Drambuie reports 9% operating profit increase

14 September, 2012

The Drambuie company, owners of one of the famous liqueur brands, has announced an operating profit of 9%, based on constant exchange rates for the year to June 2012.

The company says the £3.63 million profit is 29% ahead of last year’s £2.81m taking into account exchange benefit.The balance sheet is “healthy” says Drambuie as it continues to operate debt free.

Drambuie Original global sales value grew by 5% due to both increased pricing and the roll out of Drambuie 15. Global sales volumes finished level versus 2010/11 as the Euro crisis has had a negative impact on Drambuie’s trading in southernEurope.

The Greek market suffered a depletion decline of 27% versus 2011, due to further trade destocking and a continued weakening in spirits consumption.

The two brands were launched intoIndiaand this year saw the first shipments to south east Asia. The company says an additional investment of £1.3m in marketing was made, most of which went to these markets.

Drambuie’s largest market remains theUSand Drambuie depletions here were level for the full year. Recent Nielsen data shows a 2.7% increase in consumer sales. There has also been growth across a number of key markets such asGermany,TurkeyandAustralia. 

Drambuie says the roll out of Drambuie 15 has had a positive impact on sales within global travel retail (GTR), another key focus area for Drambuie. Over the Christmas period, Drambuie 15 was outselling Drambuie Original in Heathrow, Gatwick and Edinburgh airports.

New listings have been gained for Drambuie 15 across all main global operators and there was significant Drambuie promotional activity for the first time in the world’s top airports, a major highlight being the 12% sales growth inDubai, the world’s largest duty free airport. A further major innovation in 2011/12 was the launch of the super premium “Jacobite Collection” at the Tax Free World Association exhibition inCannes.

The new advertising campaign  “Drambuie. A Taste of the Extraordinary”, will be rolled out in the key markets of theUS,UKandCanada, among others. A new TV advertisement will be launched in the run up to Christmas. A number of brand ambassadors have been recruited into both theUSandUKmarkets.

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