Distil posts decline in revenue

AIM-listed Distil disappointed investors with a drop in annual revenue in what it described as a "satisfactory" set of results for the 12 months ended 31 March.It said its overall performance was held back by two issues, namely unexpected delays in securing US Alcohol & Tobacco Tax & Trade Bureau (TTB) approval for Blackwoods Gin and the effect this had on expected revenues, and secondly a drop-off in sales through Eastern Europe, especially Ukraine and Russia for its Blavod black vodka brand.Despite this, operating losses for the period narrowed from £367,000 to £286,000 on sales of £666,000, which was down from the £2.4m reported for the prior year.The group was also able to reduce its sales costs from £1.83m to £0.26m and its admin expenses from £0.94m to £0.69m."We are optimistic for the coming year, having seen sales improve strongly in the last few months in the UK and also steadily increasing internationally as our brands gain momentum," the firm said."All our brands have the potential to perform very well following completion of brand redesign and liquid improvements. We expect to further grow revenues and to expand our distribution network in the months ahead."The share price had fallen 17% to 0.77p by 1215 BST.