Majestic Wines profits surge 27%

Total sales were up 10.3% £257.3m.

Like-for-likes increased 5.3%.

In the 10 weeks from March 29, like for like sales were up 4.4%.

Average spend per transaction declined 2.5% to £126, however transaction numbers were up 12.5% to 2 million.

Online sales jumped 9.6% on last year and now represent 10.2% of UK retail sales.

The retailer operates 165 stores in the UK and said it can expand to at least 330 stores in total.

Majestic Wines said an average bottle of still wine purchased at Majestic is now £6.94, up from £6.56 the year before.

Sales of wine priced at £20 per bottle and above increased 23.7% on last year and now represent 6% of UK store sales.

Majestic Wines chief executive Steve Lewis said: “We are delighted that so many new customers have chosen to shop with Majestic and are encouraged that all parts of the business are showing strong progress.”

The retailer said that its decision to reduce its minimum purchase requirement to six bottles from twelve in September 2009 proved “extremely popular with existing customers and has also made Majestic more accessible to new customers”.