29th Sep 2014 08:38
LONDON (Alliance News) - English sparking wine producer Gusbourne PLC Monday said it loss widened in the first half of the year as it continued to invest in more vine acreage and developing its brand and trade partnerships, but it is also hoping for an excellent harvest from this year's grape crop after optimum weather conditions throughout the growing season.
The wine maker controlled by Conservative party peer Lord Ashcroft planted an additional 50 acres of vines in May on its freehold estate in Kent, bringing its total planted acreage to 155 acres.
That extra investment healed push its net loss for the six months to end-June to GBP501,000, more than double the GBP202,000 loss it reported a year earlier.
Its sales were GBP194,000, compared with nothing a year earlier, as it sold stocks of prior-year vintages.
"The production of premium quality wine from new vineyards is, by its very nature, a long term, and generational business. It takes four years to bring a vineyard into full production and a further four years to transform these grapes into an exquisite sparkling wine," Chairman Andrew Weeber said in a statement.
"Our long term plan includes additional investment in new vineyards, increased winemaking capacity, wine stocks and most importantly, brand development," he added.
Gusbourne shares were down 1.4% at 72.50 pence Monday morning.
By Steve McGrath; [email protected]; @stevemcgrath1
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