Glasgow-based whisky producer Whyte & Mackay has posted a decline in profitability for 2024 as a result of the weakening in the global whisky and luxury spirits markets.
Accounts filed at Companies House show the group’s turnover dropped to £349.2 million in the year to 31 December 2024, down from £370.5 million the previous year. Pre-tax profits fell by £10 million to £61.8 million, compared with £71.8 million in 2023.
The company, whose portfolio includes single malts The Dalmore, Jura, Fettercairn and Tamnavulin, said the weaker performance reflected a “challenging economic environment” that saw industry-wide single malt exports fall significantly below 2023 levels.
While Whyte & Mackay succeeded in cutting operating costs by around £12 million year-on-year, the savings proved insufficient to counteract the revenue decline. Operating margins narrowed by 1.3 percentage points as reduced sales volumes put pressure on profitability across both domestic and export markets.
The group has also continued to invest heavily in production capacity and visitor facilities despite the downturn, more than doubling capital spending to £51.2 million. The investment programme has funded major upgrades at the Dalmore, Jura and Invergordon distilleries, along with improvements to bottling operations at Grangemouth. The new visitor centre and upgraded production facilities at The Dalmore distillery are due to open next year.
In the strategic report, director Bryan Donaghey emphasised the company’s ongoing commitment to research and development to maintain its competitive position in Scotch whisky production and distribution saying, “The company is committed to research and development activities in order to secure its position as one of the market leaders in the production, marketing and distribution of Scotch whisky. This mainly manifests itself in the launch of new products but also extends to improving and optimising our production assets and processes.”