Stumbras AB sales in the first three months of 2010 amounted to LTL 19.71
million (EUR 5.71 million). Production sales decreased by 8.1 % compared to LTL
21.45 million (EUR 6.21 million) in sales during the first three months of
2009.
Stumbras AB profit before taxes in the first three months of 2010 was LTL 3.11
million (EUR 0.90 million). Profit before taxes decreased by 40.5 % compared to
LTL 5.23 million (EUR 1.51 million) in pre-tax profit during the first three
months of 2009.
“Such results are determined by unfavorable alcohol taxation policies and sharp
rise of alcohol moon shining business. Judging by our data, the share of
illegal alcohol market is constantly rising in Lithuania” - General Manager Mr.
Česlovas Matulevičius.
However, according to Mr. Matulevičius, despite economic hardship, the Company
will pursue its long - term strategy to produce top quality, higher class
strong alcohol drinks. Export to foreign markets remains one of the top
priorities of the company. That is why, recently, Stumbras AB and Kaunas
University of Technology started a long - term and broad scaled mutual
cooperation project, aim of which is to create innovative products. It is
planned, that successful project results will let Company win over new export
markets in Europe and the world in the period of 2 to 3 years. Investments of 3
LTL million are budgeted for the first stage of the project.
Also, during last year, Stumbras AB invested almost 9 LTL million into
Company's material equipment. Currently, Company has the most modern production
equipment among strong alcohol producers in the Baltic States.
Enclosed:
- company's financial statements for the first quarter of 2010;
- confirmation of persons responsible for the financial statements;
Justas Rameika
Investor relations
+370 5 2786 218
