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Return on investment improves significantly in group's growth engine Naked Wines

Return on Investment in Majestic Wine’s (WINE:AIM) Naked Wines business was restored to 98% from 48% in the six months to 2 October, as the wine specialist stripped back spending on underperforming US direct mail and reduced marketing spend for acquiring new customers for its online crowdfunding arm.

Two years into CEO Rowan Gormley’s turnaround plan, Majestic Wine’s half year results (23 Nov) revealed an impressive swing from break-even to adjusted profit before tax of £6.8m, with Naked Wines profitable in all three geographical markets and the traditional Majestic Retail business growing profitably in a challenging market.

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