Inver House Distillers Announce Increase In Sales

[John]

Whisky producer Inver House Distillers (IHD) highlighted strong international sales growth for two of its single malts and the blended Hankey Bannister brand as it unveiled a surge in profits yesterday.

IHD owns five distilleries throughout Scotland - Pulteney, Balblair, Speyburn, Knockdhu and Balmenach - and manages the production, distillation and maturation of a broad portfolio of drink brands in markets globally.

It said sales of its maritime-themed Old Pulteney single malt, produced at Wick, soared 16% by value last year after awareness of the brand was raised through an annual photography competition, sponsorship of high-profile sailing regattas in the UK and various other activities.

IHD said it was continuing to target markets in the UK, key areas of continental Europe and South Africa for sales of Old Pulteney, whose distillery was only accessible by sea when it was established in 1826.

The group's Balblair single malt, produced at Edderton, by the Dornoch Firth, saw a 23% rise in sales in 2008. Balblair was relaunched two years ago and IHD has since ramped up its promotion of the whisky to core markets in the UK, France and Japan.

IHD, which has its headquarters at Airdrie, said blended malt brand Hankey Bannister - a favourite tipple of Sir Winston Churchill - grew sales by 20% last year, with exports reaching more than 40 countries.

Last month, Hankey Bannister 40-year-old was hailed by judges in annual awards for the industry as the world's best blended Scotch.

IHD posted pre-tax profits of £7.4million for 2008, nearly double the £3.8million recorded a year earlier. Turnover slid to £51.5million in the latest period, against £57.8million in 2007.

IHD said the higher profits were the result of a favourable global market, investment in brands and the success of core operations across the whisky portfolio, adding that turnover was hit by a reduction in bulk trading with industry partners.

Underlying sales across the IHD drink portfolio rose 38% by value, the company said. Managing director Graham Stevenson said: "After the significant and positive growth recorded in 2007, we are extremely pleased to report another successful year for the business in 2008.

"Our challenge now is to sustain this in what will undoubtedly be a less favourable market in 2009 and beyond, and our focus is firmly on delivering the excellent strategies and operations required to do this.

"We are realistic about market conditions, but optimistic that we have the great people and the strong brands we need to deliver in the year ahead."?

IHD said it had been boosted by millions of pounds of investment by Hong Kong-based parent International Beverage Holdings (IBH), part of Thai drink giant ThaiBev. About £15million was earmarked last year for creating a hub for IBH's global marketing operations, with further cash being invested in IHD's whisky portfolio.

John

Source: Press & Journal