Olvi plc Half-year report 13 August 2025 at 9.00 am
Olvi Group's half-year report January-June 2025: market shares remained strong
while cold early-summer weather weighed on overall market demand
April-June 2025
· Sales volume decreased by 3.3% to 288.3 (298.0) million litres. Demand was
affected by early summer's cold weather, consumers' weak purchasing power, and
economic and political uncertainty.
· Product portfolio optimisation measures increased the average sales price,
and net sales remained at the previous year's level at EUR 195.1 (194.7)
million.
· Lower sales volumes, investments in sales, marketing and pricing, higher
logistics costs and business development measures were reflected in the
operating result which declined by 15.1% and was EUR 26.3 (31.0) million.
January-June 2025
· Sales volume decreased by 3.1% to 487.5 (503.1) million litres. Olvi
maintained its positions in the challenging market and improved the sales
volumes of non-alcoholic products.
· Net sales remained at the previous year's level, totalling EUR 327.9 (325.1)
million.
· The operating result decreased by 8.2% to EUR 38.7 (42.2) million.
· The equity ratio was 55.1% (52.9%).
Near-term outlook for 2025 (updated)
Olvi Group's operating result for the 2025 financial year is estimated to be EUR
82-86 million. Earlier the operating result was estimated to be EUR 82-90
million. The estimated operating result has been updated based on the actual
results of the first half of the year.
The Group's key ratios
4-6/ 4-6/ Change, % 1-6/ 1-6/ Change, % 1-12/
2025 2024 2025 2024 2024
Sales volume, Mltr 288.3 298.0 -3.3 487.5 503.1 -3.1 989.7
Net sales, MEUR 195.1 194.7 0.2 327.9 325.1 0.9 656.9
Gross profit, MEUR 80.0 79.7 0.4 134.3 129.9 3.4 266.4
% of net sales 41.0 40.9 40.9 40.0 40.6
Operating result, 26.3 31.0 -15.1 38.7 42.2 -8.2 81.4
MEUR
% of net sales 13.5 15.9 11.8 13.0 12.4
Profit for the 17.5 22.6 -22.8 27.2 31.6 -13.8 62.4
period, MEUR
% of net sales 8.9 11.6 8.3 9.7 9.5
Earnings per 0.83 1.08 -23.8 1.30 1.51 -14.1 2.98
share, EUR
Investments, MEUR 9.9 9.4 5.0 20.8 14.9 40.0 43.7
Equity per share, 15.77 14.30 10.3 15.66
EUR
Equity ratio, % 55.1 52.9 60.3
Gearing, % -5.1 -7.0 -12.4
Return on capital 22.1 22.8 24.2
employed, % (ROCE)
If required, Olvi presents the adjusted operating result and adjusted profit for
the period as alternative performance measures to improve comparability between
reporting periods. There were no items affecting the comparability of the
operating result in the review period.
CEO's review (Patrik Lundell)
We succeeded in maintaining our market shares by investing in commercial
activities and our brands, but profitability declined as the market was smaller
than expected
We succeeded well in preparing for the summer season. In the spring, we launched
220 new products across the group, invested considerably in the visibility of
our brands in stores, restaurants and the media, increased our sales activities,
and built up a stock buffer of products for the summer. Our delivery accuracy
has been excellent and in Finland, it was further improved by the commissioning
of the new high-bay warehouse in Iisalmi in schedule.
Summer is the busiest season in the beverage industry, but it is sensitive to
weather fluctuations. The second quarter started well with Easter. However, the
rainy and cool weather had a significant impact on demand, especially in the
early summer, and overall market consumption decreased. In May-June 2025, only
two days with temperatures exceeding 25°C were recorded, while in 2024 there
were 30 such days in the corresponding period. The continued economic and
political uncertainty also affected the development of consumer demand and
confidence, and purchasing power remained weak in all our operating markets.
With declining volumes, competition in the retail market intensified further,
and there were more price-driven campaigns. In addition to price competition,
financial investments in brand building, sales activities and business
development adversely affected profitability. Despite the challenging market
situation, we maintained our strong market shares thanks to our strong local
brands and broad portfolio, while also improving our average price.
In accordance with our guidance, our continued goal is to improve our whole
year's operating result from the previous year. Our investments in brand
visibility, sales promotion and partnerships have further strengthened our
position in a competitive market. In the late summer, weather conditions
improved in Finland and in Estonia. Development measures in line with our
strategy, exciting new products, clear commercial priorities and committed
personnel lay a solid foundation for the rest of the year and ensure that we are
ready to respond to increasing demand and the recovery of markets. We are also
improving our profitability by enhancing our operational efficiency. Moreover,
we are making considerable investments in activities that will strengthen our
competitiveness, such as new warehouse and logistics capacity in Iisalmi.
Our vision is to be the most wanted multi-local beverage house. In 2025, we will
continue to implement our strategy systematically, both at Group level and
locally, guided by our values and through strong partnerships - positively and
together.
Financial development
April-June 2025
The sales volume decreased by 3.3% in the second quarter, totalling 288.3
(298.0) million litres. The decline in demand had the greatest impact on our
product categories beer, water and kvass. The decrease was mainly seen in the
retail trade. However, the sales of soft drinks and energy drinks increased as a
result of the marketing measures carried out. Although the sales volumes
declined across the entire market, market shares were even successfully
increased in a number of product categories in several markets.
Net sales remained at the previous year's level, totalling EUR 195.1 (194.7)
million. The average sales price per litre increased through the optimisation of
our product portfolio's prices and range. Profitability development was affected
by intensified price competition as sales volumes decreased due to the weather,
consumers' weak purchasing power and lower consumption of alcoholic products.
Due to the decreased sales volumes, investments in sales and marketing, higher
logistics costs, and business development measures, the operating result
decreased by 15.1% to EUR 26.3 (31.0) million.
January-June 2025
Sales volume decreased by 3.1% to 487.5 (503.1) million litres. The development
of sales volumes was affected by the general market uncertainty, poor weather in
the early summer, the weak development of consumers' purchasing power, and
product portfolio optimisation measures carried out in Finland and Denmark. In
line with targets, the sales volumes of non-alcoholic products were successfully
continued to improve and market shares in all main product categories were
retained or even increased. Net sales remained at the previous year's level,
totalling EUR 327.9 (325.1) million.
