Extract
[...] The priority investment is the packaging line, as it is the bottleneck. After analyzing the different packaging lines proposed in annex the most relevant option is the LB30 for several reasons: - Compatibility with the current Spiritum format (50 cl glass bottles) - Reasonable cost: ?580,000 which fits within the budget of ?737,500 authorized by the bank. - Double the current capacity, even taking into account the overconsumption of time related to the special format - No specific foundation required, installation possible without heavy construction work - Preserve the artisanal image of the company, unlike can-shaped lines The conditioning capacity of the new line in hours is the same as the previous one hours a day with an annual production of 1500 hours). [...]
[...] In order to optimize the production balance around the two products for 2025, it is logical to produce more Saison beers while respecting the constraints below: - Minimum contractual: 100k Witch, 60k Saison - Capacity machine: h - Bottling time: 0.0015 h/bottle (Witch) h/bottle (Saison) We are therefore looking to maximize the total margin M where : M = 0.30x + 0.55y Under the following constraints : 0.0015x + 0.002y ? (annual hourly capacity) x ? (minimum Sorcière) y ? (minimum Saison) y ? [...]
[...] Analyze the economic performance of our company to date and indicate how to optimize our production balance around our 2 products for 2025: Financial Statement 2024: 2024 The sorceress Seasonal beer Total 600 000 300 000 900 000 Selling price 000 990 000 000 Raw materials 330 000 120 000 450 000 Components 240 000 120 000 360 000 Energy 60 000 30 000 90 000 MO 750 000 495 000 000 Other variable costs (logistical) 120 000 60 000 180 000 Total variable costs 000 825 000 000 Margin on variable cost 180 000 165 000 345 000 10,7% 16,7% 12,9% Fixed Charges 220 000 Net result before tax 125 000 In 2024, Spiritum generated a total variable cost margin of ?345,000 for a turnover of ?2,670,000, which is 12.9% and a net result before tax of ?125,000. The company is therefore profitable, with a global margin that is correct for a craft brewery. The current packaging capacity is 6 hours/day, with a 50-week operation per year days a week. So, a total of hours: 50 x 5 x 6 = 1500 Hours. The time per batch of 1000 bottles is: - 1h30 for the 'witch' beer - 2h for the Saison beer. [...]
[...] In the absence of precise data on Spiritum's market share, a bold but realistic hypothesis would be to occupy between 60 and 65% of the market, or approximately 450,000 bottles at most. The production of 450,000 bottles of seasonal beers will therefore require: (450,000 x 2 hours) / 1000 = 900 Hours So we will have 600 Hours left to make the 'witches' beers: (600*1000) /1.5 = 400,000 'Witch' Beers. The 2025 Forecast Profit Statement will therefore be: 2025 The sorceress Seasonal Beer Total 400 000 450 000 850 000 Selling Price 000 000 000 Raw Materials 220 000 180 000 400 000 Components 160 000 180 000 340 000 Energy 40 000 45 000 85 000 MO 500 000 742 500 500 Other variable costs (logistical) 80 000 90 000 170 000 Total variable costs 000 500 500 Margin on variable cost 120 000 247 500 367 500 10,7% 16,7% 14,1% Fixed Charges 220 000 Net result before tax 147 500 Thus, with this product mix we are able to increase the variable cost margin by 6.5% while respecting the different constraints and commitments. [...]
[...] The variable cost margin for the new product 'New Lager' is very low compared to the other two products vs 16.7% for seasonal beer and 10.7% for 'The Sorceress'. According to Annex 13, which speaks of a price/volume effect for the new Lager beer, only the option at 2.30 ? is marginally profitable with a maximum volume of 100,000 bottles. Production with the new LB30 production line is technically incompatible with industrial forecasts: at a 5-year horizon, the production capacity will be fully occupied by The Sorceress beers and Seasonal Beer, which will reach 1,127,000 bottles/year, reaching the maximum capacity of the line. [...]
