Zwack's Sales Increased by 13% Over Nine Months

The gross sales revenue of the Budapest-based liquor company Zwack Unicum Plc. was HUF 29.8 billion in the first three-quarter financial period from the beginning of April to the end of December, which is 13% or HUF 3.5 billion more than the previous data for the same period of the business year.

As the spirits manufacturer announced on the website of the Budapest Stock Exchange (BÉT) on Tuesday, net sales – excluding excise and public health product tax – increased by 17.8%, HUF 2.6 billion, in the given period.

The operating result was HUF 4.3 billion in April-December, which is HUF 0.2 billion or 6% higher than a year earlier; the company's profit after tax amounted to 3.8 billion, which was 0.2 billion, 8.7% higher.

They recalled that from July 1 of last year, the excise tax on spirits increased by nearly 70%, but at the same time, the public health product tax was abolished. As a combined effect of the two tax changes, the company's obligation to pay taxes on spirits increased by an average of 6%, they added.

Due to the tax changes and the continuous increase in the prices of raw materials and packaging materials, the company implemented an extraordinary, average 7% price increase on its entire portfolio during the year, they informed.

Export sales amounted to HUF 1.9 billion, which corresponds to a 16% increase in three quarters of a year. Among the major export markets, an increase of 14% was achieved in Italy, 21% in Romania and 53% in Slovakia.

According to the company's report, the company expects a significant decline in consumption in the last quarter of the business year.

Zwack Unicum's shares are traded in the premium category on the BSE, the shares closed at HUF 16,650 on Monday, their highest value in the past year was HUF 19,150, and the lowest was HUF 16,050.