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Distil sales plunge 59% as Brits shun spirits
By Nicola CarruthersRedLeg Spiced Rum owner Distil saw its revenue plummet by 59% in the last three months of 2024, which it blamed on a “tough” UK spirits market.

For the third quarter (Q3) of Distil’s financial year, covering October to December 2024, the group’s unaudited results showed a double-digit revenue decrease to £233,000 (US$284,377) in a ‘declining’ market.
The UK-based company’s Q3 volumes also took a steep drop, falling by 56%. It followed a double-digit decline in the first half of its financial year (the six months to 30 September 2024) when revenue decreased by 38%.
Don Goulding, executive chairman of Distil, commented: “Market conditions continue to be tough across the spirits industry, particularly in the UK, and our business has suffered as part of this, with Q3 sales declining by the same rate as reported in the interim results.
“Although we continue to maintain distribution within major customers, stock purchase phasing has shifted versus the prior year, in which we saw large orders in November and December filling pipelines through spring.
“In comparison, this year those major customers have been more cautious, reducing stock cover by an additional 20%.”
Goulding expects orders to continue more steadily for the rest of the financial year.
He also noted that the rate of sales in retail stores was “suppressed”, a trend that has continued on from previous months due to consumers tightening their budgets.
Goulding said own-label products and “aggressive discounting” were winning basket share across retailers.
Global Brands distribution deal
Furthermore, Distil, which also owns Blackwoods Gin and Vodka, has strengthened its partnership with UK-based alcohol producer and distributor Global Brands.
Franklin & Sons maker Global Brands will become Distil’s full UK distribution partner from 15 February 2025, taking over from Marussia Beverages.
Distil has worked with Global Brands on ready-to-drink cans, which paired RedLeg with Franklin & Sons mixers, since 2019. Furthermore, Global Brands, which also owns VK and Hooch, was appointed the UK grocery, cash and carry, and convenience partner for Distil in March 2024.
Together, the businesses will “define strategies to increase sales” during the fourth quarter (January to March 2025), Goulding said, who added that the UK on-trade “suffered during Q3”.
He cited CGA data that showed spirits retail value in the seven days to Saturday 28 December fell by 4% year on year, with “volumes falling significantly above this number”, as drinkers shifted to longer drinks that offer “better value for money”, such as beer and cider.
Speaking about the extended deal, Goulding said Global Brands’ portfolio “offers important synergies with Distil brands in terms of target consumers and trade accounts”.
“Utilising its larger sales force (approximately four times the size of previous partners), Global Brands has strong relationships with national accounts, and proprietary logistics and warehouse capabilities; the extension of this partnership offers the opportunity to work closely with a longstanding partner to accelerate brand growth,” he added.
Distil is also working to open up new markets outside of the UK to “maximise” growth opportunities, Goulding said.
He concluded: “The medium-term macro outlook continues to be challenging, as the overall spirits market remains soft in response to increased pressures on consumer spending and further duty increases in the UK.
“However, we are confident that the extended partnership with Global Brands will put our brands in the best position within the market and offer important opportunities for growth across the portfolio, and we are working to mitigate the impact on the full-year.”
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