The Lakes Distillery: Profit slumps at Nyetimber’s whisky brand
Nyetimber, the English sparkling wine producer, paid £71m to acquire The Lakes Distillery in 2024 as part of its goal to create a UK-based luxury drinks brand. But just two years on, and it’s starting to look as if Nyetimber, led by CEO Eric Heerema, may be suffering buyer’s remorse. Paul Carrie (who previously co-founded [...]
The Lakes Distillery, acquired by Nyetimber in 2024 for £71 million, is experiencing a significant decline in sales and profitability under the beverage company's ownership. The brand's turnover dropped from £8.4 million to £3.3 million, representing a 61% decrease in the year ending December 2025, its first full year under new management.
Gross profit also plummeted from £5.7 million to £1.9 million. Before the acquisition, The Lakes had £5.8 million in revenue and £3.6 million in gross profit in 2023. These disappointing figures led to the closure of the distillery's restaurant, shop, and tours in Cockermouth, Cumbria. Despite the setbacks, Nyetimber's overall sales rose to £18.1 million for the same period in 2025, up from £17.1 million in 2024.
The company reported an operating loss of £4.7 million, a decrease from £8.5 million the previous year. English whisky faces challenges as sales continue to decline, though supply is set to increase. Around 70 English whisky distilleries now exist, with half still without a product in the market. Nyetimber CEO Eric Heerema expressed disappointment with the recent results but stated that the company is implementing positive changes to improve the brand's financial trajectory.
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