Polish duty increase is no tonic for vodka maker Stock Spirits

 
Joseph Millis
Stock Spirits warned that full-year operating profits could be €5m-€10m below expectations
Vodka maker Stock Spirits yesterday said it expected full-year results to be around the lower end of the range it outlined in November as it continues to experience supply chain disruption in Poland during the last quarter.

The FTSE 250-listed drinks producer was hit by a duty increase in Poland during the third quarter that did not relent in the fourth.

With continued aggressive competitor activity in Poland, the group maintained its value share in the market but has seen a small decline in volume market share.

Market data showed that consumer volume trends deteriorated in October and November, resulting in a decline of 4.4 per cent year-on-year.

In November, Stocks Spirits said that as a result of a “very tough trading period” in the third quarter, there was a risk that full-year oper­ating profits could be €5m-€10m (£3.8m-£7.6m) below exp­ect­­ations as it headed into its key trading period.

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