The operating result decreased by 8.2% from the comparison period and was EUR
38.7 (42.2) million. In Finland, profitability improved especially in the first
quarter thanks to improved average sales price. In the Baltic Sea segment,
profitability decreased due to intense price competition and the implemented
sales and marketing inputs.
Segment-specific business development: January-June 2025
Finland: market shares increasing in many product categories
The net sales of business operations in Finland decreased by 2.0% to EUR 116.7
(119.1) million, and the sales volume decreased by 4.8% to 126.8 (133.1) million
litres. The average sales price improved. In terms of product categories, sales
of hard seltzers and non-alcoholic products continued to grow. Olvi's market
shares remained strong and also growth was achieved in many product categories.
In May-June, water market share increased over 2%, despite the overall water
market declined by 16%. According to the statistics of the Federation of the
Brewing and Soft Drinks Industry in Finland, the overall market of low-alcohol
and non-alcohol beverages declined in May-June by 10% compared to the previous
year. In beers, the product portfolio optimisation measures carried out in 2024
had a negative effect on the sales volumes compared with the comparison period.
Despite the changes, Olvi has maintained its leading market share of over 50% in
beer. The warehouse investment in Iisalmi improved delivery accuracy
considerably.
The operating result of our Finnish business operations was EUR 14.2 (13.6)
million. The operating result improved by 4.4% year-on-year, mainly as a result
of improved production efficiency, the stabilisation of cost increases and
changes in the product range. Despite slower sales volume development in the
second quarter compared to the previous year, our operating result remained at
the previous year's level. Measures aimed at improving profitability, such as
the development of the product range portfolio and cost effectiveness alongside
the improvement in the average sales price, had a positive impact on the
improvement of the relative operating result.
Baltic Sea region: intensified price competition affected profitability
The sales volume in the Baltic Sea region decreased by 4.7% to EUR 185.2 (194.2)
million. Net sales decreased by 2.1% and were EUR 132.5 (135.4) million. Sales
volumes declined especially in Denmark and Latvia. The continued weak
development of consumer demand was most evident in Latvia. Moreover, past and
future tightening of excise duties and alcohol legislation in the Baltic
countries increase competition in a declining market, especially in beer.
Together with the weather conditions, these changes resulted in lower sales
volumes across the market. However, Olvi's market shares have mainly remained at
last year's level. In Denmark, the sales volume was affected by product range
optimisation measures and also by our own decisions to give up some unprofitable
products. However, the market share of the Jolly brand in soft drinks was
successfully multiplied thanks to strong demand.
As a result of the above-mentioned market impacts, greater investments sales and
marketing, and increased logistics costs, the operating result for the Baltic
Sea region decreased by 34.9% to EUR 8.3 (12.7) million. The effects were
particularly felt in Denmark and Latvia. In Denmark, the growth of the Jolly
brand has been a positive development, but it has not been enough to turn the
result around on its own. The work continues to develop operations and improve
profitability. In Latvia weak consumer demand and a cold summer had a very
strong impact on the market. According to Latvian State Revenue Service, the
overall market of low-alcohol beverages declined in May and June approximately
by 14%. This is a historically significant change in the overall sales. At the
same time, the investments in brand visibility, campaigns and pricing during the
second quarter helped in maintaining Olvi's competitive position, but weakened
profitability due to the smaller than expected market.
Belarus: growth in the popularity of non-alcoholic products
The weather in early summer also affected overall demand, especially that of
beer and kvass, in Belarus. The segment's sales volume declined by 0.8% to 177.7
(179.1) million litres. In non-alcoholic product categories such as water,
energy drinks and soft drinks, sales volumes increased in line with the
strategic targets. During the reporting period, greater inputs were made in the
sales and marketing of these product categories than in the previous year.
Net sales increased by 10.9% and were EUR 80.6 (72.7) million. In the local
currency, net sales grew by 10.0%. The operating result remained at the previous
year's level, totalling EUR 16.5 (16.6) million. The relative decrease in the
operating result was especially affected by higher logistics costs. In the local
currency, the operating result decreased by 0.9%. The Belarusian business is
reported as part of Olvi Group, but it operates by means of its own cash flow
financing. There are temporary restrictions on the distribution of profits to
the parent company, described under “Business risks and their management”.
Sales development
Olvi Group's sales volume decreased by 3.1% in January-June, totalling 487.5
(503.1) million litres.
Sales volume, million litres 4-6/ 4-6/ Change, % 1-6/ 1-6/ Change, %
2025 2024 2025 2024
Finland 72.2 75.2 -4.0 126.8 133.1 -4.8
Baltic Sea region 110.1 115.1 -4.3 185.2 194.2 -4.7
Belarus 107.3 110.3 -2.7 177.7 179.1 -0.8
Eliminations -1.3 -2.6 -2.2 -3.3
Total 288.3 298.0 -3.3 487.5 503.1 -3.1
The Group's net sales in January-June increased by 0.9% to EUR 327.9 (325.1)
million.
Net sales, EUR million 4-6/ 4-6/ Change, % 1-6/ 1-6/ Change, %
2025 2024 2025 2024
Finland 66.8 68.4 -2.3 116.7 119.1 -2.0
Baltic Sea region 81.2 82.3 -1.4 132.5 135.4 -2.1
Belarus 48.2 45.6 5.8 80.6 72.7 10.9
Eliminations -1.1 -1.6 -1.9 -2.1
Total 195.1 194.7 0.2 327.9 325.1 0.9
Financial performance
The Group's operating result in April-June was EUR 26.3 (31.0) million, or 13.5%
(15.9%) of net sales. The second-quarter operating result does not include items
affecting comparability. The January-June operating result decreased by 8.2% and
was EUR 38.7 (42.2) million. The operating result was weakened by the business
development inputs in line with the strategy, the increased sales and marketing
activity, and higher logistics costs. The lower sales volume reduced the sales
margin in euros, even though the relative sales margin improved year-on-year.
