William Grant & Sons is the latest whisky distiller to see a sharp fall in profits and revenue in line with a global downturn in spirits sales.
The company reported a 30% slump in profit to £388 million on a 6.5% fall in turnover to £1.834 billion for the year ending 31 December 2024.
The company behind the Glenfiddich brand said that “in a year marked by industry-wide challenges, the decline in revenue is in line with market trends, including the continuation of significant destocking.
“The reduction in profit reflects both these market conditions but also continued investment in the company’s brands and infrastructure, demonstrating confidence in the future of the spirits industry.”
It said that despite these significant headwinds, the company maintained its commitment to quality and innovation, demonstrated by Glenfiddich’s multi-year partnership with the Aston Martin Formula One Team in November 2024, “bringing together two brands renowned for their heritage, innovation, and pursuit of excellence”.
In addition, the company bought The Famous Grouse and Naked Malt brands from Edrington last Septmber. The deal was finalised on 1 July.
Søren Hagh, CEO of William Grant & Sons, commented: “2024 was a challenging year for the spirits industry, with both global economic conditions and continued destocking weighing heavily on performance in comparison to 2023.
“That being said, profits were broadly in line with 2022 and our confidence in the future of spirits means we have continued to invest in both our brands and distilleries for the long-term.”
Last month, Edrington, owner of The Macallan, reported a fall in profits. In April, Isle of Harris Distillery announced plans to reduce its production capacity and workforce.
The sector’s woes are being felt around the globe. Diageo, producer of Johnnie Walker whisky, has paused production at the Roe & Co whiskey distillery in Dublin. In March, it announced it would pause production and barrel filling until June at its at its whiskey distillery in Kentucky, in order to “support our efficiency and productivity goals.”
In January, Brown-Forman informed investors that it would be laying off about 12% of its global workforce and closing its Louisville-based cooperage.
Macallan opens boutique unit at Los Angeles Airport
One bright spot is that Edrington has opened its first Macallan boutique on the US West Coast at Los Angeles International Airport (LAX).
It follows the launch of The Macallan’s boutique at Heathrow Airport in May.
Officially open now at LAX’s Tom Bradley International Terminal, the new 92-square-metre space is part of the brand’s global travel retail (GTR) expansion.
Kasper Andersen, regional managing director of GTR at Edrington, commented: “Bringing The Macallan to Los Angeles International Airport is an exciting step for us, marking our first West Coast boutique and an important new chapter for the brand in the Americas.”
The unit includes a wave wall that mirrors the design of The Macallan Distillery’s distinctive distillery roof in Speyside.
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