Oeneo Group Reports Third Quarter Revenue Decline Amid Market Contraction

Oeneo Group announced its third-quarter performance, revealing challenges from a shrinking wine and spirits market. The turnover was €61.4 million, a 10.3% decline at constant exchange rates compared to the previous year. This downturn links to three years of poor harvests and reduced global consumption. The Closures Division showed resilience, down only 4.9%, while the Winemaking Division faced a sharper 23.3% drop, largely due to delayed investments.

Over the first nine months, turnover reached €201.7 million, 8.7% lower at constant exchange rates. The group anticipates similar trends in the fourth quarter, focusing on cost controls and maintaining operating profitability. The Closures Division, despite lower volumes, benefitted from brand loyalty and new clients, while innovation in products like LiOX by Diam was spotlighted. Meanwhile, the Winemaking Division, hit by geopolitical instability and sluggish investments in markets like Cognac, saw a significant cyclical downturn.