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SHOULD INVESTORS BE TOASTING TODAY’S RESULTS FROM MAJESTIC WINE?

Marion Dakers
GREG FEEHELY | ALTIUM SECURITIES
Majestic Wine has a strong balance sheet and has more than adequate flexibility to take advantage of increased opportunities for new sites appearing on the market. While we are not changing our numbers today, forecast risk remains on the upside with potential benefits from the World Cup.”

JOHN DICKINSON | BREWIN DOLPHIN
“We have seen a good set of numbers today. The company has clearly benefited from reducing its minimum bottle order. It has also done well following the demise of several competitors. The results today are at the top end of expectations and the final dividend is expected to be the same.”

MANOJ LADWA | ETX CAPITAL
“Majestic Wine’s strategy is brilliant for its simplicity. Not only have they added customers but have managed to increase profits by a stunning 26 per cent, simply by slashing the minimum purchase levels from twelve bottles to six.”