Budweiser Budvar reports record year, exporting a record 1.15 million hectoliters
Budweiser Budvar earned over 2.8 billion last year, and its pre-tax profit rose 10.9 percent to 363.7 million, the company’s best result since 2001.
Last year, the state brewery Budvar increased its exhibitions by 4.8 percent compared to 2018 to 1.67 million hectoliters, which is the most in the 124 years of the brewery’s existence. Last year, the national company exported the most beer in history, 1.15 million hectoliters.
The driving force behind the growing exhibition were lagers. Last year, the brewery brewed the most lager during its existence, its share in production exceeded 78 percent.
Revenues from beer increased by 6.3 percent year-on-year to CZK 2.71 billion. According to the CEO of the brewery, Petr Dvořák, the strategy to focus on premium market segments has proven successful. “That’s why we are growing faster in beer sales than in the volume itself. The good news is there is more than a two percent increase in sales of our beer in the otherwise declining domestic market, “he said in a press release.
Last year, the brewery’s 670 employees increased their exports by 7.4 percent year on year to 1.15 million hectoliters. It is a record export. Budvar exported to almost 80 countries last year. The five largest markets were Germany, Poland, Slovakia, Russia, and the United Kingdom, with 90 percent of exports being light lager.
Last year, Budvar invested 738 million crowns in the business. Among other things, by launching a new bottle line. This year, for CZK 280 million, it expanded by almost half the capacity for the main fermentation thanks to 24 cylindrical-conical tanks with a volume of 3,000 hectoliters. This year, Budvar plans to expand the fermentation capacity further. When the brewery completes the development plan from 2015, which includes investments worth CZK 2.5 billion, the annual exhibition will rise to 2.25 million hectoliters.
In 2019, Budvar launched a new bitter lager Budvar 33, and since this spring, it has also offered its packaged version in bottles and cans. Last year, he also developed cooperation with six small breweries, which resulted in a limited edition of Seven Associates.
In 2018, Budvar had a net turnover of CZK 2.81 billion and paid CZK 500 million into the state budget. It follows from the annual report.