Majestic profits up thanks to fine wine
A 25% rise in fine wine sales helped Majestic to boost profits for its full year, the group has announced.
But the company
increased costs will have to be passed on to its customers this year, with prices rising by around 10%.
Majestic sales and pre-tax profits rose 3% to £197 million and £16.7 million respectively for the 12 months ended March 31.
Leading the performance was strong growth in fine wine sales, which Majestic said now made up around 4% of the UK's retail wine purchases.
The group plans to put fine wine display areas in a further 10 stores this year, bringing the total to 55.
Average spend on a bottle of wine was also up, something the industry as a whole will welcome as it contends with duty rises and a wavering economy.
Majestic said average spend per transaction rose 8% to £133. The average bottle price of still wine purchased increased to £5.98 from £5.75 last year.