Rioja wine producer Bodegas Bilbainas saw profits slip last year on the back of falling sales, the company has reported.

The wine producer, a subsidiary of Spanish wine group Codorniu, said yesterday (5 September) that net profit for the year to 30 June reached EUR1.3m (US$1.7m). The result compared to net earnings of EUR1.7m last year. Turnover was down 5.7% to EUR11.5m.

Bodegas Bilbainas said sales in 2005 were down due to a build up of stocks at the company's distributors.

The company invested EUR2.9m last year in building a bottling and storage facility for cianza wines, which are wines aged for at least three years.