Gordon & MacPhail: Historic Speyside whisky firm delivers pre-Budget plea amid mixed results

Recently appointed chief executive Mark Geary said the family-owned Scotch business was committed to undertaking “significant” investment in its brands, people and infrastructure. In the current year, the company has invested in a new warehouse at its Benromach distillery, increased brand investment and launched the world’s oldest single malt - the 85-year-old Artistry in Oak, bottled from spirit laid down from the Glenlivet Distillery in 1940.

The latest accounts for Speymalt Whisky Distributors, trading as Gordon & MacPhail, covering the year to the end of February 2025, revealed that sales had fallen by 18 per cent to £28.2 million, down from some £34.4m the year before, which had already marked a sharp decline on the previous period’s £46.5m.

Despite the sales slide, the business delivered a solid increase in pre-tax profit for the year under review, rising to £6.8m from £4.3m, though that was sharply down on the £17.4m generated in 2022/23.

Gross profit percentage rose to 63 per cent, up from 52 per cent in the prior year. The firm said this reflected “a more robust sales mix”, partially driven by the cessation of its UK wholesale business midway through the previous year.

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Geary, who took over from Phillip White, following his departure for family reasons, said: “It remains a challenging and turbulent market but there are opportunities to invest and get our offering right at the top end. The recent 85-year-old launch has gone incredibly well. All 125 bottles are now on order.

“We delivered bottom-line growth through three key areas - a better mix of products and markets for us on the lower revenue, good control of costs, and an insurance claim which came in relation to a production hold due to bad weather at The Cairn [distillery].”

In relation to Rachel Reeves’ upcoming autumn statement on November 26, he said: “We want some stability and a framework which encourages growth and investment because that’s ultimately where our ambitions lie, along with continued access to international markets. We have seen some great growth in places like South Korea and the UAE.”

Geary - who has 25 years’ experience in the global spirits industry - described tariffs as “unhelpful for trade”, noting that they created a depression in demand for certain categories over others, leaving brands to “fight harder for the sales that are available”.

The company was established as an Elgin grocery business in 1895 by James Gordon and John Alexander MacPhail. From that eponymously named store, the business has grown into a multi-faceted retailer, international trade partner, distiller and single malt maturation expert. It opened Benromach in Forres in 1998 while the firm’s second distillery, The Cairn, overlooking the River Spey, near Grantown-on-Spey, was opened in 2022.

Geary added: “We have the advantage of independent family ownership. That commitment to the long term from an owner’s point of view is absolutely there.”