Jubilee Effect contributes to Majestic profits

Majestic Wine profits were up by 2.2% year ending 1st April due in part to a 200% increase in the sales of English Sparkling Wine last year thanks to the Jubilee and Olympic celebrations Britain enjoyed. Other contributing factors were buoyant sales of Prosecco and still wines from the Rhône, Argentina, Italy and Spain. Sales of fine wine also rose by 9.4%.

The company's policy to reduce the minimum online order to 6 bottles has certainly paid off as it has meant an online revenue increase of 15%. This means 11% of its revenues now come via the internet. The company has been deliberately reducing it's wholesale activity to focus on on-trade customers.

Majestic remain confident that their long term aim of having 330 stores is still on track but Chairman Phil Wrigley added a note of caution. He pointed out that the new financial year had begun slowly, due to the earlier timing of Easter and the boost given last year by the Jubilee celebrations.