THE ISLE of Arran Distillers grew net profit by 25 per cent to £1 million in 2015, and submitted plans to build a second distillery on the island which will lead to the launch of a new brand of malt whisky.

Results, which will be filed with Companies House in the next few days, show a 14.5 per cent growth in revenue to £6.3m, highlighting the extent to which the business is outperforming the overall whisky market.

“Our success shows that it is not only possible to survive in a challenging market, but to thrive,” said managing director Euan Mitchell.

Planning permission has now been submitted for a new distillery site and visitor centre on the south of the island at Lagg. This comes as the Lochranza site capacity grows to one million litres with the delivery later this year of two new pot stills.

The new distillery, if given the go ahead, will have a capacity of up to 800,000 litres per annum, and Mr Mitchell said whisky production at the distillery would results in a new brand.

The company noted that 61 per cent of its sales were into export markets. France remained a core territory for the business, while nine per cent of its exports went into the US, and seven per cent into Taiwan, which the firm called a “rising star”.

“There is an undeniable consumer desire for authenticity, something which we can deliver as an independently owned Scottish business,” said Mr Mitchell. “In contrast, three quarters of Scottish distilleries are in the hands of international businesses.”

The distillery on Arran is now 21 years-old and is continuing a programme of investment. A new blending and tasting building was constructed in 2016 and visitor numbers increased 30 per cent to 85,000, in part due to a reduction in ferry fares to the island.