Turnover of “Latvijas Balzams’’ Reached 100 Million Euro Last Year

| Source: Latvijas balzams

Joint-stock Company “Latvijas Balzams” (LB), which is the largest producer of alcoholic beverages in the Baltic States, has worked with a turnover of 101.1 million Euro in 2013, which is by 1.5% more than in year 2012. The increase has been reached due to active introduction of new products, cooperation with new partners, and efficient teamwork, said LB Board Chairman and General Manager Guntis Aboltins-Abolins during the presentation of the unaudited business results of the company for the previous year.

  The total amount paid to the state in taxes has increased significantly (by 13%) last year. LB has paid 58.7 million Euro in taxes (of this, excise tax 43.4 million Euro) in 2013.

  „In continually increasing competition and illegal market conditions, it is a big challenge for a manufacturer not only to survive, but also demonstrate targeted development. We have been pursuing our strategy closely with a focus on export market growth, which is a significant direction of development not only for “Latvijas Balzams”, but also the Latvian economy in general’ emphasises G. Aboltins-Abolins.

  The turnover of the company in the export markets has increased by 2.8% last year. The largest sales increase has been reached in such essential markets as Russia (+5.5%), Latvian duty-free zone (+18.2%), and Ukraine (+38.3%). The key export directions in 2013 have been the Baltic States, Russia, Germany, and Scandinavia, and new markets, such as China, have been acquired in parallel. The company is also among the top 25 Latvian exporters and has received The Red Jackets title.

  The domestic turnover has remained on the level of the previous year, but has dropped in the Baltic States due to the revisions of the product portfolio in these markets. After the orders of the S.P.I. Group, the exports increased by 4.4% last year.

  The unaudited profit of the company is 5.7 million Euro, which is 3.8% down against the results of year 2012.  The company explains the drop in the profit by the higher prices of the raw materials. The company has invested 533 thousand Euro into development last year.

  In 2013, the company successfully participated in several international exhibitions and received the highest beverage quality and competitiveness ratings. The products “Riga Black Balsam”, “Riga Black Balsam Currant”, “Riga Black Vodka” and liqueur “Moka” produced by the company received gold, silver and bronze medals in the largest international exhibitions: International Wine & Spirits Competition (UK), Los Angeles International Spirits Competition, and New York World Wine & Spirits Competition (USA)

JSC “Latvijas Balzams” ranked 15th in the TOP Reputation Survey out of 100 top-reputation companies in the state. 

  Implementing the public support programme, JSC “Latvijas Balzams” established its scholarship fund to support interest of young people in professions related to production.

  About JSC “Latvijas Balzams”

  JSC “Latvijas balzams” is a leading producer of alcoholic beverages in the Baltics with a history steeped in tradition. Company represents 24% of Baltics alcoholic beverages market.  Its biggest pride, Riga Black Balsam, is one of the oldest alcohol beverage brands in Europe rooted in 1752. The company has a distillery of strong alcohol beverages and sparkling wines and light alcohol beverages production plant in Riga.

  JSC “Latvijas balzams” employs 600 people and is one of the biggest taxpayers in Latvia. JSC “Latvijas balzams” with more than 100 product names is represented in almost all segments of strong and light alcohol beverages, with many market leaders in Latvia. Among the company’s products are such worldwide known brands as  Stolichnaya, Moskovskaya, Riga Black Balsam and  the most popular local sparkling wine made by original Recipe -  Rigas Sparkling Wine.

  JSC “Latvijas balzams” is one of the most significant exporters in Latvia – its products are available in more than 160 countries through SPI Group and in over 30 markets through direct export. The company’s quality management system is certified in accordance with ISO standards and has won hundreds of awards in various interna-tional and domestic competitions and has obtained numerous quality certificates. In May 2013 JSC “Latvijas balzams” was awarded a silver medal in the Sustainability Index , improving its overall performance compared to the previous year.

         Additional information:
         Dana Hasana
         JSC “Latvijas balzams” Communications Manager
         Phone: +371 67011711
         Mob. phone:+371 26355895
         E-mail: dana.hasana@lb.lv