Shares in Stock Spirits rose more than five per cent this morning after the drinks company served up a strong rise in revenue and profit for the full year.
The London-listed firm posted a nine per cent rise in revenue to €312.4m (£264.7m) in the year to the end of September, while pre-tax profit jumped almost 20 per cent to €38.2m.
The strong trading was driven by a surge in vodka sales in Poland – the firm’s largest market. Revenue from Poland was up 13 per cent to €171.7m over the year.
Stock Spirits, which is focused on central and eastern Europe, also said it will pump €25m into extra distillation capacity in Poland as it looks to double down on the lucrative market.
The company pinned its successes in the country on strong economic growth, which has boosted disposable incomes and helped increase sales.
Growth was also driven by two acquisitions over the period, as Stock Spirits snapped up Italian grappa producer Distillerie Franciacorta and high-end Czech spirits firm Bartida.
“We have delivered a year of good growth as our successful strategy of premiumisation continues to make progress,” said chief executive Mirek Stachowicz.
“The turnaround of our Polish business is complete, and we have now delivered 29 consecutive months of year-on-year volume share growth in that market. We have also strengthened our leadership position in the Czech Republic, taking market share in volume and value.”
Stock Spirits will be hoping the positive figures can help turn around its fortunes after a period of steady share price decline.
Earlier this year the company survived an attempted boardroom coup, when activist investor Western Gate tried to oust two directors over concerns about the vodka maker’s growth strategy.