Marie Brizard sales slide in 2019

French firm Marie Brizard Wine & Spirits (MBWS) reported a 0.6% organic sales drop in 2019 with declines across all regions except Poland and the Americas.

Annual sales for MBWS dropped from €389 million in 2018 to €365m in 2019.

Across the Central and Eastern European (CEE) region), organic sales grew from €57.3m (US$62m) in 2018 to €69.2m (US$75m) in 2019 – boosted by Poland.

MBWS experienced “particularly strong demand” in Poland during the fourth quarter as distributors built up stocks ahead of the implementation of a 10% increase in alcohol excise duties from 1 January 2020.

For the full-year 2019, sales in Poland grew 45.6% to reach €41.8m (US$45m), with sales during the fourth quarter up 47.9% to €15.4m (US$17m).

Across the rest of the CEE region, however, revenues were down 3.5% for the full year to €27.4m (US$30m), which MBWS said reflected the “reorganisation of the portfolio to focus on profitable categories”.

MBWS saw a 9.6% drop in sales across Western Europe and the Middle East and Africa (WEMEA) in 2019. Sales dropped to €106.9m (US$116m) in the WEMEA region, down 16.1% to €26.8m (US$29m) in the fourth quarter.

According to MBWS, sales in France were affected by national strikes and the introduction of the Egalim Act, which restricts supermarket promotions. As a result, revenue in France tumbled to €87.8m (US$95m) in 2019 following a 13% drop in the fourth quarter to €21.2m (US$23m).

Across the rest of the WEMEA region, revenue fell by 11% to €19.1m (US$21m). MBWS attributed most of the decline to the change of distribution model in Spain.

The Americas saw a more positive outlook in 2019, with sales up 6.6% to reach €18.8m (US$20m), boosted by gains following the implementation of the group’s strategic distribution partnership with Sazerac. In Brazil, the group had a “good year in 2019” with 15% growth, which reflects its commercial strategy and emphasis on the promotion of local MBWS brands.

Sales in the Asia Pacific region also struggled in 2019, with sales down 17.4% to €2.5m (US$2.7). Sales in the fourth quarter declined by 38.2% due to order deferrals. MBWS said “difficulties continued in China, where sales are not yet significant”.