Operating result, EUR million 4-6/ 4-6/ Change, % 1-6/ 1-6/ Change, %
2025 2024 2025 2024
Finland 10.0 10.1 -0.6 14.2 13.6 4.4
Baltic Sea region 6.6 9.9 -33.3 8.3 12.7 -34.9
Belarus 9.8 11.4 -13.5 16.5 16.6 -0.2
Eliminations -0.1 -0.4 -0.3 -0.7
Total 26.3 31.0 -15.1 38.7 42.2 -8.2
The Group's profit after taxes in January-June was EUR 27.2 (31.6) million.
In January-June, earnings per share calculated from the profit belonging to
parent company shareholders were
EUR 1.30 (1.51).
Financial position and the balance sheet
On 30 June 2025, Olvi Group's balance sheet total was EUR 595.4 (561.3) million.
The increase in the balance sheet mainly resulted from an increase in tangible
assets following investments. Equity per share was EUR 15.77 (14.30). The equity
ratio was 55.1% (52.9%), and gearing was -5.1% (-7.0%). The Group's current
ratio, depicting liquidity, improved to 1.3 (1.2). The return on capital
employed (ROCE) was 22.1% (22.8%). Interest-bearing liabilities amounted to EUR
24.2 (11.8) million at the end of June. The long-term green loan for financing
the brew house investment amounted to EUR 15 million at the end of the review
period. Of the interest-bearing liabilities, current liabilities accounted for
EUR 4.0 (5.2) million.
Olvi Group's balance sheet and financial position are strong. Cash and cash
equivalents stood at EUR 40.9 (32.5) million at the end of the review period.
Olvi Group has various short-term financial instruments such as credit
facilities and a commercial paper programme for liquidity management. Cash flow
from operating activities was EUR 12.8 (26.0) million. Cash flow development in
the early part of the year was affected by the increase in inventories due to
weather conditions and delivery accuracy, and the year-on-year increase in
investments. Cash flow from investing activities was EUR -22.4 (-14.1) million,
and cash flow from financing activities was EUR -1.0 (-11.5) million. The cash
flow from financing activities is improved by the drawdown of a long-term green
loan for the brew house investment.
Investments
In January-June, Olvi Group's extension and replacement investments were EUR
20.8 (14.9) million. Of the investments, EUR 14.0 million was related to
Finland, and EUR 4.3 million to subsidiaries in the Baltic Sea region. The
warehouse and logistics investment at the Iisalmi plant has proceeded on
schedule. The high-bay warehouse was introduced in April, and the additional
capacity became available for the summer season. This has improved delivery
accuracy considerably. The project will continue with the development of indoor
logistics. The brew house investment is also proceeding as planned with the
ongoing construction works. In the Baltic Sea region, investments focused on the
procurement of sales equipment such as refrigeration equipment and the
improvement of production conditions. In Belarus, replacement investments
necessary for the continuity of production were made with the subsidiary's cash
flow financing, totalling EUR 2.5 million.
In its investments, Olvi Group focuses on environmental friendliness, cost
-effective operations and capacity development to meet business requirements.
Seasonal nature of operations
The nature of the Group's business operations involves seasonal fluctuation. The
net sales and operating result of the geographical reporting segments are not
accumulated steadily. Instead, they fluctuate in accordance with the special
characteristics of the seasons of the year and product seasons.
Personnel
In January-June, Olvi Group had an average of 2,499 (2,430) employees, an
increase of 2.8% from the comparison period. The growth resulted from an
increase in the number of both seasonal and permanent employees.
Olvi Group's average number of personnel by segment:
4-6/ 4-6/ Change, % 1-6/ 1-6/ Change, %
2025 2024 2025 2024
Finland 501 487 2.9 463 451 2.7
Baltic Sea region 1,122 1,102 1.8 1,085 1,080 0.5
Belarus 968 920 5.2 951 899 5.8
Total 2,591 2,509 3.3 2,499 2,430 2.8
Sustainability
Environmental sustainability
The long-term reduction target for total emissions is to achieve carbon
neutrality in Olvi Group's own operations (Scopes 1 and 2) in 2030. In terms of
the value chain (Scope 3), the target is to reduce emissions by 40% compared to
2021 and achieve carbon neutrality in the value chain in 2040.
Emissions from Olvi Group's own operations (Scopes 1 and 2) decreased to 12,401
(12,549) tCO2e in the first half of the year, while emission intensity decreased
by 0.024 (0.025) CO2e per litre produced. The change was mainly due to the
portfolio structure and production volumes. Of the electricity consumed by Olvi
Group during the first half of the year, 70.9% (68.0%) was renewable.
Correspondingly, 42.7% (45.9%) of the thermal and steam energy that Olvi Group
consumed during the first half of the year was renewable. This is due to the
relatively lower production volumes of production plants that use bioenergy.
Olvi Group aims to use only renewable energy and electricity in its own
operations in 2030.
The monitoring of water use in Olvi Group's own operations has been further
developed, and measures reducing water consumption have been carried out during
the winter, resulting in a slight decrease in Olvi Group's water consumption to
2.65 (2.71) litres per litre of finished product. The portfolio structure also
contributed to reduced water consumption. Olvi Group aims to reduce its water
use to 2.5 litres per litre of finished product by 2030. We will continue to
assess the impacts of water use in the value chain, especially in relation to
the production of raw materials and packaging.
Social sustainability
The human rights assessment process was updated and complemented during the
first half of the year. This will result in a deeper understanding of the
potential human rights impacts and risks of Olvi Group and its value chain. The
development work will continue in the value chain on a risk basis with focus on
the risk assessment of the juice and can category.
Efforts to develop occupational health and well-being continued. Company
-specific development plans were drawn up based on the results of the People
Power survey conducted in 2024, and these plans are being implemented. The work
to further develop our safety at work culture is also underway. These efforts
are reflected in the lower number of accidents at work: 10 (11) in the first
half of the year. None of the accidents was serious. Olvi Group's permanent
target is zero serious accidents.
To develop the sustainability of the product portfolio, the sustainability
targets and metrics have been updated, and the related data will be further
developed. In line with the main target, the share of non-alcoholic product
sales increased by 5.8% more than sales in the alcoholic product category during
the first half of the year. To support the target, 87 new non-alcoholic products
were launched, eight of them in alcoholic product groups. The survey of
sustainability themes important to consumers, carried out in different countries
and product categories, has been completed. The results will be used to better
target product sustainability communication and thereby enhance its impact.
