‘Transformational’ Conviviality sees H1 revenues soar 38%

Leading UK alcohol wholesaler Conviviality Plc has posted a 38% increase in group revenues to £252.0m for the first half of the year, bolstered by its acquisition of Matthew Clark in October 2015.

Diana Hunter, Conviviality Plc CEO, is “pleased with the progress” of the two businesses

For the 27 weeks to 1 November 2015, the group saw EBITDA increase 43% to £6.5m, with group profit before tax and exceptional items up 2.8% to £3.3m.

Adjusted profit before tax rose 19% to £3.2m, while adjusted diluted earnings per share were up 3% to 3.8 pence.

Separately, Conviviality Retail saw sales increase 0.8% over the comparable period, while Matthew Clark revenues from 7 October to 1 November increased 2.7%, the group said.

In its half-year results statement, Conviviality also declared its “strong” Christmas trading, with Group sales growth 13% above last year for the two peak weeks to 3 January 2016.

Diana Hunter, Conviviality CEO, said: “This is a strong set of results during a period of significant transformational change. With Matthew Clark we now have a firm foundation in the expansive on-trade market from which to build on, and our success over the important Christmas period gives us confidence that the second half will deliver further growth.

“I am pleased with the progress we have made to bring our two businesses together. I would like to thank all of our people, our franchisees, our on trade customers and our suppliers who have contributed to our success.”

2015 saw Conviviality take on an acquisitive streak. In addition to its Matthew Clark purchase, the company also moved to take a majority stake in London-based bar and events company Peppermint in December 2015, for an undisclosed sum.

It now operates under two divisions, Conviviality Retail, which operates 624 stores (as at 26 April 2015) predominantly trading under the Bargain Booze, Bargain Booze Select Convenience and Wine Rack brands; and Matthew Clark, the UK’s largest alcohol wholesaler and distributor to the on-trade drinks sector.

From 4 January 2016, Matthew Clark has been led by new managing director Mark Aylwin, formerly of Booker Group, while David Robinson, Argus COO, has recently joined the business as Conviviality Retail managing director.