Regal results for Majestic Wine despite UK retail headwinds
Majestic Wine uncorked 6.8 per cent revenue growth over the Christmas period but warned that retail trading conditions remain tough.
The wine retailer, which said nearly a third of its sales come around Christmas, also boosted gross profit growth to 8.2 per cent.
It said it remains on track to deliver full-year profit figures that are “broadly in line with current market consensus”.
Majestic’s current compiled profit before tax consensus is £11.7m with a range of £11m to £12.8m.
Majestic says UK retail continues to be challenging and much of its growth in the period came from its online offering Naked Wines, which grew sales 15.9 per cent, and its overseas operations.
Chief executive Rowan Gormley said: “Consumer behaviour is changing and we're seeing a revolution in retail. We think there will be winners and losers, and we believe we have what it takes to be one of the winners. We are uniquely placed, with the people, data and skills in place to succeed despite the headwinds we are seeing.
“While trading has been challenging over the Christmas period, the trends we reported in November are the same (namely strong growth in our overseas markets and our digital propositions but headwinds for our UK retail stores). We look forward to setting out more of our future plans for the group, including the retail business with our full year results in June."