The Company was established in 1900 and operates under the current name since 1970. Due to SPI Group internal reorganization the major shareholder of JSC Latvijas balzams from October 2014 is Amber Beverage Group LLC which owns 89.53% of the Company’s equity capital (previous major shareholder – S.P.I. Regional Business Unit B.V.).
JSC Latvijas balzams is the largest producer of alcoholic beverages in the Baltic States with a range of more than 100 different products. Our production is exported to more than 160 export markets as mediated by SPI Group, and to 30 markets via the Company`s direct export route.
The Company`s Activity
The unaudited turnover of the Company in the first nine months of 2015 was 55.27 million Euros, which is 7.9% more than for the first nine months of 2014. The growth of turnover influenced by increase in sales in export markets, for example, orders of SPI Group has increased by 14.8% comparing to the first nine months of 2014. Significant sales volume increase excluding SPI Group orders was achieved in Lithuania (+38%), Estonia (+16%) and also in China and Romania. Continuing purposeful growth in strategically significant export markets, the Company has successfully expanded assortment and partnerships.
The unaudited profit for the reporting period reached 5.99 million Euros that represents 20.4% growth versus the first nine months of 2014. The result was achieved through focused development of the beverage portfolio, volume growth in strategically significant export markets and growth of production process efficiency as well as changes in corporate income tax related to the reorganization and taken over accumulated tax losses.
During the first nine months of 2015 JSC Latvijas balzams paid 40 million Euros into the state budget, including excise tax amounting to 29.6 million Euros.
Outlook of Future Activities
The Company will continue purposeful focus on achieve of settled objectives in both domestic and export markets. Our priorities still will be beverage portfolio consummate with the focus on exportable beverages and internationally acknowledged brands, as well as focus on implementation of effective production strategy to increase the Company`s competitiveness.
The Company will continue to execute active external marketing activities by participating in international exhibitions and by presenting for global consumers their brands.
By active participation in the Industry Association and cooperating with non-governmental organizations, the Company will represent the interests of industry in the dialogue with legislators and law enforcement institutions, and promote advised policy development in the alcohol market. The Company will continue to focus on activities of combating non-commercial alcoholic beverages and to focus on the public education on these issues.
JSC Latvijas balzams
Proctor Ronalds Žarinovs
