Virgin Wines posts full year results in line with expectations
Virgin Wines has reported a performance in line with expectations in the year to 30 June with total revenue of £59 million.
The online wine retailer also expects to post an adjusted pre-tax profit of no less than £0.5 million.
Virgin Wines said it had taken a disciplined approach to customer acquisition during the year, which helped it to attract more than 90,000 new shoppers at an average cost of £12 per recruit. This marked an improvement of 9.2% year-on-year.
Throughout the fourth quarter of the year, conversion and cancellation rates also trended positively, while customer deposits into Wine Bank reached a seasonal high of £8 million at the year-end.
The retailer also made further progress in its commercial channel in the year, with the signing of a partnership with WH Smith Travel.
Jay Wright, chief executive of Virgin Wines, said: “Despite the inflationary environment, we have delivered results in line with expectations. We have successfully maintained our disciplined approach to customer acquisition, conversion and cancellation rates are trending positively, and our flagship Wine Bank scheme continues to be resilient in challenging market conditions.”
The company is continuing to develop a number of new initiatives focused on accelerating its strategic development.
Looking ahead, Wright said: “We remain confident in the underlying business model and opportunities for future growth into FY 2024 and beyond. We are well-positioned due to the uniquely sourced, high-quality nature of our wines, coupled with our market-leading expertise and strong foundations, and look forward to sharing more details on our strategic initiatives at the full year results.”
