Glengoyne distiller toasts profits rise

Glengoyne distiller toasts profits rise

Ian Macleod Distillers has reported a near two-fold rise in profits for its most recent fiscal year.

Net profits leapt to GBP2.15m (US$3.1m) for the 12 months to the end of September last year, up 90% on the previous year, Ian Macleod Distillers said today (7 June).

"The significant increase in post-tax profits is due to increased volume and margin throughout the year arising from the effective long-term management of the company’s portfolio of brands," said the group, which owns Glengoyne Highland single malt Scotch whisky.

Net sales for the year increased by 18% to GBP26m, compared to GBP23m a year earlier, said the firm, which also owns the Smokehead Scotch brand.

Strong sales of three-year-old Scotch whisky blends in the Middle East and Far East boosted performance, while demand rose for the firm's premium Scotch brands in Europe. Travel retail sales performed well, rising by 40% to GBP1.8m for the 12 months.

A weak sterling currency also provided artificial price rises for the privately-owned group in key export markets.

Ian Macleod MD Leonard Russell said the firm has profited from its decision last year to buy a minority stake in Norwegian spirits distribution company Cask Owners AS.

"Taking a share in this distribution company, in one of our important markets, is a natural progression for the company," said Russell. "We are continuing the evolution of the company by extending its capability and reach into export markets."

Ian Macleod owns 34% of Cask Owners.