Good governance
Olvi Group continues to monitor and prepare for other changes in the EU's
sustainability-related legislation. An important matter is the progress of the
Omnibus initiative related to the Corporate Sustainability Reporting Directive,
the Corporate Sustainability Due Diligence Directive and the Taxonomy
Regulation. The aim of the initiative is to reduce corporate sustainability
obligations as part of a broader EU competitiveness strategy. The exact content
and schedule of the Omnibus initiative are yet to be decided, but the proposed
changes would still keep Olvi Group within the scope of reporting. In terms of
sustainability reporting, there are plans to clarify the ESRS standards, to
reduce the number of mandatory data points and to differentiate them more
clearly from voluntary data points, and to prioritise quantitative instead of
qualitative data. There are also plans to make the Corporate Sustainability Due
Diligence Directive easier to comply with by easing the obligations related to
liability regulations and subcontracting chains, for example. A threshold for
financial materiality will be introduced in taxonomy reporting and the number of
reporting forms will be significantly reduced. The criteria for the “Do No
Significant Harm” principle will also be simplified.
Preparations also continue for the obligations of the Deforestation Regulation
and the Packaging and Packaging Waste Regulation (PPWR). The application of the
Deforestation Regulation and the PPWR is to begin on 30 December 2025 and 12
August 2026 respectively. Current sustainability legislation also includes the
Green Claims Directive in preparation.
In line with the annual targets, Olvi Group has continued to strengthen its
partners' commitment to its Code of Conduct, and Code of Conduct training and
commitment will continue among the personnel in each Olvi Group company after
the summer.
Board of Directors and management
The Board of Directors of Olvi plc comprises Nora Hortling (Chair), Lasse
Heinonen (Vice Chair), and the members Tarmo Noop, Juho Nummela, Pekka Tiainen
and Anette Vaini-Antila. KPMG Oy Ab, an Authorised Public Accounting firm, was
elected as the company's auditor, with Heidi Hyry, Authorised Public Accountant,
as the principal auditor. KPMG Oy Ab also assures the company's sustainability
statement, with Heidi Hyry, APA and Authorised Sustainability Auditor (KRT), as
the principal sustainability auditor.
The employment relationships of the managing directors of the subsidiaries in
Latvia and Denmark ended during the first quarter. Interim managing directors
have been appointed in both countries. After the review period, Evija Grīnberga
has been appointed as General Director in Latvia as of August 1, 2025.
Other events during the review period
Annual General Meeting
Olvi plc's Annual General Meeting (AGM) on 16 April 2025 adopted the financial
statements and discharged the members of the Board and the CEO from liability
for the financial year that ended on 31 December 2024.
In accordance with the Board's proposal, the AGM decided to pay a dividend of
EUR 1.30 (1.20) for Series A and Series K shares for the 2024 financial year.
The dividend is 43.6% (64.9%) of Olvi Group's earnings per share. The dividend
will be paid in two instalments. The first instalment of EUR 0.65 per share was
paid on 30 April 2025, and the second instalment of EUR 0.65 will be paid on 5
September 2025. The AGM's decisions were published in a stock exchange release
on 16 April 2025.
Changes in the Group structure
Arctic Silence Oy, a joint venture, was dissolved during the review period. No
other changes took place in Olvi's subsidiary holdings in January -June 2025.
Business risks and their management
Geopolitical situation
The geopolitical situation has affected the Group's operating environment.
Geopolitical tensions, the war in Ukraine and weather events caused by climate
change affect the prices and availability of raw materials, packaging materials
and energy in the market and consumer confidence, for example. The change in
tariffs between the United States and Europe has no direct significant impacts
on Olvi's operations. However, the general adverse impacts of the customs war on
economic development increase consumer uncertainty about the future. Olvi Group
is responding to the increase in costs by improving operational productivity and
assessing sales prices and selections to maintain profitability. Availability is
ensured through a wide network of partners and long-term contracts.
Consumer behaviour
Historically high consumer prices, higher beverage taxation, stricter alcohol
legislation and the deterioration of the general economic outlook due to
geopolitical uncertainty reduce consumer confidence and affect consumer
behaviour. This increases the shift in consumption to more affordable product
options, for example. Moreover, consumption is declining overall, especially in
alcoholic products, and the premiumisation trend may come to a halt. However,
there are differences between markets. Olvi Group is responding to the change by
developing its product portfolio in line with consumer demand and by maintaining
and strengthening market shares.
Operating environment in Belarus
The business operations and financial forecasting in Belarus continue to involve
considerable uncertainty. For example, the uncertainty concerns the development
of exchange rates, the unpredictability of the operating environment, local
legislation and taxation, trade sanctions, and the functioning of financial
transactions with Western countries. Olvi's subsidiary operates independently in
Belarus and is responsible for its own procurements, among other aspects. In
addition, the IT operating environment has been separated. The subsidiary
finances its operations with cash flow from its own operations.
The restriction on the payment of dividends by Western-owned companies has been
extended to 2026. The previously announced restrictions applied to 2024 and
2025. The regulations limit the maximum amount of dividends that can be paid
abroad. According to the current interpretation, the dividend that the
Belarusian company can legally pay to the parent company is around EUR 1-3
million annually until the end of 2026. According to Olvi Group's management's
assessment, the now known temporary restriction on the payment of dividends by
the Belarusian subsidiary does not impair the parent company's ability to pay
dividends. Restrictions on the sale of shares in Olvi's subsidiary continue to
apply. Olvi has no permission to sell shares in its Belarusian subsidiary. We
monitor the legislative situation and actively evaluate the prerequisites and
options for operating in the market.
Other current risks
Cybersecurity threats have increased because of the escalation of the global
geopolitical situation, among other reasons. Olvi Group has prepared for
increased information security threats in a variety of ways, and the new
requirements under the NIS2 cybersecurity directive have been implemented
according to schedule. In Spring 2025, a cyber security exercise was carried out
in Finland.
