Palandri has seen its full year profits soar despite a drop in revenues by over a quarter. The Australian wine company said today (17 October) that its results were "truly outstanding in a year in which many in the Australian wine industry faced diminishing markets."

In the year to 30 June, Palandri saw pre-tax profits jump by 83.5% year-on-year to A$3.1m (US$2.3m). Post tax profits were also up, by 44% to A$2.16m in the year. Revenue and operating profit, on the other hand, were down by 26% to A$26m and by 32% to A$22.9m respectively. "The reductions relate to the fact that wine revenues and costs were accounted directly to the Margaret River Wine Business and Palandri America Wine Business schemes, rather than in previous years where revenue was classed within fixed management fees to Palandri Ltd," the company said in a statement.

"These results clearly demonstrate our focus and strategies have provided our investors with a strong performance," said Darrel Jarvis, Palandri's chief executive officer and managing director. "This is despite the competitive domestic market and the industry's global rationalisation through mergers and acquisitions as large beverage suppliers fight for brand dominance.

"Importantly these results also indicate our strategies are right for today and the future.

"Over the past year we have continued to make considerable distribution gains within the large supermarket sector in the UK and Europe, with product also recently introduced to Switzerland and Germany," Jarvis added.

"At the same time we have appointed distributors in Hong Kong, China and Japan, and although these regions are not a major part of our global marketing strategy, they provide a platform for the anticipated growth of 'New World' wines into the Asian region."