StockMarketWire.com - Eastern Europe focused spirits distributor Stock Spirits said its first-half profit jumped 80% as it sold more vodka and whiskey in Poland and the Czech Republic.

Pre-tax profit for the six months through March increased to €22.8m, up from €12.7m on-year. Net profit more than doubled to €14.7m.

Revenue rose 15% to €189.6m on the back of 8.1% growth in volumes.

Stock Spirits declared an interim dividend of 2.77 euro cents per share, up 5.3% on-year.

The company said that, due to the Covid-19 crisis, it would book an impairment of minority investment in Quintessent ial Brands Ireland Whiskey of €14.2m.

It would also incur a net release of provisions for contingent consideration of €1.6m and costs from postponed M&A work of €1.3m.

More broadly, though, the company said the operational impact of the pandemic so far had been 'minimal'.

'These strong results are a testament to the quality of our brand portfolio, the strength of our customer relationships, and the resilience of our business model,' chief executive Mirek Stachowicz said.

'The Covid-19 pandemic reached our markets towards the end of the period and, as a result of our long-standing focus on the off-trade, our broad portfolio of local brands, and our strategy of sourcing and manufacturing our products locally, it has had a minimal impact on our operations to date.'

'There remains robust demand for our products, but we are monitoring developments closely and are able to respond quickly if required.'

'Our first priority continues to be the health and well-being of our employees, and I would like to thank them all for their extraordinary resilience, loyalty and hard work during this period.'





At 9:20am: [LON:STCK] Stock Spirits Group share price was +20.75p at 214.75p



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