Baltika Brewery Company

The Baltika brand ranks first in sales in Europe (Canadean, Euromonitor). The company owns factories in 10 cities of Russia, 1 plant in Azerbaijan, a wide portfolio of brands. Baltika Brewing Company is an exporter of Russian beer: Baltika products are represented in more than 60 countries of the world, the company accounts for 70% of all export supplies of Russian beer.

Information Technology at Baltika

2019

The introduction of digital technologies is one of the priorities of the business strategy of Carlsberg Group "PARUS" 22^[1]it increases the efficiency of the company. Baltika's digital strategy consists of 3 key areas: reduce costs and create lower product costs, offer excellent experience in interaction, and create a single integrated platform for working with customers, employees and partners. The information received through numerous channels is the center of all decisions and actions of Baltika, the basis for numerous experiments, continuous optimization and scaling of business processes. ^[2] 20, ^[3]..

Baltika integrates digital technologies into all sectors of the company's activities, from production to work with customers and buyers. And with the help of domestic IT solutions, the company solves the main task - to achieve and consolidate a strategic advantage by constantly improving key indicators (speed of decision-making, efficiency, cost of raw materials, etc.). The main solutions in Baltika's portfolio are ERP, CRM, IIM from Monolit-Info, WMS from Solvo and Logistix, demand planning from G4C.

"The portfolio of used solutions of Baltika almost 100% consists of the development of domestic suppliers. Domestic solutions with comparable functionality and reliability give us much greater flexibility and efficiency, and as a result, additional opportunities for business development. Among the advantages of Russian developers are flexibility, focus on the buyer, security and better adaptation to domestic specifics, the ability to influence the development of the product line, as well as local technical support up to access to developers in case of serious incidents, "says German Epstein, Vice President for Information Technology of the Eastern Europe region of Baltika, Carlsberg Group

Electronic Document Management

For more than 10 years, the company has been using electronic document management (EDO) and electronic data interchange (EDI) with customers and suppliers. In 2018, more than 6 million documents were sent for all types of exchanges, which is almost double the figures for 2018. With the transition to digital, the processing speed of invoices increased by more than 100 times, since the new Baltika system reduces this process to pressing one button. Thus, the resources of specialists are not aimed at manual editing, but at intelligent operations and support for the operation of algorithms.

Driver Coordination

The mobile application for drivers monitors driving safety, monitors the location of cars in real time, predicts the time of arrival at the checkpoint, and in the event of a change in delivery conditions, drivers receive notifications with new information. According to 2018 data, about 8,000 Baltika drivers used the application in their work. As a result, the total number of completed deliveries increased, and the time and mileage on the route was significantly reduced.

Warehouse Management Automation

The project "Yard Management" not only improves the automated operation of warehouses, but also creates a single network for drivers, warehouse operators and transportation planners, which improves the indicators of the overall operational efficiency of their work. The project allowed to automate the process of loading goods in warehouses and their subsequent transportation, due to the formation of an electronic queue, informing carriers and dispatchers at all stages of the warehouse. The implementation of the "Yard Management" project made it possible to reduce the average service time of drivers in warehouses by 31%.

MiniCRM

Baltika also has a separate Mini CRM application to increase the level of employee involvement in the product quality control process. With its help, each Baltika employee can view a list of the nearest points of sale where the company's products are presented, check the quality of the products with the established standards, leave a review of the recorded violations, attach a photo to it, and view the history of reports on a specific outlet. In 2018, about 1800 employees used MiniCRM and sent more than 38,000 reviews, which significantly helped improve customer service and improve the quality of products on shelves in stores.

Performance indicators

2023: Loss - 28.1 billion rubles

At the end of 2023, the Baltika brewing company received a net loss of 28.1 billion rubles, while a year earlier, net profit was measured at 9.95 billion rubles. The group's revenue during this time increased by 8.5%, to 109.3 billion rubles. This is evidenced by data from the Baltika report, published in early April 2024.

According to TASS, citing materials from Baltika, in 2023 the company's gross profit practically remained at the level of a year ago - 46.9 billion rubles. The pre-tax loss reached 26.23 billion rubles against a profit of 11.92 billion rubles a year earlier. The company's cost of sales at the end of 2023 amounted to 62.4 billion rubles, rising by 14.7% on an annualized basis.

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The report states that the company's financial results were affected by the termination of ownership of the Danish subsidiary Baltika - Carlsberg Finance A/S. A notice of forced seizure of the property was issued by the Danish Business Authority. It reported that 63.59% of the shares of Carlsberg Finance A/S, owned by Baltika Brewery Company LLC, became the property of Danish Carlsberg Breweries A/S. Baltika has invested 38 billion rubles in the Danish subsidiary, which it plans to return in court.

