Corby Distilleries Q4 Profit Up 23%

8/26/2009 11:55 AM ET

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Corby Distilleries Q4 Profit Up - Quick Facts

(RTTNews) - Wednesday, Corby Distilleries Ltd. (CDL-A.TO, CDL-B.TO), reported a 23% rise in profit for the fourth quarter, helped by various factors including higher commission income, lower advertising and promotional expenditures, and the benefit of additional sales at LCBO locations in Ontario as a result of possible labor disruption.

The Toronto, Canada-based company's net earnings for the fourth quarter increased 23% to C$7.40 million from C$6.00 million in the year-ago quarter. On a per share basis, net earnings increased 24% to C$0.26 from C$0.21 last year.

Operating revenue for the quarter climbed to C$41.44 million from C$39.60 million in the year-ago quarter.

Sales for the quarter rose a modest 1% to C$36.90 million from C$36.40 million in the year-ago quarter. Commissions increased to C$4.60 million from C$3.20 million in the prior-year quarter.

Operating costs for the quarter rose modestly to C$31.30 million from C$31.24 million in the year-earlier quarter. Earnings from operations for the quarter slid to C$10.14 million from C$8.40 million last year.

Patrick O'Driscoll, President and Chief Executive Officer, Corby said, "I am pleased with the company's performance during such turbulent economic conditions. We continue to strive to further expand and grow Corby's product portfolio in the Canadian spirits and wine markets in an effort to increase sales and maximize earnings in future periods."

For the full-year net earnings decreased to C$30.40 million or C$1.07 per share from C$32.00 million or C$1.12 per share last year. However, operating revenue for the period increased to C$169.30 million from C$163.32 million in the fiscal year 2008.

The company also announced the resignation of Michel Bord from the Board of Directors, and the appointment of Philippe Dréano as a director of the company, effective August 26.

Corby also declared a dividend of $0.14 per share payable on September 30 on Voting Class A Common Shares and Non-voting Class B Common Shares to stockholders of record as of the close of business on September 14, 2009.

CDL-A.TO is currently trading at C$14.82, down C$0.18 or 1.20%, while CDL-B.TO is trading at C$14.19, up C$0.18 or C$1.28%, on the TSX.