Digital Wine Ventures (ASX: DW8) rockets 10% on record sales

The Digital Wine Ventures Ltd (ASX: DW8) share price jumps 10% on record sales. This brings its year-to-date returns to more than 700%

The Digital Wine Ventures Ltd (ASX: DW8) share price jumped 10% on Monday after a record number of sales in October. Its shares are up more than 700% this year after a flurry of bullish sales announcements. 

About Digital Wine Ventures 

Digital Wine Ventures identifies and invests in early stage technology driven ventures that have the potential to disrupt and digitally transform segments within the global beverage market and support them by providing access to capital, expertise and share services. WINEDEPOT is the company's coronership investment. 

WINEDEPOT is a cloud-based software-as-a-service technology platform that empowers direct-to-market sales. It provides value to customers by removing layers of inefficiency in the supply chain. The company operates a network of strategically located deposits servicing key markets, supported by bulk storage centres. Its depots are combined with a software offering that provides customers with direct-to-trade marketplaces, order management systems and smart logistics solutions.  

Company update 

On Monday, the WINEDEPOT business shipped a total of 9,749 cases in October, up 34% on the total cases shipped in September. WINEDEPOT also processed another record number of orders in October at 5,817, up 23% on the previous record breaking month in September. 

The WINEDEPOT platform also added 57 new brands to the platform including various Australian and New Zealand producers, craft spirit & beverage producers and wine distributors. 

Poised for growth 

Digital Wines is creating a springboard for growth for its WINEDEPOT business and goal to disrupt the global beverage market. The company's quarterly update, announced on 27 October, points to the series financial, operational and acquisition actions taken by management to secure its future growth prospects. 

On 14 October, it entered into an agreement to acquire Wine Delivery Australia Pty Ltd, a South Australia based fourth-party logistics provider servicing the wine industry to accelerate WINEDEPOT's growth. 

During the quarter, the company also successfully completed a $6 million capital raising to accelerate WINEDEPOT's growth strategy through the launch of its marketplace and expansion of smart logistic business required to support the marketplace. 

Furthermore, the company quadrupled its sales and market team with several new high profile executives joining the team. 

The Digital Wines share price has retreated slightly from its intraday high, and is trading up 8.7% at the time of writing.

Motley Fool contributor Lina Lim has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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