Viva Wine reports 21% sales growth in Q2 on acquisitions

Sweden's Viva Wine recorded a 21% surge in sales for the second quarter, thanks largely to the acquisition of Delta Wines and Alpha Brands, according to CEO Emil Sallnäs. The company achieved net sales of SEK 1.62 billion, with adjusted EBITA of SEK 108 million, yielding a 6.70% margin. However, EBIT amounted to SEK 79 million, translating to a 4.80% margin.

Organic growth declined during the quarter due to a drop in consumer sentiment and higher freight costs. Sallnäs attributed the sales decline to geopolitical and macroeconomic uncertainty causing weak consumer sentiment, alongside increased freight and distribution expenses. Viva Wine anticipates these challenges to persist, with ongoing uncertainty from geopolitical and macroeconomic factors. In June, the board proposed shareholders accept a SEK 38.5 per share takeover offer.