Brewery Profits

Look, it's Sunday, I'm a bit drowsy from a big roast dinner and there's footy on the telly. A short post today. Mostly just a quote, too. Just like the glory days of this blog.

The figures below cover 1907 to 1913. A time when increased taxation - in particular pub licences - had put many brewers into financial difficulties. But that isn't reflected in these figures.

"The Statist" and Brewery Profits.
The Statist (Sept. 26, Oct. 3, 10, 1914) deals with the results for 1913 and the prospects of brewery companies, in continuation of previous years' statements. The prospects are put in a somewhat rosy light, but they were looked at before the beer duty was trebled in November. The Statist shows that for 1913 the average dividend earned by the companies it enumerates, on their ordinary shares, amounting to a nominal value of £29,518,000, was 9.10 per cent., while the average rate of dividend paid was 6.68 per cent. Putting these figures side by side with similar calculations made in previous years the following comparison is reached:

Brewery company dividends 1907 - 1913
	1907	1908	1911	1912	1913
Average dividend earned-per cent.	11.9	9.81	8.72	8.65	9.1
paid	6.71	6.25	-	6.17	6.68

The averages for 1913 are still well below those for 1907, although the aggregate consumption of beer in 1913 was considerably more. The reason of course  is not far to seek; it is to be found in the large increase of taxation since 1907 and latterly the higher cost of all brewing materials.
Brewers' Almanack 1915, page 215.

I wouldn't say that the 1913 averages were much lower than those of 1907. The percentage paid after tax is only smaller by a tiny amount.