Wine Industry Report

Henkell & Söhnlein Sektkellereien is celebrating 150 years and sales are up across the board.

The Henkell & Söhnlein Group in Germany – together with its subsidiaries in seven other European countries – was able to consolidate and build on its position both in sales volumes and turnover in 2005. Turnover rose by 6.6 percent to €505.3m. Total sales volumes rose by two percent to 17.2 million 9 l cases of sparkling wines, wines and spirits.

With a sales volume of 11.3 million 9 l cases, sparkling wine accounted for the lion’s share of the success of the Henkell & Söhnlein Group. Sales volumes of sparkling wine rose by 4.5 percent in 2005.

Henkell & Söhnlein spirits, with its flagships Wodka Gorbatschow (vodka) and Scharlachberg Meisterbrand (brandy), boosted their sales volumes in 2005 by two digits to 15.5 per cent. The total volume is equivalent to 3.1 million 9 l cases.

The sales volumes of the brands Kupferberg Gold and Scharlachberg Meisterbrand (acquired in October 2004) are considered for the whole year for the first time in this reporting period.

The expansion activities were continued in Europe and the Henkell Group was able to consolidate its position as market leader in Hungary with the acquisition of additional brands of sparkling wine. In the Czech Republic, alongside its already existing leader position in the markets for wines and sparkling wines, the group was able to become market leader for vodka sales by purchasing well-known local vodka brands.

Now, 2006 is going to be all about the 150th anniversary of Henkell sparkling wine. It was 150 years ago that the company made its first sparkling wine and the Group is going to celebrate this with a series of activities distributed over the whole year.