Wine specialist Naked Wines has reported “good momentum” in its performance as it forecasts a £200m rise in its full-year revenues amid the coronavirus pandemic.
The company, which operates internationally, said it has seen “strong demand” for its products through its online channel and has invested aggressively in new customer recruitment and expects its total investment for FY20 to be towards the middle of the £20-25m .
Despite the increase in revenues, Naked Wines said its trading remains “very uncertain”, but is also operating from a position of “financial strength” as it holds cash revenues of £50m and has “no debt”.
The retailer also revealed its staff in its UK, USA and Australia offices have been working remotely since 17 March.
Nick Devlin, group chief executive said: “During this unprecedented time, our absolute priority is the safety and wellbeing of our staff, customers, suppliers and winemakers and we have implemented necessary safeguarding measures in line with government advice in each of our markets.
“I am deeply proud of the way our teams have responded to the challenge of adapting to a new way of working in light of Covid-19 and their commitment to serving our customers. To the extent it’s safe to do so we are working hard to continue to connect wine drinkers with world class independent winemakers and bring a moment of normality and enjoyment into their homes without necessitating a visit to a store.”
He concluded: “In the short term, the introduction of social distancing has accelerated the shift in consumer buying behaviour towards online, leading to increased demand from both new and existing customers across all our markets.
“Over the medium-term, Covid-19 and its economic impact clearly creates uncertainty. However, Naked, with its advantaged consumer proposition and strong balance sheet is well placed to meet the challenges of a changing consumer environment.”