New strategy bearing fruit for KWV group
KWV, whose wine and brandy is sold under labels like KWV, Laborie, Pearly Bay and Ubuntu, lifted headline earnings from continuing operations by 40percent in the year to June, its 90th anniversary year.
The total volume of its wine and spirits rose by nearly 20percent, indicating that the consumer slowdown has not necessarily stopped people from drinking.
The Roodeberg, KWV Lifestyle and KWV 10 Year Old brandy were the main growth drivers, while the Springbok brand did well.
Local volume sales were up 12percent and sales in Scandinavia, the UK and Canada were particularly good.
KWV chief executive Thys Loubser said KWV management spent the year simplifying its group structure and implementing a new strategy to transform "in line with the voice of the customer and consumer of today".
It embarked on a number of sales, including German subsidiary Eggers & Franke, NMK Premium Global Brands in South Africa and Vititec. "KWV consistently focussed on the implementation of the new strategy that we developed last year, and we are now seeing our efforts bearing fruit," Loubser said.
He expected a tough six months to come, but said "we feel reasonably confident about delivering further".