AS Amber Latvijas balzams (BAL1R) Q2 2024 earnings summary

Executive summary

• Net turnover for H1 2024 was €36.7 million, down 19.8% year-over-year due to lower order volumes and global inventory reductions.

• Gross profit rose 36.1% to €6.8 million, driven by lower raw material costs and production cost optimization.

• Net profit reached €1.47 million, a significant turnaround from a €0.19 million loss in H1 2023.

• Operating profit improved to €1.0 million, with margin rising to 6.7% from -0.6% year-over-year.

Financial highlights

• Revenue: €36.7 million (H1 2024) vs €45.7 million (H1 2023), -19.8% year-over-year.

• Gross profit: €6.8 million, up €1.8 million (+36.1%) year-over-year.

• Net profit: €1.47 million vs €0.19 million loss in H1 2023.

• Earnings per share: €0.20 vs -€0.03 year-over-year.

• Paid €39.2 million in taxes, including €29.2 million in excise tax.

Outlook and guidance

• Management expects profit growth in H2 2024 as sales volumes recover.

• Focus remains on production efficiency, cost reduction, and increasing sales volumes and prices.