In the financial world, there is not much good news to report on these days; however we do have something good in this weeks report! Liquor Group Wholesale (OTCBB: LIQR) advises that period over period product sales are up across almost all 31 US states where it represents more than 1700 alcohol beverage brands; however Idaho, Montana, Oregon, Pennsylvania, Washington and Wyoming sales are up by triple digits over the same period last year.
These large increases in sales excluded the back orders for sales generated but not filled from various suppliers that hit shelves in December, which will push back a spike in sales to their fiscal second quarter (12/2008 – 2/2009) rather than their first quarter (9/2008 – 11/2009). According to SEC filings, Liquor Group Wholesales total sales would have more than doubled last years figures had brand suppliers been able to meet demand generated by the sales force at Liquor Group.
“This dramatic sales increase is attributed in part to the expansion of our portfolio as well as to additional brand recognition that many unique Liquor Group products have earned, coupled with the reputation for hard work and dedication to sell-through our Liquor Group sales representatives have in the market…” says C. J. Eiras, CEO of Liquor Group Wholesale: “…there’s no “Bailout” needed here, we can thank our loyal customers for that!”
Even in recession ridden states, Liquor Group sales are up substantially. One such example pulled from the NABCA database shows case sales for brands managed under Liquor Group Michigan were up dramatically, as they posted strong December sales to top off a year that saw a whopping 78% increase in overall case sales in 2008. This places Liquor Group firmly once again as the third largest spirits operation in the state. Liquor Group Michigan is an independent SLC of publicly traded Liquor Group Wholesale Inc. and is part of the LIQR distribution network that links operations in 31 states. The massive case sales increase for the firm ran counter to the trend in the state which saw only a 2.2% case sales increase for all wholesale distributors combined according to recently released figures from the Michigan Liquor Control Commission.
“Sales were up for the year across almost the entire line of fine brands we represent in the state and December was our biggest month ever…” says Steven Dodge, Liquor Group Wholesale’s Vice President for Control State Operations. “…the dramatic sales increase shows the result of our staff’s hard work at gaining new distribution outlets, and that our firm’s active marketing of the brands we represent in order to gain consumer recognition and increased market share is working.” Major brand suppliers such as Adamba Imports showed +44% and Charles Jaquins showed +33% in total portfolio sales increases under the skillful sales management of Liquor Group. “We are looking forward to an even stronger 2009 as we continue to expand our brand portfolio and see additional growth of the product lines for several brands we represent in control states such as Michigan,” adds Dodge.
Can Liquor Group continue to grow at this pace in this credit starved, recession filled environment? The answer, quite simply is: YES. The Liquor Group patent pending business model does not rely on any bank line of credit to operate which makes a tremendous difference in continued expansion without the worries of the current credit crunch. Are they recession proof? Who can say, but I am sure that with small-cap stocks dropping like flies in a fog of pesticide, this company has a real chance for success regardless of the economy or the current financial trends.
