Latvijas Balzams:  The Largest Taxpayer in the Food Industry in Latvia

During the first nine months of 2017, ‘Latvijas Balzams’ paid 43.5 million euros in taxes, thus becoming the largest taxpayer in the food industry in Latvia.  “From the perspective of this year’s national budget, the sum is equal to all science funding in Latvia (EUR 44.4 million), and it could also pay the salary of every eighth teacher in Latvia,” says company board chairman Intars Geidāns.

“We are proud of our success and won’t rest on our laurels.  During the last quarter of 2017, we will keep focusing on investment opportunities in existing and new markets where there is strong growth potential along with accelerating sales,” says Geidāns.  “We will maintain a strong focus on our core brands, ‘Riga Black Balsam’ and ‘Cosmopolitan Diva’, but we will also invest in international recognition, brand equity and an increasing market share.”

The company’s unaudited revenues during the first nine months of 2017 amounted to EUR 55.5 million, or 1.7% more than during the same period last year.  The increase was mainly due to an increase in orders from our biggest Private Label customer, ‘SPI Cyprus’, though the overall profitability level was lower than that of the ‘Latvijas Balzams’ brands. Revenues were also enhanced by an increased level of warehousing and logistics services provided to third parties and companies in the group.

‘Latvijas Balzams’ is the leading producer of alcoholic beverages in the Baltic States, with a range of more than 100 different brands.  The company exports to more than 170 markets with the help of the ‘SPI Group’, as well as to 42 markets via the direct export route of the company.