LONDON (ShareCast) - (Sharecast News) - Alcoholic drinks maker Distil totted up good increases in sales volumes and revenues across all trade channels in its past financial year, as investments poured into its brands brought about strong profits growth.
Turnover and gross profit, supported by increased marketing investment, both increased 23% to £2.01m and £1.17m, respectively.

Distil, which makes Blackwoods gin, Redleg rum and Diva vodka that contains swarovski crystals, secured new listings and listing extensions in both major UK retail multiples and pub chains and saw further progress in opening up new European markets for its brands.

Keeping margins flat year-on-year at 58% as other administrative expenses were virtually flat at £522,000, saw an operating profit of £157,00 compared to the £10,000 the firm recorded a year earlier. This left the AIM-quoted group with a year-end cash reserve balance of £1.03m, up 13% year-on-year.

Executive chairman Don Goulding said, "We are pleased to have delivered a strong set of results with significant growth in volumes, revenue and profits, supported by investment in our brands. Importantly we were able to grow sales, drive contribution margins, invest in marketing and improve operating cash flow during the year."

"Distil is growing into a stronger business with a healthier balance sheet and increasingly attractive owned brands. We look forward to building on this success through further investment in our key brands in the coming year," he added.

As of 1040 BST, Distil shares had shot up 13.64% to 2.50p.

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