Marc Hasenfuss Editor-at-large

It’s taken a few years, but shareholders in liquor conglomerate Distell can surely now taste just how much CEO Richard Rushton — a former SABMiller executive, appointed in 2013 — is fortifying the business model. The standout slide in the company’s recent investment presentation covering the six months to December displayed Distell’s success in pushing through above-average price increases on its best-selling brands, which include top-selling ciders and ready-to-drink beverages (RTDs) like Savanna, Hunter’s and Bernini. The bulk of the increase of about R1bn in interim turnover to R14.4bn came from price increases — an achievement, considering the prolonged economic hangover. It also testifies to the strength of Distell’s array of brands. Ciders and RTDs reported a 1.2% volume increase, but managed to grow revenue a sprightly 8.3%. Wine dropped 4.2% in volumes, but this was offset by a 4.4% gain in revenue. The recent decision to pack the premium wine brands into a standalone compan...

BL Premium

This article is reserved for our subscribers.

A subscription helps you enjoy the best of our business content every day along with benefits such as exclusive Financial Times articles, Morningstar financial data, and digital access to the Sunday Times and Times Select.

Already subscribed? Simply sign in below.



Questions or problems? Email helpdesk@businesslive.co.za or call 0860 52 52 00.