75
-
1944
1,973,000
35,040,000
24
8.25
-
1945
1,984,000
37,660,000
24
6
2,036,552
Source:
"Brewers' Almanack 1955", page 66.
On the upside, Barclay Perkins production was on the increase:
Barclay Perkins output 1936 - 1040
Year ending 31st March
malt used Qrs
flaked & maize used Qrs
Sugar used Qrs
hops used cwts
Bulk barrels brewed
1936
45,028.625
6,203
15,984
3,948
378,084
1937
45,278.0
5,735
16,810.75
3,936
386,700
1938
46,856.75
7,491
16,521.25
4,091
406,310
1939
46,421.125
7,881
16,079
4,064
404,777
1940
46,108.25
4,878
15,397
3,853
388,144
Source:
Brewing notebook A-H held at the London Metropolitan Archives, document number ACC/2305/1/711/1.
Though the war would seriously disrupt the company's business. Sometimes in a very direct way. For example, when the brew house was hit by bombs.
More... (http://barclayperkins.blogspot.com/2020/08/a-tough-year-for-barclay-perkins.html)
https://1.bp.blogspot.com/-aKWgzmHKMSw/X0ON4aTeItI/AAAAAAAAiOQ/Egv-5LRfMtsDRVlVGg6hPrvnOuXRLjX5ACLcBGAsYHQ/w318-h422/Barclay_Perkins_Pale_Ale_2.JPG (https://1.bp.blogspot.com/-aKWgzmHKMSw/X0ON4aTeItI/AAAAAAAAiOQ/Egv-5LRfMtsDRVlVGg6hPrvnOuXRLjX5ACLcBGAsYHQ/s527/Barclay_Perkins_Pale_Ale_2.JPG)
The last full year of peace wasn't a great one for Barclay Perkins, with profits declining.
Though the analysts weren't too pessimistic about the company's long-term prospects.
"Barclay Perkins
No surprise was occasioned by the decline in the profits of Barclay Perkins & Co., brewers, published overnight, for the year's dividend of 6 per cent., compared with 8 per cent., previously announced, had prepared shareholders for some decline in earnings. The gross profits for the year ended March 31st last amount to £400,622, in comparison with £431,959 twelve months ago. While the Company has probably continued to experience an increase in turnover, the higher cost of brewing materials have doubtless had some thing to do with the lower profits now returned. This applies especially to the purchase of the new barley crop last year at a very much higher price than in the previous accounting period, the full effects of which would be felt during this year just concluded. Moreover, the undertaking is expending large sums on rebuilding and improving licensed premises, which must have an effect on the cash resources, though at the same time the avoidance of fresh borrowing strengthens the financial structure. After providing for depreciation and other charges including £13,000 for tax and N.D.C., compared with £15,000, it is proposed to pay at this time a final of 4 per cent. on the Ordinary capital, making, as already stated, 6 per cent. for the year, against 8 per cent. The carry-forward is up from £70,525 to £74,580. The Company has an excellent record, and the present decline in profits may be regarded as only temporary."
The Scotsman - Thursday 22 June 1939, page 2. There was indeed a hike in the price of barley in 1939, as you can see here. But things didn't get any better in later years, as the war caused barley imports to dry up and the price skyrocketed. In 1941, barley was almost six times as expensive as in 1938.
The increase was so great that the government felt compelled to step in and control the price of barley. This intervention stabilised the cost in the latter war years. It must have helped that domestic barley production more than doubled over the course of the war.
Barley Home Production and imports 1934 - 1945
Average Price per Cwt.
Year ended 31st Dec.
Acreage
Estimated Produce Cwts.
s.
d.
Imports Cwts.
1934
959,282
16,708,000
8
2
15,476,301
1935
871,272
14,700,000
8
1
17,097,486
1936
894,000
14,640,000
9
9.25
18,294,415
1937
906,000
13,160,000
11
8.5
18,176,124
1938
988,000
18,080,000
7
9.75
19,875,622
1939
1,013,000
17,840,000
14
7.75
13,739,923
1940
1,339,000
22,080,000
20
63
9,146,255
1941
1,475,000
22,880,000
43
7
1,276,772
1942
1,528,000
28,920,000
34
3.5
34
1943
1,786,000
32,900,000
27
6.75
-
1944
1,973,000
35,040,000
24
8.25
-
1945
1,984,000
37,660,000
24
6
2,036,552
Source:
"Brewers' Almanack 1955", page 66.
On the upside, Barclay Perkins production was on the increase:
Barclay Perkins output 1936 - 1040
Year ending 31st March
malt used Qrs
flaked & maize used Qrs
Sugar used Qrs
hops used cwts
Bulk barrels brewed
1936
45,028.625
6,203
15,984
3,948
378,084
1937
45,278.0
5,735
16,810.75
3,936
386,700
1938
46,856.75
7,491
16,521.25
4,091
406,310
1939
46,421.125
7,881
16,079
4,064
404,777
1940
46,108.25
4,878
15,397
3,853
388,144
Source:
Brewing notebook A-H held at the London Metropolitan Archives, document number ACC/2305/1/711/1.
Though the war would seriously disrupt the company's business. Sometimes in a very direct way. For example, when the brew house was hit by bombs.
More... (http://barclayperkins.blogspot.com/2020/08/a-tough-year-for-barclay-perkins.html)