Castle Brands Inc. (NYSE Amex: ROX), a developer and international marketer of premium and super-premium branded spirits and wine, today reported financial results for the three and six month periods ended September 30, 2011.
Operating Highlights for quarter ended September 30, 2011:
- EBITDA, as adjusted, improved by 54.3% to a loss of ($0.5) million, compared to a loss of ($1.1) million for the second quarter of 2010
- Total case sales increased 9.8% to 86,148 cases compared to 78,453 cases in the prior fiscal year period
- Whiskey case sales increased 65.5% led by Clontarf and the introduction of Jefferson’s Rye
- Liqueur case sales increased 10.1% led by Pallini Limoncello and Travis Hasse's Original® Pie Liqueurs
- U.S. case sales increased 8% in the second quarter, compared to the prior fiscal year period driven by organic growth and the momentum of Gosling’s rums, Pallini Limoncello, Jefferson’s Bourbons and Clontarf Irish whiskey
"We continue to execute upon our strategy and increase net sales year-over-year, bringing us closer to profitability. The positive momentum we are experiencing in our business reflects the strength of our global portfolio of premium brands, such as Gosling’s rum, Jefferson’s Bourbons and Pallini Limoncello,” stated Richard J. Lampen, President and Chief Executive Officer of Castle Brands. “We are excited by the positive trends our brands are experiencing in the market, which we attribute to new strategic distribution relationships, our experienced sales team and effective marketing tactics. We are selectively pursuing new brands, joint ventures and acquisitions in an effort to further enhance our portfolio.”
“One of the great successes that we have had in our strategy to lower costs is the dramatic improvements made to our supply chains and cost structures. These enhancements include effectively streamlining our international distribution operations and making certain inventory and personnel reductions. We anticipate the benefits from these changes to continue to have a positive effect on our business and play a major role in our ability to achieve profitability,” stated John Glover, Chief Operating Officer of Castle Brands.