Majestic Wine has revealed that its full year results have remained in line with its three year transformation plan for the business.
Full year sales soared 41.3% from £284.5m in 2015 to £402.1m this year. Profits before tax rose by 74.5% year-on-year. Further, Majestic's like-for-like sales performance grew by 4.8%, its first positive performance in four years.
Its recently acquired Naked Wines business also recorded a sales rise of 27.3% to £104.3m on a pro-forma basis. The alcohol retailer has made £102.5m since it was taken over, sales have been driven by strong growth in the US.
The drinks business noted positive progress it the first of its three year transformation plan which aims to deliver £500m in sales by 2019.
Majestic Wine also noted that its new senior management team is now in place.
“We have taken the first step on a long journey – it was a good start but it is just the first step. Early signs are that the plan is starting to work. Strong sales figures reflect the hard work being done on the ground by the whole team" said Majestic Wine Group Chief Executive Rowan Gormley.
"The management re-organisation is now complete, I am delighted with the teams we have in place across the Group. At Naked Wines we had a belter of a year – breaking through the £100m sales barrier and delivering a maiden profit.
"We still have lots to do and although we are on course to deliver our three year plan, it won’t be without challenges. Trading conditions remain tough in the UK especially, and we expect them to stay that way. Volatile currency movements will push up cost of goods. We are implementing a new supply chain and IT system, both of which are complex projects.
"Our plan however remains unchanged, as does our goal - £500m sales by 2019.”