StockMarketWire.com - Premium drinks brands owner Distil saw profits inch higher as increased marketing lifted annual revenues by nearly a fifth.

For the year ended 31 March 2019, operating profit before tax rose to £0.160m from £0.157m a year earlier as revenue 19% to £2.4m.

Gross profit increased 22% to £1.429m as margins improved to 60% for from 58% a year earlier.

Performance was boosted by a 48% increase in advertising and promotion spend to £0.688m from £0.465m.

The company said it anticipated steady progress in the total spirits market including both the rum and gin categories.

'I am pleased to report another strong set of results with growth in revenue, profits and gross margins supported by increased marketing investment in our brands,' said Don Goulding, Executive Chairman of Distil.

'We will continue to invest in our brands through marketing and promotion which will be particularly important as we anticipate UK consumer confidence will naturally remain fragile through this calendar year. The initial response from the on-trade to our new caramelised pineapple spiced rum is very positive and we look forward to its full launch later this year.'




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