2026-08-28
Purcari Wineries reported lower sales but stronger operating profitability in the first half of 2026, as weaker premium wine demand in Romania and changes to distribution in Central and Eastern Europe cut revenue, while cost controls and efficiency gains lifted its EBITDA margin.
In a results statement dated Aug. 25 in Bucharest, the wine producer said revenue for the six months ended June 30 fell to 182.2 million Romanian lei from 195.4 million lei a year earlier. That was a decline of 13.2 million lei, or 6.8%. The company said the drop reflected softer consumer demand in Romania, its largest market, and a transition to new distribution arrangements in Central and Eastern Europe.
Despite the lower top line, EBITDA rose 6% to 52.0 million lei from 49.1 million lei in the same period last year. The EBITDA margin widened to 28.5% from 25.1%, an improvement of 3.4 percentage points. Purcari said the gain came from operational efficiencies and tighter cost discipline.
Net profit moved in the opposite direction. The company posted first-half net earnings of 15.1 million lei, down from 15.6 million lei a year earlier, a decline of about 3.4%. Even so, the net profit margin edged up to 8.3% from 8.0%. Purcari said the rise in EBITDA was offset by higher depreciation and finance costs.
Romania remained the company’s biggest market by far, but it was also the main source of pressure on sales. Revenue there fell 9.5% year over year to 105 million lei. Purcari said the market was affected by fiscal tightening and weaker consumer demand, with the decline concentrated in volumes of the Purcari brand, which is positioned in the premium segment.
Other markets were more resilient. In Bulgaria, first-half revenue rose 23.6% to 10.3 million lei, driven by higher volumes, wider distribution and market share gains. In Moldova, revenue was broadly stable at 29.4 million lei, up 0.7% from a year earlier. The company said the Purcari brand grew modestly in Moldova while Bardar held steady.
Across the wider Central and Eastern Europe region, revenue fell 14.9% as the company shifted to new distribution arrangements. Purcari said the pace of decline narrowed compared with the first quarter as the new setup progressed. Revenue in the rest-of-world segment declined 5.3%, with strong growth in Turkey partly offset by weaker performance in Asian and other export markets.
Second-quarter figures showed a similar pattern, though with some signs of stabilization. Revenue in the April-to-June period fell 11% to 92.6 million lei, while EBITDA slipped 5% to 24.0 million lei. The quarterly EBITDA margin, however, improved to 25.9% from 24.2%. Net profit for the quarter rose 6% to 7.0 million lei, and the net margin increased to 7.6% from 6.4%.
Chief Executive Victor Bostan said the first half was shaped by commercial changes and a tougher consumer backdrop, especially in Romania, but said the company’s discipline was visible in EBITDA growth and margin expansion. He added that Purcari is nearing the end of an intensive investment cycle that it believes will support more resilient growth, and said early signs ahead of the harvest were encouraging.
Purcari, which is listed on the Bucharest Stock Exchange under the ticker WINE, is one of the larger wine and brandy groups in Central and Eastern Europe. It manages more than 2,000 hectares of vineyards and operates production sites in Romania, Moldova and Bulgaria. The company scheduled a conference call for investors on Aug. 26 to discuss the first-half results.