DDL records Gy$ 1.3B profit in 2012 – says international sales continue to drive growth

TIMES INT'L

Demerara Distillers Limited (DDL) and its subsidiaries have announced the group’s results for the financial year 2012 – Gy$ 1.3 billion in profit.
In a release, the company said the group’s profit before tax increased by 12 per cent in 2012 (after deducting the one-off dividend received from BEV Processors Inc in 2011 which amounted to Gy$ 288 million). Turnover increased from Gy$ 14.6 billion in 2011 to Gy$ 15.8 billion in 2012, reflecting an 8.2 per cent growth.
In his report, Chairman Yesu Persaud stated that “the growth in the DDL Group’s performance was primarily determined by the achievements in the international markets”.

DDL Chairman Yesu Persaud
DDL Chairman Yesu Persaud

The chairman said the company continued to focus on the development of its international markets, despite the economic challenges faced by many Western countries, especially those in Europe, and the USA. “The ongoing euro crisis has impacted our European operations, but there is every indication that the situation will improve in the coming year,” he said.
The growth in international sales has contributed significantly to the increase in the company’s revenue.
Revenue from the sale of branded products increased by 23 per cent and for bulk sales by 29 per cent in 2012.
During the year 2012, the company responded to popular demand and reintroduced the once popular brand Five-O, which has received favourable response in the domestic market. The company also successfully launched a new Ivanoff Cranberry Vodka.
TOPCO turnaround
The chairman also noted the improved performances of subsidiaries in the past year. Particularly encouraging was the turnaround of TOPCO to profitability after several years of losses. This company made a net profit of Gy$ 16 million compared to a loss of Gy$ 16.4 million in the previous year. Major improvements in the operations of Distribution Services Limited were also recorded, as the company commissioned its modern, upgraded Cash and Carry facility at Diamond on the East Bank of Demerara in December 2012.
The chairman expressed confidence that the company’s ability to meet consumer demands in the future, along with its plans to further upgrade its operations, has put it in a position for greater success in 2013.

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