The EU Packaging and Packaging Waste Regulation was adopted, and it entered into
force on 11 February 2025. The regulation will apply from 12 August 2026. The
regulation also contains several transitional provisions for the start dates of
the various obligations. In the coming years, the European Commission will issue
several implementing and delegated acts, as well as guidelines to further
specify the requirements and their application. According to the current
estimate, the new regulation will increase energy consumption and, consequently,
climate emissions of product manufacturing and logistics, as well as water
consumption, which will have a direct impact on Olvi Group's chances of
achieving the set environmental targets. In addition, the regulation is likely
to cause needs to invest in reusable bottles and transport packaging, and in
equipment for product filling and handling. The process of implementing the
regulation is being monitored closely, and efforts are being made to affect its
application guidelines so that the sustainability aspects of Olvi Group's
countries of operation are also taken into account.
Sustainability risks are identified through human rights and climate change
impact assessments as part of the company's strategic, business, financial and
compliance risks.
Preparedness
Olvi Group has prepared several scenarios related to the development of the
business environment and is prepared to respond to changing situations. For
example, long-term scenarios to understand the drivers of change in the
operating environment and to prepare for them has been done during spring 2025.
The company is prepared for production disruptions and has drawn up continuity
plans related to the availability of labour, raw materials and energy, for
example. The company has made investments to secure its energy supply and has
also made efforts to ensure the availability of raw materials and packaging
materials. Particular attention has been paid to the adequacy of risk management
plans in accordance with risk assessments and the introduction of new risk
assessment methods in terms of information security and sustainability risks,
for example.
A more detailed description of the risks related to business operations is
provided in Olvi Group's Board of Directors' report and the notes to the
financial statements and on the company website at
https://www.olvigroup.fi/en/investors/corporate-governance/corporate
-governance/.
Events after the review period
There are no significant events to report after the review period.
OLVI PLC
Board of Directors
Webcast
Olvi plc and its CEO will hold a press conference, which can be followed at
https://olvi.events.inderes.com/q2-2025 from 12.00 pm (noon) onwards on the date
of publication of the half-year report.
The press conference will be held in English.
A recording of the webcast can be viewed later on the company's website at
https://www.olvigroup.fi/en/releases-and-publications/financial
-releases/ (https://www.olvigroup.fi/tiedotteet-ja-julkaisut/taloudelliset
-tiedotteet/)
More information:
Patrik Lundell, CEO, Olvi plc, tel. +358 290 00 1050
Tiina-Liisa Liukkonen, CFO & CIO, Olvi plc, tel. +358 290 00 1050
Communications, communications@olvi.fi
TABLES:
- Consolidated statement of comprehensive income, Table 1
- Consolidated balance sheet, Table 2
- Consolidated statement of changes in equity, Table 3
- Consolidated cash flow statement, Table 4
- Notes to the half-year report, Table 5
DISTRIBUTION:
Nasdaq Helsinki Ltd
Main media
www.olvigroup.fi
OLVI GROUP TABLE 1
CONSOLIDATED STATEMENT OF
COMPREHENSIVE INCOME
EUR 1,000 4-6/2025 4-6/2024 1-6/2025 1-6/2024
1-12/2024
Gross sales 396,186 393,745 673,635 670,698
1,360,025
Excise taxes and other -201,059 -199,028 -345,696 -345,597
-703,118
adjustments
Net sales 195,127 194,717 327,939 325,101 656,907
Cost of sales -115,174 -115,052 -193,665 -195,219
-390,476
Gross profit 79,953 79,665 134,274 129,882 266,431
Logistics, sales and marketing -42,228 -37,323 -72,929 -65,694
-136,998
expenses
Administrative expenses -12,311 -11,630 -23,716 -22,830 -49,235
Other operating income 997 612 1,295 1,249 1,937
Other operating expenses -110 -356 -182 -422 -749
Operating result 26,301 30,968 38,742 42,185 81,386
Financial income 501 267 1,370 658 2,237
Financial expenses -503 -409 -863 -695 -1,637
Share of the profit of 0 0 0 0 52
associated companies and joint
ventures
Profit before tax 26,299 30,826 39,249 42,148 82,038
Income taxes -8,844 -8,208 -12,042 -10,575 -19,613
PROFIT FOR THE PERIOD 17,455 22,618 27,207 31,573 62,425
Other items of comprehensive
income that may be subsequently
reclassified as profit or loss:
Translation differences related -1,692 1,165 1,707 1,393 -1,363
to foreign subsidiaries
Change in fair value, other 0 0 -93 0 0
investments
Taxes related to items 0 0 18 0 0
TOTAL OTHER COMPREHENSIVE -1,692 1,165 1,632 1,393 -1,363
INCOME
TOTAL COMPREHENSIVE INCOME FOR 15,763 23,783 28,839 32,966 61,062
THE PERIOD
Distribution of the profit for
the period:
- Owners of the parent company 17,236 22,356 26,812 31,190 61,669
- Non-controlling interest 219 262 395 383 756
Distribution of comprehensive
income for the period:
- Owners of the parent company 15,605 23,478 28,381 32,532 60,356
- Non-controlling interest 158 305 458 434 706
Earnings per share calculated
from profit attributable to
owners of the parent company,
EUR
- Undiluted 0.83 1.08 1.30 1.51 2.98
- Diluted 0.83 1.08 1.30 1.51 2.98
OLVI GROUP TABLE 2
CONSOLIDATED BALANCE SHEET
EUR 1,000 30 Jun 30 Jun 31 Dec
2025 2024 2024
ASSETS
Non-current assets
Intangible assets 9,139 10,154 9,313
