Subscriber login Close [x]
remember me
You are not logged in.

Kent winery Chapel Down hails "excellent" year as sales rise 21%

Published:  23 April, 2015

English wine producer Chapel Down hailed an "excellent year" after seeing year-on-year sales rise 21% during 2014 to £6.1m.

The Tenterden-based winery reported pre-tax profits up 175% to £187k (excluding the £173k adjustment for share-based payments under FRS20) and reported "healthy" margins of 36.3%, although slightly down on last year's figures of 37.4%. EBITDA excluding the FRS20 adjustment rose 5% to £479k, from £454k.

There was strong performance from its beer portfolio, albeit of a small base, with turnover up 43%, and chairman John Dunsmore said the brand was in "good health".

"2014 had been an excellent year with many achievements that had gone a long way to securing an exciting future," he said. "We enjoyed a record harvest of excellent quality fruit which will ensure that our wines will continued to grow their international reputation in the future and we are able to meet shorter term demand."

Despite the good 2014 harvest, he noted that financial performance was "slightly affected" by the low yields in 2011 and 2012, which had limited availability of stock. "However, with two large harvests in 2013 and 2014 our stocks have been replenished and we can now plan for further growth."

Frazer Thompson, chief executive officer, Chapel Down

In September, the company raised £3.95m of funding through crowdfunding, which it said had helped it secure 326 acres of new land on long term leases to enable it to plant new vineyards, as well as new equipment. It has developed new products and invested in bringing new staff to its team.

"Our assets are extremely strong, high quality vined land in particular attracts a premium," Dunsmore said. "In addition, our brand assets are more valuable and our limited stock more in demand than ever."

Last year the company reported sales up 4% following a drop in volume sales down 24% following a poor harvest in 2011 and 2012.