ElfBar and Lost Mary vape distributor Supreme has revealed it doubled its annual profit, as its boss insists it is “not concerned” about a potential future ban on disposable vapes.
Supreme, which also makes and distributes products including batteries, light bulbs and protein powder, said it delivered a “record financial performance” in the past year.
It reported a pre-tax profit of £30.1 million for the year to the end of March, up from £14.1 million generated a year earlier.
Total revenues also surged by 42% year on year to £221.2 million.
Supreme said it made about a third of all its sales from its disposable vapes, driven by its agreement to distribute ElfBar and LostMary into shops and major supermarkets like Tesco and B&M.
The company has its head office and factory in Manchester, where it also makes its own brand of disposable vapes and e-liquids, 88Vape.
The company has a long-standing contract with the HM Prison and Probation Service, where it supplies vaping products to UK prisons.
The London-listed company said it was “mindful of the UK Government’s highly publicised proposal to ban disposable vaping devices in a bid to combat under-age vaping,” as well as plans to introduce a new tax on vapes.
But chief executive Sandy Chadha said he was “not concerned” that the proposals will have “any long-term impact on Supreme as a responsible manufacturer and distributor”.
The company said it supports efforts to prevent under-age vaping in the UK, and had taken steps including ditching bright colours in the 88Vape packaging and using age-appropriate flavour descriptions.
It also insisted that vaping remains a “credible, sustainable, and highly effecting smoking cessation tool”.
Meanwhile, Supreme said its sales grew within its sports nutrition division, which includes protein powder, shakes and bars brand Sci-MX.
It also saw revenues edge up for its batteries division, which includes Energizer, Duracell and JCB, thanks to price hikes and an increase in the volume of sales.
Supreme said it expects to have another profitable year and to explore more opportunities for acquisitions. Nevertheless, its share price was down about 5% on Tuesday.