Goodwill 22,204 22,204 22,204
Tangible assets 245,034 218,786 235,669
Holdings in associated 962 1,032 1,012
companies and joint ventures
Other investments 961 892 893
Loans receivable and other long 6,609 7,028 6,023
-term receivables
Deferred tax assets 4,305 3,639 4,429
Total non-current assets 289,214 263,735 279,543
Current assets
Inventories 95,636 86,988 76,247
Accounts receivable and other 168,934 177,486 131,495
receivables
Income tax receivables 690 662 1,566
Cash and cash equivalents 40,885 32,458 50,751
Total current assets 306,145 297,594 260,059
TOTAL ASSETS 595,359 561,329 539,602
EQUITY AND LIABILITIES
Equity attributable to owners
of the parent company
Share capital 20,759 20,759 20,759
Fair value reserve 220 295 295
Treasury shares -642 -687 -658
Other reserves 1,092 1,092 1,092
Translation differences -56,437 -55,426 -58,081
Retained earnings 361,372 329,911 360,820
326,364 295,944 324,227
Non-controlling interest 1,733 1,135 1,335
Total equity 328,097 297,079 325,562
Non-current liabilities
Financial liabilities 20,202 6,567 6,755
Other liabilities 740 731 793
Deferred tax liabilities 13,688 13,622 13,973
Current liabilities
Financial liabilities 4,024 5,227 3,744
Accounts payable and other 220,411 230,761 187,116
payables
Income tax liability 8,197 7,342 1,659
Total liabilities 267,262 264,250 214,040
TOTAL EQUITY AND LIABILITIES 595,359 561,329 539,602
OLVI GROUP
TABLE 3
CONSOLIDATED
STATEMENT OF
CHANGES IN
EQUITY
EUR 1,000 Share Fair Reserve Other Transla Retained Owners
Non Total
capital value for reserves -tion earnings of the
-control
reserve treasury differ parent
-ling
shares -ences company
interest
Equity 1 Jan 20,759 295 -658 1,092 -58,081 360,820 324,227
1,335 325,562
2025
Comprehensive
income:
Profit for 26,812 26,812
395 27,207
the
period
Other items
of
comprehensive
income:
Translation 1,644 1,644
63 1,707
differences
-93 -93
-93
Change in
fair
value, other
investments
18 18
18
Taxes related
to items
Total other -75 1,644 1,569
63 1,632
comprehensive
income
Total -75 1,644 26,812 28,381
458 28,839
comprehensive
income for
the
period
Business
transactions
with
shareholders:
Dividend -26,911 -26,911
-60 -26,971
payment
Share-based 751 751
751
incentives,
value of work
performed
Issue of 16 4 20
20
treasury
shares to
personnel
Other -104 -104
-104
changes
Business 16 -26,260 -26,244
-60 -26,304
transactions
with
shareholders,
total
Equity 30 Jun 20,759 220 -642 1,092 -56,437 361,372 326,364
1,733 328,097
2025
EUR 1,000 Share Fair Reserve Other Transla Retained Owners
Non Total
capital value for reserves -tion earnings of the
-control
reserve treasury differ parent
-ling
shares -ences company
interest
Equity 1 Jan 20,759 295 -881 1,092 -56,768 324,120 288,617
721 289,338
2024
Comprehensive
income:
Profit for 31,190 31,190
383 31,573
the
period
Other items
of
comprehensive
income:
Translation 1,342 1,342
51 1,393
differences
Total 1,342 1,342
51 1,393
other
comprehensive
income
Total 1,342 31,190 32,532
434 32,966
comprehensive
income for
the
period
Business
transactions
with
shareholders:
Dividend -24,826 -24,826
-20 -24,846
payment
Share 522 522
522
-based
incentives,
value of work
performed
Issue of 194 -382 -188
-188
treasury
shares to
personnel
Other -713 -713
-713
changes
Business 194 -25,399 -25,205
-20 -25,225
transactions
with
shareholders,
total
Equity 30 Jun 20,759 295 -687 1,092 -55,426 329,911 295,944
1,135 297,079
2024
OLVI GROUP TABLE 4
CONSOLIDATED CASH FLOW STATEMENT
EUR 1,000 1-6/2025 1-6/2024 1-12/2024
Profit for the period 27,207 31,573 62,425
Adjustments 24,427 22,710 44,009
Change in net working capital:
Change in accounts -44,895 -51,930 -5,945
receivable and other receivables
Change in inventories -19,326 -12,051 -2,544
Change in accounts payable 29,283 38,642 4,484
and other payables
Interest paid -170 -296 -479
Interest received 1,017 502 1,707
Dividends received 5 5 6
Taxes paid -4,792 -3,112 -17,608
Cash flow from operating 12,756 26,043 86,055
activities (A)
Investments in tangible and -22,397 -14,526 -39,464
intangible assets
Capital gains on disposal of 32 434 836
tangible and intangible assets
Expenditure on other investments -68 0 0
Holdings in associated companies 50 0 0
and joint ventures
Dividends received 0 0 72
Cash flow from investing -22,383 -14,092 -38,556
activities (B)
Loan withdrawals 15,494 14,651 17,306
Repayment of loans -2,966 -13,726 -19,783
Dividends paid -13,538 -12,468 -24,907
Cash flow from financing -1,010 -11,543 -27,384
activities (C)
Increase (+) / decrease (-) in -10,637 408 20,115
cash and cash equivalents
(A+B+C)
Cash and cash equivalents 1 Jan 50,751 31,458 31,458
Impact of exchange rate changes 771 592 -822
Cash and cash equivalents 30 Jun 40,885 32,458 50,751
/ 31 Dec
Adjustments to cash flow from operating activities include depreciation and
impairment:
1-6/2025 1-6/2024 1-12/2024
Depreciation and impairment 13,294 12,917 25,818
OLVI GROUPTABLE 5
NOTES TO THE HALF-YEAR REPORT
The half-year report has been prepared in accordance with IAS 34 Interim
Financial Reporting, applying the same accounting principles that were applied
to the 2024 financial statements (31 December 2024).
The figures in the half-year report are presented in thousands (1,000) of euros.
For presentation, individual figures and totals have been rounded up to full
thousands, which causes rounding differences in the totals. Exchange rates
obtained from the Central Bank of Belarus have been used as the exchange rate
for the Belarusian rouble. The key ratios have been calculated by using accurate
euro-denominated figures. The information published in the half-year report has
not been audited.
