Drinks retailer Majestic Wines posted mixed results for the year ending 31 March 2025, with revenue slightly increasing to £386m from £385m in the year prior.

The business saw its adjusted EBITDA decrease to £18m compared to £21.1m in the same period last year. While pre-tax profit declined to £7.8m from £14.3m in 2024, driven by acquisition costs and a day off trading during Easter.

According to the company, operating profit was impacted by changes to government tax policies, including the increase in customs duty rates and national living wage hikes.

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The brand stated that the “highly complex” duty regime resulted in inflationary pressures on the alcohol sector.

In a statement, the business said: “Consistent with the broader consumer landscape in the UK, the economic environment became more challenging during the year, especially following the new Government’s election in July 2024 and its budget in October 2024.

“This all contributed to more fragile consumer confidence, impacted by cost-of-living concerns, resulting in pressure on disposable incomes.”

Moving forward, the group plans to implement a strategic five-year plan to broaden its business to hospitality services following the purchase of Vagabond Wines.