Conviviality hails strong growth in H1

Leading UK alcohol wholesaler and distributor Conviviality has reported a 9.1% increase in revenue to £835 million (about US$1.1bn) in the first half of 2017, fuelled by rising sales across all of its business units.

Conviviality’s revenues rise by 9.1% to £835m in first half of 2017

In a trading update for the 26 weeks to 29 October 2017, the group’s wholesale unit Conviviality Direct reported a sales increase of 6.9% to £540 million. The company attributed the rise to customers recognising “the benefit of being able to fulfil all of their drinks purchases” through the service.

This was evidenced by 425 new customers joining the company due to extended choice, service and product availability, as well as the newly upgraded digital platform.

Conviviality Retail saw its sales increase by 10% to £203 million in the 26 weeks to October, up from £185m. This was driven by the strategy of improving the quality of the company’s stores, as well as increasing the number of multi-site franchises.

Convivialitu Trading also saw a 9.6% increase to £93 million in the same period, up by £82m.

Diana Hunter, chief executive officer of Conviviality, said: “We are pleased to have delivered strong revenue growth during the period. This performance is a direct result of the support and engagement of our valued customers and franchisees across our entire business, our suppliers and global producers and the talented teams who work closely with them.

“During this period the company has undergone significant change as we continue to implement systems that will ultimately serve to future proof our business and enable us to continue to deliver the outstanding service that our customers and franchisees expect from us.”

Conviviality “continues to perform in line with the board’s expectations” for the 52 week period ending 29 April 2018. The firm will announce its half year results for the 26 weeks to 29 October 2017 on 29 January 2018.