BELUGA GROUP announces the financial results for the first half of 2018
BELUGA GROUP (MOEX: BELU), the leading alcohol company in Russia, announces consolidated financial results for the first half of 2018 prepared in accordance with the International Financial Reporting Standards (IFRS).
Financial highlights and main corporate events
|
|
1H2018 |
|
Sales in volume terms |
+3% |
|
Net Revenue |
+19% |
|
Alcohol Segment Revenue |
+11% |
|
EBITDA |
+20% |
|
Net profit |
+79% |
Exclusive import distribution continues to develop positively, as the sales in volume terms increases both organically and through new contracts. Within the reporting period, the group has signed contracts for exclusive distribution in Russia with some world-famous wine brands, such as: Piccini, Masi Agricola, and Gerard Bertrand.
The company continues its development in international markets. Exports shows positive trend, especially dew to the sales of the Beluga vodka, which keeps demonstrating strong performance in the super premium segment worldwide. The product performs good in the markets of Italy, Germany, Israel, Bulgaria and Poland. India shows a dynamic increase again.
The collaboration with Bacardi in terms of contractual bottling, on the capacities of the plant “Georgievsky. Quality traditions” of the William Lawson’s и William Lawson’s Super Spiced whisky continues. The volume of contractual production has nearly tripled itself, compared with the same period of the last year.
As Alexander Mechetin, the CEO of BELUGA GROUP, comments on the company’s financial performance: "In the first half of 2018, the group continued to steadily strengthen the leadership on the market, with its main financial indicators showing positive dynamics: the net profit has grown by 79%, the operating profit – by 16%, and the EBITDA – by 20%.
A number of factors has contributed to positive dynamic changes: the external ones, such as stable market conditions due to absence of excise duty hikes in the current year, and the internal ones, such as, first of all, the diversification of the company’s operations.
Within the first half of the year, the group has increased sales in volume terms by 3%, considering the import growth – by 27%, and considering the export growth – by 17%.
I would also like to share with you the news about acquiring the high-end winery “Villa Romanov”. It is one of the most advanced wineries of the country, having their own vineyards, and located on one of the best terroirs of Russia, in the Temryuk region of the Krasnodarsky Krai. This acquisition is fully in line with our strategy of diversification. The Russian wine market currently exceeds the vodka and alcoholic beverages markets, developing dynamically. Our range of products is naturally complimented by our own wine brands.
The above factors, as well as our pro-active approach to innovative brand marketing, including launching new brands and categories, expanding and updating the existing product ranges, have contributed to the increase of the key financial indicators."