REG - Distil PLC - Trading Statement

DistilAnnouncement

14/08/2024 07:00

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RNS Number : 3365A  Distil PLC  14 August 2024

Distil PLC

Trading Update

 

 

Distil plc (AIM: DIS), owner of premium drinks brands RedLeg Spiced Rum,
Blackwoods Gin and Vodka, TRØVE Botanical Vodka and Blavod Black Vodka,
provides an update on trading to date in the current financial year.

 

Unaudited year-on-year results year to date (4 months from April - July 2024):

 

·    Revenues decreased 55% to £204k (2023: £453k)

·    Board's full year expectations have been reduced but remains positive
versus 2023 outturn

 

Commenting on the results, Executive Chairman, Don Goulding, said:

 

"The business had anticipated lower sales in the first four months of the year
due to phasing trends, however the results achieved sit below expectations. In
light of this, we have revised our expectations for the full year which,
despite the disappointing performance year to date, still anticipate revenue
growth versus 2023.

 

The global alcohol market has been facing persistent challenges in recent
years, with global drinks industry data service, IWSR, recording a decline in
global beverage alcohol volumes in 2023 for the first time in 30 years, with
difficulties continuing into 2024.

 

The decline has been driven by an extraordinarily challenging economic
environment, as consumers are faced with ongoing inflationary pressures which
are putting a strain on spending. While this is an issue affecting all global
markets, for 2024, this has been exacerbated in the UK by the poor weather,
leading to further curbs on socialising both in and out of home.

 

The effects of these changes to consumer spending have been felt throughout
the drinks industry, across all arms and at all levels, including our
business.

 

Q1 and July trading was considerably softer than expected and has required the
business to pivot in order to drive volumes across our brands through
increased consumer facing activity. This has included an increase in
promotional activity to drive awareness and trial, as well as to secure key
on-trade listings, the benefits of which we expect to begin to see once the
market shows signs of recovery.

 

This backdrop has created an immediate short-term funding need within the
business and the Board is currently exploring funding options to address this
need. The interests of shareholders remain at the heart of all decisions taken
by the Board. Further updates will be notified as required."

 

For further information:

 

 Distil PLC
 Don Goulding, Executive Chairman            Tel +44 203 405 0475
 SPARK Advisory Partners Limited (NOMAD)
 Neil Baldwin                                Tel +44 20 3368 3550

 Mark Brady
 Turner Pope Investments (TPI) Ltd (Broker)
 Andy Thacker / James Pope                   Tel +44 20 3657 0050

 

About Distil

Distil Plc is quoted on the AIM market of the London Stock Exchange. It owns
drinks brands in a number of sectors of the alcoholic drinks market. These
include premium spiced rum, vodka, gin, vodka vanilla cream liqueur and are
called RedLeg Spiced Rum. Blackwoods Vintage Gin, Blackwoods Vodka, TRØVE
Botanical Vodkas, Blavod Original Black Vodka and Diva Vodka.

 

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION AS STIPULATED UNDER THE UK
VERSION OF THE MARKET ABUSE REGULATION NO 596/2014 WHICH IS PART OF ENGLISH
LAW BY VIRTUE OF THE EUROPEAN (WITHDRAWAL) ACT 2018, AS AMENDED.  ON
PUBLICATION OF THIS ANNOUNCEMENT VIA A REGULATORY INFORMATION SERVICE, THIS
INFORMATION IS CONSIDERED TO BE IN THE PUBLIC DOMAIN.

 

 

 

 

 

 

 

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