US: Drinks Americas sales soar, but income Trumped
Drinks Americas Holdings has seen sales soar in its fiscal third quarter, but income continues to linger in the red.
The company, which develops and markets brands including Trump super-premium vodka, said yesterday (14 March) that sales for the three months to 31 January were up by a massive 875% year-on-year to US$2.7m. Drinks Americas credited the performance to Trump vodka, which was launched in the US in the last two weeks of October.
Net loss for the quarter, however, came in at $5.6m compared to a net loss of $1.5m a year earlier. Around 30% of the loss was due to the extinguishment of debt, a non-cash charge of $1.65m. Excluding all non-cash charges, the net loss for the third quarter was $2.5m.
"We have accomplished a great deal over the past few months," said J. Patrick Kenny, president & CEO of Drinks Americas, said. "Trump has been available for roughly three and-a-half months, and during that time period we have already shipped 40,000 cases, totalling $4.3m in sales. We continue to build momentum with thousands of cases of additional orders in the pipeline.
"Additionally, as a result of our $8m raise and conversion of $3.4m debt to equity, we significantly strengthened our balance sheet to provide us with a solid platform for future growth."
The Indian spirits sector has undoubted growth potential, on the back of a growing economy, an expanding middle class and rising disposable income but international companies face many obstacles as th...
Pernod Ricard has remained silent on local reports suggesting a Russian oligarch may be looking at buying Russian vodka brand Stolichnaya....
Gruppo Campari has posted an increase in its results for the first half of this year....
Pernod Ricard USA will introduce a host of special value-added packs for its brands in the US for the coming holiday season....
Vin & Sprit has unveiled a disco-themed extension for its Absolut vodka brand....
Castle Brands has teamed up with Britvic in the Republic of Ireland to distribute its flagship spirit, Boru Vodka....
Perfect Renaissance, the Israeli manufacturer of Vodka Perfect, is expanding its business and, for the first time, will export its kosher vodka to France....
Diageo has detailed plans to invest in its leading brands, including Smirnoff, Baileys, Bell's, Bushmills and Guinness, in the build-up to Christmas in the UK....
- Analysis - SABMiller to add bolt-ons in Africa?
- A-B InBev's Move on Tennent's Super Makes Sense
- India: Everyone's Favourite Spirits Market
- Brand Diversification Driving Craft Brewery Growth
- Analysis - Stock Spirits: Poland's number one
- Diageo scraps Arthur's Day, but singer left sad
- PepsiCo CEO sees "profound" change in US consumers
- William Grant sinks GBP185,000 into "No" camp
- SodaStream silent on John Lewis pullout in UK
- William Grant & Sons boosts Travel Retail team