1 SEGMENT
INFORMATION
SEGMENTS' NET
SALES AND
PROFIT FOR
THE PERIOD
1-6/2025
EUR 1,000 Finland Baltic Sea region Belarus Eliminations Group
INCOME
External 116,206 131,122 80,611 327,939
sales
Beverage 115,077 131,122 80,611 326,810
sales
1,129 0 0 1,129
Equipment
services
Internal 566 1,334 0 -1,900 0
sales
Total net 116,772 132,456 80,611 -1,900 327,939
sales
Total profit 29,135 3,860 10,662 -16,450 27,207
for the
period
SEGMENTS' NET
SALES AND
PROFIT FOR
THE PERIOD
1-6/2024
EUR 1,000 Finland Baltic Sea region Belarus Eliminations Group
INCOME
External 118,900 133,486 72,715 325,101
sales
Beverage 117,796 133,486 72,715 323,997
sales
1,104 0 0 1,104
Equipment
services
Internal 210 1,866 0 -2,076 0
sales
Total net 119,110 135,352 72,715 -2,076 325,101
sales
Total profit 30,158 8,785 10,235 -17,605 31,573
for the
period
2 RELATED PARTY TRANSACTIONS
Management's employee benefits
Board members' and the CEO's salaries and other short-term employee benefits
EUR 1,000 1-6/2025 1-6/2024 1-12/2024
CEO 430 428 613
Chair of the Board 46 50 101
Other Board members 127 117 248
Total 603 595 962
3 SHARES AND SHARE CAPITAL
30 Jun 2025 %
Series A shares, number of shares 16,989,976 82.0
Series K shares, number of shares 3,732,256 18.0
Total 20,722,232 100.0
Total number of votes, Series A shares 16,989,976 18.5
Total number of votes, Series K shares 74,645,120 81.5
Total number of votes 91,635,096 100.0
Votes per Series A share 1
Votes per Series K share 20
The registered share capital totalled EUR 20,759 thousand on 30 June 2025.
In accordance with the decision made by the Annual General Meeting of Olvi plc
on 16 April 2025, a dividend of EUR 1.30 per share for 2024 (EUR 1.20 per share
for 2023), totalling EUR 26.9 (24.8) million, will be paid on shares in Olvi
plc. The dividend will be paid in two instalments. The first instalment, EUR
0.65 per share, was paid on 30 April 2025. The second instalment, EUR 0.65 per
share, will be paid on 5 September 2025. Series K shares and Series A shares
provide their holders with equal rights to dividends. The Articles of
Association include a redemption clause concerning Series K shares.
4 SHARE-BASED PAYMENTS
During the review period, the Board of Directors of Olvi plc transferred to the
CEO a total of 500 Olvi plc Series A shares held by the company through a
directed share issue without payment in accordance with the terms and conditions
of the Performance-based Matching Share Plan 2023-2025.
The establishment of the Performance-based Matching Share Plan was announced by
means of a stock exchange release on 16 October 2023. In the Performance-based
Matching Share Plan, the CEO had an opportunity to earn 0.5 shares based on
commitment and continuous shareholding and 0.5 shares based on achieving the
earning criteria set by the Board of Directors of Olvi plc. Provided that the
targets were met, the CEO had the opportunity to receive a maximum of 1,000 Olvi
plc Series A shares for the matching period as a net reward.
Performance-based share incentive plans
The table shows performance-based plans that have ended during the review period
(e), as well as ongoing (o) plans. From 2023 onwards, the targets and potential
rewards of share incentives will be based on the achievement of the targets set
for the Group's business segments in Finland and the Baltic countries.
+-----------+------------------+----------------+-----------+------------------+
|Performance|Earning criteria |Target group, |Maximum |Actual reward, pcs|
|period |and | | | |
| | |number of people|reward, pcs| |
| |weighting (%) | | | |
+-----------+------------------+----------------+-----------+------------------+
|2022-2024 |Operating result |16 |10,670 | |
|(e) |(50%), increase in| | | |
| |the sales volume | | | |
| |of non-alcoholic | | | |
| |products (40%), | | | |
| |value chain CO2 | | | |
| |emissions | | | |
| |reduction (10%) | | | |
+-----------+------------------+----------------+-----------+------------------+
|2023-2025 |16 |10,600 | |
|(o) | | | |
+-----------+------------------+----------------+-----------+------------------+
|2023-2025 |Own investment |1 |1,000 |500 |
|(e) |(50%) and TSR | | | |
| |(50%) | | | |
+-----------+------------------+----------------+-----------+------------------+
|2024-2026 |Operating result |37 |43,150 | |
|(o) |(50%), growth in | | | |
| |net sales from non| | | |
| |-alcoholic | | | |
| |products (40%), | | | |
| | | | | |
| |reduction of CO2 | | | |
| |emissions from own| | | |
| |production (10%) | | | |
+-----------+------------------+----------------+-----------+------------------+
|2025-2027 |Operating result |36 |42,702 | |
|(o) |(50%), growth in | | | |
| |net sales from non| | | |
| |-alcoholic | | | |
| |products (40%), | | | |
| | | | | |
| |reduction of CO2 | | | |
| |emissions from own| | | |
| |production (10%) | | | |
+-----------+------------------+----------------+-----------+------------------+
Restricted share incentive plans
Plans ongoing (o) in the review period.
+-----------+------------+----------------+-----------+------------------+
|Performance|Earning |Target group, |Maximum |Actual reward, pcs|
|period |criterion | | | |
| | |number of people|reward, pcs| |
+-----------+------------+----------------+-----------+------------------+
|2024-2025 |Employment |19 |3,250 | |
|(o) |relationship| | | |
+-----------+------------+----------------+-----------+------------------+
|2025-2026 |Employment |16 |2,750 | |
|(o) |relationship| | | |
+-----------+------------+----------------+-----------+------------------+
The costs related to incentive plans totalled EUR 751.2 thousand in the review
period. Olvi Group has no other share or option arrangements in place.
5 TREASURY SHARES
At the beginning of January 2025, Olvi plc held a total of 21,714 Series A
shares in the company. Olvi plc transferred a total of 500 Olvi plc Series A
shares to the CEO in accordance with the Performance-based Matching Share Plan.
At the end of the review period, Olvi plc held a total of 21,214 of its own
Series A shares as treasury shares. The total acquisition price of treasury
shares was EUR 642.2 thousand. The treasury shares do not provide the company
with voting rights. The Series A shares held by Olvi plc represent 0.10% of all
shares in the company and 0.02% of all votes provided by the shares in the
company. The treasury shares account for 0.12% of all Series A shares in the
company and 0.12% of the votes provided by all Series A shares in the company.
