The Tenterden-based producer of Chapel Down wines made a pre-tax profit of £157,543 compared with a loss of £89,579 in the previous year.
The company said it had achieved an 18% increase in average retail prices which had helped to compensate for the rising cost of raw materials. Volumes were up 5%. Head office efficiencies led to a 10% decrease in marketing and administration expenses.
The company said in its annual accounts for the 2007 calendar year that there was strong support for its wines from Waitrose, Sainsbury's, Marks & Spencer, Selfridges and Fortnum & Mason, plus some leading restaurants.
Chairman Paul Brett said: "The 2007 harvest was affected by the adverse summer weather. However, although volumes were lower than expectations, the fruit was of high quality, with very good to outstanding white and sparkling wine to come."