Edrington posts ‘strong’ FY results
UK-based Edrington has reported a strong financial performance for the year ending 31 March 2022, posting a 45% increase in core revenue and a 53% rise in core contribution.
The results mark a return to Edrington’s pre-pandemic trend of continued underlying growth.
Commenting on the results, Scott McCroskie, CEO, said: “Edrington has returned to the consistent growth trend we saw in the years before the pandemic, with robust performances across our core markets, particularly the USA, China and the Dominican Republic.
“Whilst the economic landscape will continue to present challenges, we have healthy brands, an effective strategy, record levels of investment in the business, great people and strong momentum. I am confident that Edrington is well-positioned to deliver sustainable success in the future.”
Edrington’s annual report attributes the company’s strong growth to the reopening of the on-trade and travel retail following the Covid-19 pandemic.
The performance was led by Edrington’s leading brand, The Macallan. The Scotch brand delivered a number of new expressions over the year, including the world’s oldest single malt Scotch, The Macallan Reach.
Edrington’s Malt Whiskies business unit, which comprises of The Glenrothes, Highland Park and Naked Malt, performed well across key markets, with the strongest results seen in the UK and Sweden.
Brugal, Edrington’s premium rum, continues to generate outstanding growth in its home market of the Dominican Republic, as well as seeing good performance in Spain, its leading international market.
During the year, Edrington’s brand teams executed a record level of investment of £170.7m (US$204.2m), up 46% on the previous year, representing a reinvestment level of 21%, up from 19% in 2020.
Following a strategic partnership with Berry Bros. & Rudd, Edrington also took a significant minority stake in No.3 London Dry Gin.
The Glasgow headquartered company also announced that it has committed to achieve net zero by 2045. The company is working with the Science Based Targets Initiative, the world’s first science-based corporate standard, to reduce its carbon emissions in line with a 1.5°C future.
McCroskie added: “Our target of achieving net zero by 2045 is a significant increase on our previous commitment and it will touch every aspect of our business. I am proud of the progress we have made, but also clear that we have much more to do.”