Overview
Sweden-based wine seller's Q1 net sales rose 51%, driven by Delta Wines acquisition
Adjusted EBITA grew, but margin slipped to 5.5% from 5.7%
Company acquired majority stake in Norway's Alpha Brands, expanding in no- and low-alcohol drinks
Outlook
Company says market outlook remains uncertain due to geopolitical and macroeconomic developments
Viva Wine plans to continue both organic and acquisition-driven growth
Company continues to invest in innovation, product development and technology integration
Result Drivers
DELTA WINES ACQUISITION - Co said Q1 sales increase was primarily due to the Delta Wines acquisition
ALPHA BRANDS ACQUISITION - Acquisition of Alpha Brands strengthened position in Norway and NoLo category, with positive contribution to earnings
ORGANIC GROWTH IN BOTH SEGMENTS - Modest organic growth in both B2B and B2C segments despite weak consumer sentiment
Company press release: ID:nMFN2H7srM
Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Sales
SEK 1.35 bln
Q1 Adjusted EBITA
SEK 75 mln
Q1 Adjusted EBITA Margin
5.50%
Q1 EBIT
SEK 50 mln
Q1 EBIT Margin
3.70%
Analyst Coverage
The one available analyst rating on the shares is "buy"
The average consensus recommendation for the food retail & distribution peer group is "buy"
Wall Street's median 12-month price target for Viva Wine Group AB is SEK50.00, about 56.7% above its May 6 closing price of SEK31.90
The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 12 three months ago
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)