CHILE: Exports boost Concha y Toro Q1 sales

By just-drinks.com editorial team | 30 April 2009

Chilean wine firm Concha y Toro has reported net sales up by more than 12% in the first quarter of 2009, driven by strong growth in exports to the US.

Net sales for the first three months of 2009 rose by 12.6% to CLP68.5bn (US$117m), Concha y Toro said yesterday (29 April). Net profits for the period rose by 37.6% to CLP8.4bn, although operating profits fell by 13% to CLP7.87bn, compared to the first quarter of 2008.

Export sales led the sales growth, increasing by 13% to CLP50.2bn for the quarter, the group said. Export volumes rose by 8%, led by 33% and 23% growth in bottled wine sales in the US and UK respectively.

Domestic wine sales rose by 3.5% to CLP10.1bn during the quarter, with volumes up 0.9%. The increase was wholly attributable to bottled wine sales, with no bulk wine sales reported.

Concha y Toro operating profits fell due to higher production costs and the start-up investment required to set up subsidiaries in Scandinavia and Brazil during the three-month period, the firm said.

Net profits were boosted by favourable currency exchange rates, it added.

Sectors: Wine

Companies: Concha y Toro