Friday, April 19, 2024

Exports boost Foley Wines

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Fast-growing Foley Wines nearly doubled after-tax profit in the latest year, on a 23% increase in export case sales.
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Exports to the United States and Canada rose 19% to 145,000 cases, to United Kingdom and Europe 33% to 97,000, Australia 22% to 138,000 and rest of world sales were up 19% to 24,000 cases.

The tallies offset an 18% fall in New Zealand sales to 118,000 cases from 144,000, resulting from a reset of the brand strategy, including price increases, chief executive Mark Turnbull said. 

Through its distributor Lion NZ the group is focusing on a premium market offer.

On revenues of $44.04 million for the year ended June 30 Foley Wines reported pretax earnings of $5.05m and an after-tax profit of $3.5m, a 95% lift over the previous year.

Consumers around the world are drinking less but spending more, Turnbull said.

The company also reported significant growth in its Lighthouse Gin sales in NZ and Australia. 

The trading result included Mt Difficulty Wines in Central Otago, bought in January, which adds to its Marlborough and Martinborough wineries. The majority shareholder and chairman of Foley Wines is American businessman Bill Foley, whose Foley Family Inc is a top-20 wine business in the US.

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