bizEDGE NZ - Foley Family Wines turns first half profit as sales grow

Warning: This story was published more than a year ago.
arrow_up.jpg

Foley Family Wines turns first half profit as sales grow

Foley Family Wines, majority owned by American businessman and vineyard owner Bill Foley, posted a first-half operating profit as sales increased 14 percent.

Underlying profit, which strips out fair valuation changes for harvested grapes, was $661,000 in the six months ended Dec. 31, compared to a loss of $96,000 in the previous comparable period, the Marlborough-based company said in a statement. Sales increased to $15.6 million from $13.7 million a year earlier.

Net profit dropped to $400,000 from $1.1 million a year earlier, as the company had recorded a $169,000 writedown on harvested grapes, as opposed to the prior year's upward revision of $892,000, it said.

The company has wineries in Marlborough and Martinborough and links to wine distributor Eurovintage, restaurateur Nourish Group and luxury lodge Wharekauhau though Foley's private company, trading at a market value of about $75.7 million on the NZX Alternative Index market for smaller companies. Foley Family Wines acquired a Matrinborough vineyard and Lighthouse Gin brand last year.

The company is changing the distribution system for its Martinborough Vineyards sales into Australia, to lift sales after "disappointing" revenue of $611,000 in the period, it said.

Shares of the company were unchanged at $1.45. In June the company said it plans to move to the main board and raised $10 million via an institutional shares offer, which it used to repay debt and improve warehousing and bottling facilities.

 

Interested in this topic?
We can put you in touch with an expert.

Follow Us

Featured

next-story-thumb Scroll down to read: