Latvijas balzams publishes stable financial results on its 121st anniversary
Although 2020 has been a challenging year, the leading producer of alcoholic beverages in the Baltics, JSC Latvijas balzams, is announcing stable financial results on the 121st anniversary of the company. Latvijas balzams managed to ensure a profit at the current level, thanks to effective cost reduction, investment in technological processes and the start of production of new products - especially with the production of the surface and hand disinfectant line "Virudes".
The audited net revenue of the Company for the year 2020 reached EUR 68.6 million, a decrease by 12.7% against the year 2019, mainly affected by the Covid-19 pandemic situation in many parts of the world. The audited net profit for the reporting period is EUR 9.3 million, which is 7.2 % less as in the respective period in the year 2019 due to a decrease in sales volumes.
"Although profits have fallen, we consider this a successful result as we were able to provide a profit of 9.3 million. In the conditions of a pandemic, this is a great achievement, for which I thank every employee of Latvijas balzams and cooperation partners all over the world,” comments Intars Geidāns, Chairman of the Management Board of JSC Latvijas balzams.
"Today we are celebrating our 121st anniversary, adding another exciting, challenging, as well as interesting and very creative year to the years of our company and strong team. I am really proud that last year we created an impressive number of new products and in the first quarter of this year the amount of new products has been bigger than ever experienced. This gives confidence in the company's development and excellent results in the future as well,” concludes Intars Geidāns.
The operating profit for the year 2020 amounts to EUR 7.4 million, which is less than as in respective period on the year 2019 (EUR 8.00 million). The operating profit/turnover for the year 2020 is 10.8% (2019: 10.2%).
JSC Latvijas balzams is one of the largest local taxpayers. During the reporting period, the Company paid taxes of EUR 70.3 million to the state budget, including excise tax amounting to EUR 55.6 million.
More information on the 2020 report can be found in the “Latest Financial Indicators” section of the Latvijas balzams website.
Joint stock company Latvijas balzams is the leading producer of alcoholic beverages in the Baltics with a rich history since 1900. The company owns two alcoholic beverage factories in Riga – a strong alcoholic beverage factory and a sparkling wine and light alcoholic beverage factory. Latvijas balzams is one of Latvia’s leading exporters – its products are available in 175 countries around the world, as well as the company is one of the largest taxpayers in Latvia. Since 2015, the company has been part of the Amber Beverage Group.
Joint stock company Latvijas balzams
Chairman of the Management Board