William Grant & Sons reports record profits

By Erin Smith

Published: 27 September, 2016

William Grant & Sons premium spirit business reported an 8.9% increase in profits after tax hitting record high of £147.4m.

The fiscal year figures cover the 52 weeks to 31 December 2015.

"This success was driven by our constant focus on building brands and investing in them for the long term. We have also continued to invest in our operational capabilities and our route to market infrastructure. It has been a challenging market place but we are well positioned to continue our growth in 2016 and beyond," said Simon Hunt, the chief executive officer of William Grant & Sons

Much of the growth in profits was driven by "strong volume and value growth across its core portfolio of premium spirits brands." The USA and Asia markets did particularly well as demand for super premium sprits continued to grow.

Scotch whisky brand Glenfiddich saw year-on-year volume growth increase 5%.

The company also saw reported turnover jump 6.1% to £882.5m. The increase in turnover is a results of more a focused approach on its own core portfolio and a results of planned reductions in distribution of third party agency brands. At the end of 2013 the company's US distribution deal with SPI Group for its Stolichnaya vodka brand expired. Then in 2014 Remy Cointreau brought its distribution in the UK in house for four of its brands.

The results were despite ongoing challenges including increased volatility across Eastern Europe, Africa and the Middle East, adverse foreign exchange and increased competition.

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