ROMANIA: URBB’s profit up by 50% in H1 | Progresiv

United Romanian Breweries Bere Prod (URBB) announced an increase in turnover of over 25% to approximately 215 million lei and profit up by 50% to eight million lei. The main brand of the company, Tuborg, was the one who contributed most to the advance given that Tuborg beer sales volume increased by 20% in the first eight months of this year.

"The VAT reduction contributed to these results, as well as this year being not so rainy, and also the increase in tourism that was felt the HoReCa sales. We felt that people have higher incomes to spend, so they go out and consume more rather than consuming at home", said Shachar Shaine, URBB President (photo).

Regarding the beer market, the sales volume in the first half of the year stagnated in Romania compared to the same period of last year, but premium and imported brands are a growing trend, added Shaine.

Tuborg is considering investing in increasing the production capacity in the next year given that URBB brewery in Pantelimon, with an annual capacity of two million hectoliters, operated at full capacity in July and August.

Beer exports also contributed to the good results obtained this year. The company exports about 10% of what it produces, particularly in countries from the region (Albania, Macedonia, Moldova, Turkey, Bulgaria) where Carlsberg Group, one of the shareholders of URBB, does not own any breweries.

United Romanian Breweries Bereprod has, according to its own estimates, a share of 8% in volume and 10% in value of the Romanian beer market.