Castle Brands, a New York-based developer and international marketer of premium and super-premium branded spirits and wine, has reported net sales of $35.5m for the year ended 31 March 2012, 10.9% increase, compared to $32m for the same period in 2011.

The US beverage alcohol case volume was increased 10% to 272,610 cases for the fiscal 2012, as compared to 247,610 cases for the comparable prior-year period, mainly due to organic growth.

Reported rum sales were $12.8m for the period ended 31 March 2012, up 18.7%, compared to $10.8m for the same period in 2011.

The increase in rum sales was primarily due to the continued growth of Gosling’s rums.

Loss from operations improved 28.6% to $3.9m for the fiscal 2012 from $5.4m for the comparable prior-year period.

Reported EBITDA improved 40% to a loss of $2.4m for the year ended 31 March 2012, as compared to a loss of $4m for the same period in 2011.

The positive EBITDA values were due to increased gross margin and lower selling expense.

Castle Brands president and CEO Richard Lampen said many of their brands are gaining in the US market as a result of their targeted marketing efforts, especially Jefferson’s bourbons and Gosling’s rums.

"We have focused our efforts on these more profitable brands in 2012, which has allowed us to increase our gross margins and significantly improve our operating loss in 2012," Lampen stated.

"We are pleased to have entered into a term sheet to increase availability under our working capital facility from $5 million to $7 million, which will provide us with additional working capital as we move toward profitability."

Castle Brands chief operating officer John Glover said the growth in the US sales reflects the momentum of their Gosling’s rums, Jefferson’s bourbons, Pallini Limoncello, Knappogue and Clontarf Irish whiskeys and Brady’s Irish cream.