Majestic Wine past 'tipping point' of turnaround amid 11.4 per cent higher annual sales
MAJESTIC Wine said it was “past the tipping point” of its turnaround as it uncorked 11.4 per cent higher annual sales.
Majestic wine announced 11.4 per cent higher annual sales
Underlying profit fell 29.2 per cent to £10.9 million on sales of £461.1 million as the retailer continued with its investment in upgrading stores and overhauling staff pay.
Costs associated with its acquisition of Naked Wines – a crowdfunding platform matching “angel” investors with wine producers – pushed it £1.5 million into the red.
We are past the tipping point, both financially and operationally
Chief executive, Rowan Gormley, said second-half pre-tax earnings were up 51 per cent, adding: “We are past the tipping point, both financially and operationally.
“Financially, adjusted EBIT in the second half of the year is up 51.0 per cent on prior year.
“Operationally, we are through the most risky and cost intensive phase of our transformation plan.
Underlying profit fell 29.2 per cent to £10.9 million on sales of £461.1 million
Majestic wine target £500 million sales by 2019
“Together these mean we have a business that is better able to weather the uncertain trading environment, with a sustainable growth model, the big strategic questions answered, a better paid and rewarded workforce and more effective systems and processes.”
He reiterated its target of hitting £500 million sales by 2019.