Reims, France, Jan. 23 - Vranken - Pommery Monopole, a major producer and distributor of Champagne, today released its business review for fourth-quarter and full-year 2007.
BUSINESS ANALYSIS
| In millions of euros |
|
2007 |
|
2006 |
|
% change |
| Fourth-quarter revenue |
|
144.0 |
|
125.8 |
|
+14.5% |
|
Full-year consolidated revenue |
|
286.8 |
|
268.3 |
|
+6.9% |
Revenue for 2007 totaled €286.8 million, a 6.9% increase including the currency effect, compared with a stated target of 6% excluding the currency effect.
Given the seasonal nature of the Champagne business and especially strong late-year sales, revenue for the fourth quarter amounted to €144.0 million, an increase of 14.5% over the prior-year period.
| -- Champagne revenue rose 7.3% to EUR 265.5 million and accounted for 92.6% of the consolidated total. |
| |
| The strategy to improve the product mix produced results during the year. The international brands (Vranken, Pommery, Heidsieck & Co. Monopole and Charles Lafitte) reported an 11.1% increase in revenue. |
| |
| The total number of bottles of Champagne sold was up 2.9% for the year, as the Group pursued its strategy of increasing value rather than volumes. |
| |
| -- In Port wines, Rozes, which is positioned in the premium segment, again reported revenue growth, led by the marketing of Douro Superior premium vintages. |
| |
| -- In 2007, Vranken-Pommery Monopole extended global distribution of Vins des Sables (Listel) and Vins de Provence (Chateau La Gordonne), while strengthening their image and presence in high value-added networks. The distribution business enables Vranken-Pommery Monopole to optimize its marketing budget. |
| -- In France, Champagne sales were up a sustained 6.5%. |
| |
| -- Champagne sales in export markets, which accounted for 45% of consolidated revenue, increased at an even faster rate, rising 8.4% over 2006. Growth was led by sales in Europe (United Kingdom, Germany, Italy and Spain) and in Japan. |
OTHER FINANCIAL DATA
Given that less than 7% of revenue is denominated in currencies other than the euro, the unfavorable impact of the euro’s appreciation during the year was limited to €1.3 million, or 0.5% of revenue.
“We’re very satisfied with the increase in late-year sales and with our growth throughout the year,” said Paul-François Vranken, Chairman and Chief Executive Officer. “Our strategy of strengthening our premium cuvées has produced results, in France as well as in international markets.”