6 NUMBER OF SHARES OUTSTANDING
1-6/2025 1-6/2024 1-12/2024
- Average 20,700,808 20,696,075 20,698,293
- At the end of the period 20,701,018 20,699,990 20,700,518
7 TRADING IN SERIES A SHARES ON
THE NASDAQ HELSINKI
1-6/2025 1-6/2024 1-12/2024
Trading in Olvi plc Series A 975,442 883,464 1,623,387
shares, number of shares
Total value of trading, EUR 1,000 32,111 27,169 49,408
Proportion of the trading of the 5.7 5.2 9.6
total number of Series A shares,
%
Average share price, EUR 32.91 30.75 30.44
Closing price, EUR 33.55 31.85 29.20
Highest price, EUR 37.20 33.80 33.80
Lowest price, EUR 28.90 28.35 28.05
8 FOREIGN AND
NOMINEE
-REGISTERED
HOLDINGS 30 Jun
2025
Book-entry shares Number of votes Shareholders
number % number % number %
Finnish, total 16,827,275 81.20 87,740,139 95.74 24,005 99.65
Foreign, total 42,115 0.20 42,115 0.05 74 0.31
Nominee 463,517 2.24 463,517 0.51 6 0.02
-registered
(foreign), total
Nominee 3,389,325 16.36 3,389,325 3.70 5 0.02
-registered
(Finnish), total
Total 20,722,232 100.00 91,635,096 100.00 24,090 100.00
9 LARGEST SHAREHOLDERS 30 Jun 2025
Series K Series A Total
% Number of %
votes
1 Olvi Foundation 2,363,904 990,613 3,354,517
16.19 48,268,693 52.67
2 The estate of Heikki 903,488 103,280 1,006,768
4.86 18,173,040 19.83
Hortling*
3 Timo Einari Hortling 212,888 49,152 262,040
1.26 4,306,912 4.70
4 Marit Hortling-Rinne 149,064 14,234 163,298
0.79 2,995,514 3.27
5 Nordea Bank Abp, nominee-registered 1,730,064 1,730,064
8.35 1,730,064 1.89
6 Skandinaviska Enskilda Banken Ab (publ), 1,557,410 1,557,410
7.52 1,557,410 1.70
Helsinki branch, nominee-registered
7 Varma Mutual Pension Insurance Company 828,075 828,075
4.00 828,075 0.90
8 Ilmarinen Mutual Pension Insurance Company 692,348 692,348
3.34 692,348 0.76
9 Pia Johanna Hortling 23,388 28,894 52,282
0.25 496,654 0.54
10 Jens Einari Hortling 23,388 18,444 41,832
0.20 486,204 0.53
Other 56,136 10,977,462 11,033,598
53.24 12,100,182 13.21
Total 3,732,256 16,989,976 20,722,232
100.00 91,635,096 100.00
* The shareholding includes shares held by
the shareholder and the entities they
control.
Olvi did not receive any flagging notifications under chapter 9, section 5 of
the Securities Markets Act in January-June 2025.
10 PROPERTY, PLANT AND EQUIPMENT
EUR 1,000
1-6/2025 1-6/2024 1-12/2024
Opening balance 235,669 213,182 213,182
Additions 20,861 17,695 47,691
Deductions and transfers 790 -427 -1,710
Depreciation and impairment -12,356 -11,636 -23,489
Exchange rate differences 70 -28 -5
Total 245,034 218,786 235,669
11 COMMITMENTS
EUR 1,000 30 Jun 2025 30 Jun 2024 31 Dec 2024
Pledged assets and commitments
For own commitments 2,588 3,851 3,170
Lease and rental liabilities:
Maturing in less than a year 1,040 929 998
Maturing within 1-5 years 592 442 482
Total lease and rental liabilities 1,632 1,371 1,480
Other liabilities 67 67 67
12 VALUATION OF THE BELARUSIAN BUSINESS SEGMENT
For the 2022 financial statements (31 December 2022), the management assessed
the book value of the Belarusian business segment in a changed operating
environment. An impairment of EUR 35.0 million was recognised based on the
assessment. Based on the management's assessment and testing, the balance sheet
valuation of the Belarusian business segment on 30 June 2025 is materially at
the right level, and there is no need to change the impairment recognised. The
Belarusian business segment's balance sheet value was EUR 62.7 million on 30
June 2025. No changes have been made to the valuation model, and assumptions
from the previous year have been used in the model.
13 CALCULATION PRINCIPLES FOR KEY RATIOS
In its summary of key ratios (page 1), the Group presents key ratios directly
derived from the consolidated income statement (net sales, operating result,
profit for the period and their proportions of net sales, as well as earnings
per share). (Earnings per share = Profit for the period attributable to owners
of the parent company / Average number of shares during the period, adjusted for
share issues).
In addition to its IFRS-based consolidated financial statements, Olvi plc
presents Alternative Performance Measures that describe the financial
performance of its business operations and provide a comparable overview of the
company's profitability, solvency and liquidity.
The Group has applied the European Securities and Markets Authority's (ESMA)
guidelines (effective since 3 July 2016) on Alternative Performance Measures and
has determined such measures as follows:
The Group presents sales volume data in millions of litres as an Alternative
Performance Measure that supports net sales. Sales volume is an important and
widely used indicator in the industry that describes the scope of operations. To
improve comparability between reporting periods, the Group also presents the
adjusted operating result and the adjusted profit for the period as Alternative
Performance Measures if required. The adjusted operating result is calculated by
deducting significant items affecting comparability from net sales. The
corresponding items have been deducted from the profit for the period when
calculating the adjusted profit for the period.
Investments consist of increases in fixed assets, excluding increases under IFRS
16.
Equity per share = Equity attributable to owners of the parent company / Number
of shares at the end of the period, adjusted for share issues.
Equity ratio, % = 100 * (Equity attributable to owners of the parent company +
non-controlling interest) / (Balance sheet total).
Gearing, % = 100 * (Interest-bearing liabilities - cash in hand and at bank) /
(Equity attributable to owners of the parent company + non-controlling
interest).
Return on capital employed, % (ROCE) = 100 * (12-month rolling operating result)
/ (Equity attributable to owners of the parent company + non-controlling
interest + interest-bearing liabilities).