High-end Scotch drags Edrington FY sales down
The Macallan owner Edrington reported a full-year revenue drop of 14% as prestige expressions and Highland Park declined.
For the 12 months ending 31 March 2026, the Scottish spirits firm’s revenue reached £922.3 million (US$1.22 billion), down from £1.07bn (US1.41bn) for the previous financial year.
Earnings before interest and tax plunged by a quarter to £226.6m (US$299.7m) while profit before tax was down by 23%.
The business noted that its core revenue, which is based on the sales of Edrington brands on a constant-currency basis, was down 3% to £855m (US$1.13bn).
Edrington attributed the decrease to ‘lower volumes of higher-value prestige expressions’, namely its 25- and 30-year-old whiskies, which were offset by double-digit net sales growth for The Macallan’s 12-year-old whisky.
The Macallan’s core range saw its volumes rise by 11%. The brand is said to have gained market share globally and in key markets across Asia Pacific, the Americas, the UK, and Europe.
Core revenue has also increased in Europe, the Middle East and Africa, Edrington highlighted, alongside ‘notable growth’ in China.
The business also ‘outperformed a declining single malt category in North America’, Edrington claimed. The company has grown its value market share of both the single malt and the wider super-premium-and-above Scotch segments, citing ‘independent industry data’ for 2025.
The Scottish company noted a decline in Highland Park whisky sales, which it blamed on an ‘increasingly competitive environment in its core markets’.
Meanwhile, Dominican rum Brugal was in growth, led by the US and Sweden. The Glenrothes whisky also increased by double digits, driven by the 15-year-old and the launch of The 51.
‘Year of external challenges’
Edrington described 2025/26 as a ‘year of external challenges’, with the business affected by ‘weakened consumer confidence’.
Chairman Angus Cockburn said: “This is exacerbated by a rising tide of increasing government regulation, rising taxation, and the high cost of doing business, especially in our home market of the UK.”
He also warned that trade policy has continued to impact Edrington’s performance but that the business welcomed a “return to tariff-free trade with our largest global market”, referring to the US’ pledge to remove the tariff on Scotch.
Scott McCroskie, CEO of Edrington, said: “Our performance this year reflects both the strength of our brands and a disciplined approach to execution in a challenging market.
“While consumer demand at the very top end of our products remains subdued, the continued growth of our core ranges has enabled us to deliver a modest increase in core contribution. Our leading brand, The Macallan, has continued to perform strongly, gaining market share across a number of our key markets.
“With the company’s balance sheet strengthened by strong inventory management and materially reduced debt, Edrington is on a strong footing as it navigates a continually volatile environment.
“We will continue to pursue growth opportunities while maintaining discipline over costs and investing in our brands, our operations and sustainability. This will ensure that the business is well placed to perform strongly in the future.”
Divestments and job cuts
Edrington noted that its reported profit for the year was affected by discontinued activities related to The Famous Grouse whisky, which it sold to William Grant & Sons in July 2025.
The divestment of Famous Grouse also helped to slash Edrington’s net debt by 62% to £265m (US$350.5m).
This month, Edrington also exited the American whiskey category by selling its 80% stake in Wyoming Whiskey. Edrington addressed the distillery in its financial results, stating that the impairment of Wyoming Whiskey’s assets reflected the ‘continuing challenges of the American whiskey category and the brand’s forecast performance’.
McCroskie also noted that Edrington had to “adjust” its shape and size to “reflect both strategic changes and trading conditions”. He said the “move to a function-led structure” resulted in job cuts.
The past year also saw Edrington open a subsidiary in India, which McCroskie called the world’s largest market by volume for Scotch and “a significant long-term opportunity”.
Regarding the spirits sector, the CEO said the industry “continues to face a combination of cyclical and structural pressures, principally the cost-of-living crisis which has had a marked impact on consumer confidence and therefore discretionary spending”.
But McCroskie affirmed that the business expects premiumisation to continue, adding that Edrington’s “policy has been to protect the long-term health of our brands and maintain the foundations required to support sustainable growth as market conditions stabilise”.
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