WBR Waterloo Brewing Ltd

• Net Revenue for the quarter grew 15.3% to $28.2 million compared to $24.5 million in the prior year
• EBITDA* for the quarter was $5.4 million, growth of 67.0%, compared to $3.2 million in the prior year
• Gross Profit Margin for the quarter was 23.2% compared to 18.1% in the prior year
• Selling, marketing and administration for the quarter increased to $3.2 million, compared to $3.0 million in the prior year
• The Board of Directors re-affirmed the quarterly dividend, at $0.0304/share, payable June 1, 2022, to shareholders of record as of May 18, 2022. The dividend is classified as an eligible dividend

• Net Revenue increased 28.9% to $111.8 million, from $86.7 million in the prior year
• Reported EBITDA* for the year was $21.0 million, representing a 38.2% increase versus the prior year's $15.2 million
• Gross Profit Margin was 25.7% compared to 23.9% in the prior year
• Selling, marketing and administration expenses increased to $15.1 million from $11.9 million in the prior year

KITCHENER, ON, April 7, 2022 /CNW/ - Waterloo Brewing Ltd. ("Waterloo Brewing" or the "Company") (TSX: WBR), Ontario's largest Canadian-owned brewery, has released results for the fourth quarter and full-year ended January 31, 2022. Waterloo Brewing posted a record annual EBITDA* of $21.0 million on net revenue of $111.8 million, which represents growth of 38% and 29% respectively.

"We are very proud of these results," said George Croft, President, and Chief Executive Officer of Waterloo Brewing. "Despite challenges across the industry such as supply chain disruptions, inflationary cost pressures and overall beer category softness, Waterloo Brewing continues to grow aggressively."

Waterloo Brewing was a top performer in an industry that experienced an overall volume decline of 3.2%. Nonetheless, Waterloo Brewing was able to attract and retain co-manufacturing partners and deliver strong results. Versus the prior year, co- manufacturing volume grew by 73% and overall owner brands volume remained flat. The Company's current record of performance is unique in the industry and is a testament to the Company's ability to capitalize on opportunities and maximize the potential for growth.

"Co-manufacturing is an essential part of our business," said Croft. "We are grateful for our partners and look forward to another successful year where we produce really innovative products for other growing brands."

With the newly installed second can line now fully operational, Waterloo Brewing is experiencing margin and revenue growth.  To maintain this momentum and mitigate supply chain risks in the coming year, Waterloo Brewing is proactively securing supply of critical materials, as well as locking in pricing on key contracts in anticipation of continued rising supply costs.

"We would not see this level of growth without our phenomenally committed team," Croft said. "The level of dedication here at Waterloo Brewing is what will propel us forward into another year of great success and rapid growth."

The following financial information should be read in conjunction with the audited annual financial statements of the Company prepared under IFRS for the year ended January 31, 2022.

Waterloo Brewing is Ontario's largest Canadian-owned brewery. The Company is a regional brewer of award-winning premium quality and value beers and is officially certified under the Global Food Safety Standard, one of the highest and most internationally recognized standards for safe food production. Founded in 1984, Waterloo Brewing Ltd. (formerly Brick Brewing Co. Limited) was the first craft brewery to start up in Ontario and is credited with pioneering the present-day craft brewing renaissance in Canada. Waterloo Brewing has complemented its Waterloo premium craft beers with the popular Laker brand.  In 2011, Waterloo Brewing purchased the Canadian rights to Seagram Coolers and in 2015, secured the exclusive Canadian rights to both LandShark® and Margaritaville®. In addition, Waterloo Brewing utilizes its leading-edge brewing, blending, and packaging capabilities to provide an extensive array of contract manufacturing services in beer, coolers, and ciders. Waterloo Brewing trades on the TSX under the symbol WBR. Visit us at www.WaterlooBrewing.com.

All statements in this press release that do not directly and exclusively relate to historical facts constitute forward-looking statements as of the date of this press release. Forward-looking statements generally can be identified by the use of forward-looking terminology such as "may", "will", "expect", "intend", "anticipate", "seek", "plan", "believe" or "continue" or the negatives of these terms or variations of them or similar terminology. Although the Company believes that the expectations and assumptions reflected in these forward-looking statements are reasonable, undue reliance should not be placed on these forward-looking statements, which are not guarantees and are subject to certain risks, uncertainties, and assumptions, which may cause actual performance and financial results to differ materially from such forward-looking statements. The forward-looking statements included in this press release are made only at the date of this press release and, except as required by applicable securities laws, the Company does not undertake to publicly update such forward-looking statements to reflect new information, future events or otherwise.

   * EBITDA is a non-IFRS financial measure, therefore it does not have any standardized meaning prescribed by IFRS and may not be similar to measures presented by other companies. EBITDA represents earnings before interest, income taxes, depreciation and amortization, gain or loss on disposal of property, plant, and equipment and right-of-use assets, gain on misappropriated funds, unrealized gain on foreign exchange contracts, and share-based payments. Management uses this measurement to evaluate the operating results of the Company. This measure is also important to management since it is used by the Company's lenders to evaluate the ongoing cash-generating capability of the Company and therefore the amounts those lenders are willing to lend to the Company. Investors find EBITDA to be useful information because it provides a measure of the Company's operating performance. See the section titled "Results of Operations in the Company's Management Discussion & Analysis for the year ended January 31, 2022, for a quantitative reconciliation of Net Income to EBITDA.

SOURCE Waterloo Brewing Ltd.