The Artisanal Spirits Company (AIM:ART) reported continued growth in its Branded businesses for the six months to 30 June, with revenue up 7% year-on-year in the first half and around 10% for the year to date to the end of August.
The AIM-listed owner of The Scotch Malt Whisky Society, Single Cask Nation, J.G. Thomson and Artisan Casks said global membership rose above 40,000 by the end of August, with retention ticking up to 72% from 70% a year earlier.
The Americas region was the standout performer, with revenue up 44% and membership up 8%, aided by a switch to a new US route-to-market partner at the start of the second quarter. Depletion growth of 8% in the first half accelerated further into double digits in July and August, a shift management expects to unlock around £2m of reported revenue improvement in the second half as prior-year accounting effects unwind.
Europe proved harder going, with UK online revenue down 5% and EU revenue down 11%, partly reflecting members trading down to lower price points. Trade cask sales fell around £1m in the first half but are expected to weight more heavily to the second half.
"Our cost and cash discipline is working", said chief executive Andrew Dane, adding that membership growth "is the engine of our business".
The board said it expects the group to meet current market expectations for the full year, which it defined as revenue of £24m, EBITDA of £1.7m and a £0.5m reduction in net debt, contingent on trade cask transactions completing as anticipated.
