Edrington Sees Full-Year Sales Rise 7%, Puts Cutty Sark, Glenturret On The Selling BlockJune 25, 2018
Boosted by high-end single malts The Macallan and Highland Park, Edrington’s revenues rose 7% at constant currency to £707 million ($940m) for its fiscal year through March, with profit before tax increasing 3% to £195 million ($259m).Meanwhile, the company has announced plans to sell its Cutty Sark blended Scotch brand and its Glenturret distillery.
The Macallan continues to be the growth driver for Edrington, rising 7% to 250,000 cases in the U.S. last year, according to Impact Databank. The luxury single malt will see its first global advertising campaign this fall, with a budget of £11 million ($15m). The push comes amid Edrington’s ongoing £500 million ($665m) investment in the Macallan, which also includes its new distillery in Speyside and outlays in whisky, warehousing, and Sherry-seasoned oak casks.
Highland Park is also on the upswing, with U.S. volume up 21% to 23,000 cases last year. The brand was boosted by a 23% increase in marketing investment during the fiscal year, and yesterday debuted a new limited edition whisky, The Light, retailing at $300. Overall, Edrington’s brand investment across its portfolio grew 5% to £126 million ($167m) for the fiscal year.
Meanwhile, Edrington is planning a new range and new packaging this summer for its Glenrothes single malt, acquired from Berry Bros & Rudd last year. Glenrothes has expanded into 30 new markets since joining the Edrington fold.
While the single malts are flourishing, the blended Scotch market continues to be a challenge, Edrington notes. As a result, the group is planning to put the Cutty Sark brand up for sale. Cutty Sark slipped 10% to 107,000 cases in the U.S. last year, according to Impact Databank. Also going on the block is Edrington’s Glenturret distillery. Edrington CEO Ian Curle said offloading Cutty and Glenturret will allow the company to sharpen focus and investment on its core brand stable.—Daniel Marsteller
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