Italian Wine Brands S.p.A. (IWB), the largest private wine group in Italy and the first to be listed on the Milan Stock Exchange, has released its draft financial statements for the year ending 31 December 2023.
The Board of Directors has approved the results, which will be submitted to shareholders for final approval. The 2023 financial year highlights a strong performance in profitability, operational efficiency, and strategic realignment, despite global market headwinds.
Solid Financial Performance in a Challenging Market
- Revenues remained steady at EUR 429.1 million, in line with 2022's pro-forma figures, signaling resilience amidst global volume declines due to reduced consumer spending.
- Adjusted EBITDA rose to EUR 44.3 million, a 19% increase over 2022, surpassing the EUR 44 million milestone for the first time in the company’s history.
- Adjusted Net Result stood at EUR 18.9 million, marking a 24.3% growth.
- Cash Generation was strong at EUR 30.64 million, with a free cash flow yield exceeding 17% based on average share value.
- Net Financial Debt was reduced to EUR 100.72 million, with the bank-related portion decreasing from EUR 122 million to EUR 96 million.
Strategic Restructuring and Sustainable Investments
President and CEO Alessandro Mutinelli expressed pride in the Group’s results, emphasizing that the company grew both margins and cash flow during a year when global wine exports faced contractions. In a strategic move, IWB streamlined its corporate structure, consolidating operations into just two Italian entities from January 1, 2024, to enhance agility, service, and internal synergies.
Environmental sustainability was also a priority. IWB invested in two new photovoltaic plants, enabling self-generation of approximately one-third of the Group's total energy needs—significantly reducing its carbon footprint and energy costs.
Diverse Business Model and Global Footprint
Italian Wine Brands continues to expand its reach across more than 80 countries, operating across off-trade, on-trade, and direct-to-consumer channels via its proprietary e-commerce platform. The company’s diverse portfolio includes high-quality wines at various price points, with flagship labels such as Barolo, Amarone, Prosecco, and Primitivo di Manduria.
Production is rooted in Italy’s most iconic wine regions:
- Langhe, Piedmont – the historic winery in the heart of Barolo
- Torricella, Apulia – a hub for Primitivo di Manduria
- Veneto – home to two wineries, including a facility specialized in Prosecco
Looking Ahead
Despite these achievements, Mutinelli remains focused on future growth. “There’s still a lot to do,” he notes, from developing new products and brands to reaching untapped markets and improving operational efficiency. His vision is clear: “The limit to improvement does not exist.”
The Board has proposed a dividend of EUR 0.5 per share, underlining IWB’s commitment to delivering shareholder value alongside strategic investments.
Source: Market Screener