At the end of December 2023, Finance Minister Anton Siluanov said that the Russian authorities are not planning to nationalize the Baltika brewing company. In early December 2023, Vedomosti reported that Baltika President Taimuraz Bolloyev sent a letter to the head of the Federal Property Management Agency Vadim Yakovenko with a proposal to nationalize the company. A newspaper source close to the Ministry of Finance confirmed the receipt of the letter, and the interlocutor of the publication, close to Baltika, said that conversations about the nationalization of the company were indeed underway, but did not specify the details.^[4]

History

2024

2024: Two top managers of Baltika buy the company from Carlsberg

In early December 2024, Carlsberg confirmed that it had agreed to sell its stake in the Baltika brewing company. The latter, in accordance with the agreements, will transfer its stakes in Carlsberg Azerbaijan and Carlsberg Kazakhstan to the Danish company.

The new controlling shareholder of Baltika will be the company, which will equally be owned by two long-time employees of Baltika, who hold senior positions in it.

Baltika buys the largest beer factories in Chuvashia and Tatarstan

The Baltika brewing company has reached agreements on the acquisition of the largest beer factories in Chuvashia and Tatarstan - Bouquet of Chuvashia and Bulgarpivo. This became known on November 14, 2024. Read more here.

Lawsuit against Carlsberg subsidiaries demanding damages of more than $900 million

At the end of March 2024, the Russian company Baltika filed a lawsuit against subsidiaries Carlsberg demanding compensation for damage in the amount of more than $900 million.

2023

Appointment of Taimuraz Bolloyev as CEO

Taimuraz Bolloyev, who previously held this post, became the president of the Baltika plant. Izvestia reported on the return of the entrepreneur to the post of head of the enterprise on July 18, 2023, citing its own sources. Later, the press service of the company confirmed this information. Read more here.

Transfer to temporary management of the Russian Federation

The president Russia Vladimir Putin signed a decree according to which the shares of Danone and "" Baltic owned by foreign companies go into temporary administration. Rosimushchestvo The corresponding document on the official Internet portal of legal information was published on July 16, 2023. More. here

2019: Signing of the "Green Code"

Every year Baltika implements environmental measures and increases energy efficiency, reduces its carbon footprint. In 2019, the company once again signed the Green Code of responsible enterprises in St. Petersburg, thereby reaffirming its commitment to its principles, including strict compliance with environmental legislation, control over compliance with environmental standards by business partners, and reducing the negative impact on the environment to a minimum.

2018: Installation of more than 7 thousand containers for separate waste collection throughout Russia

On April 29, 2019, the Baltika brewing company, part of the Carlsberg Group, summed up the interim results of the project "Benefit Your City." Over the 5 years of its implementation, the company, together with partners, installed more than 7 thousand containers for separate waste collection throughout Russia, and the total investment in the project exceeded 50 million rubles. Baltika continues to contribute to the reform of the waste management system, creating conditions for separate collection and processing.

As part of the project "Benefit your city," which started in 2013, Baltika cooperates with industry and regional operators and installs containers for separate waste collection. All waste collected with their help (PET packaging, glass, aluminum can, cardboard, etc.) are sent for recycling. Containers of the company and partners are installed in 52 cities of Russia.

In 2018, thanks to the Baltika separate collection project, more than 73 thousand tons of waste were collected and sent for processing, including more than 32 thousand tons of glass scrap and more than 6 thousand tons of PET packaging, which is one of the leaders in recycling potential. Thus, the company increased its performance compared to 2017, sending the largest amount of waste for recycling since the beginning of the implementation of the separate collection initiative. In 2018, Baltika purchased and installed 1,208 containers for separate collection, which is also the best indicator for the entire time of the project.

Reducing waste and implementing effective recycling management mechanisms is an important factor in reducing the environmental burden, including greenhouse gas emissions. In our country, a mechanism of extended manufacturer responsibility (ROP) is used, according to which manufacturers or importers are obliged to comply with the standards for the disposal of household waste from their products or pay an environmental fee.

Baltika began to implement the principle of extended manufacturer responsibility even before the changes in legislation. The company chose the path of self-implementation of standards through investments in the creation of a modern system for the separate collection and processing of municipal waste, refusal to dispose of waste in favor of recycling.

author '= Yuri Centyrev, Regional Production Director, Baltika Brewery, part of Carlsberg Group ' For more than five years we have been directly involved in the creation of a separate waste collection system. We will continue this work, develop our project "Bring benefit to your city," installing additional containers throughout the country. We strive not only to reduce the burden of our enterprises on the environment, but also to form a culture of responsible attitude towards the environment among residents of cities. In 2018, we were able to significantly expand the separate collection infrastructure by installing more than 1,200 containers. As a result, we were able to send significantly more waste for recycling, and we hope to increase this figure next year.

The Baltika brewing company, as part of the Carlsberg Group, follows a business model based on the principles of a circular economy. The company is changing linear approaches to handling packaging, energy and waste. All changes are taking place in accordance with the company's sustainable development program "4NOLYa Goal: Together for the Future," one of the key goals of which is to reduce the carbon footprint by 30%. It also helps to achieve the goal by reducing the volume of packaging waste and ensuring their processing.

2012: Carlsberg increases stake in company to 100%

In the fall of 2012, Carlsberg Group completed the procedure for forced buyback of shares in Baltika Brewery. At the end of the buyout, Carlsberg's share in the share capital of Baltika amounted to 100%.

Earlier it was reported that the Carlsberg group is ready to buy out their packages from the minority shareholders of Baltika at a price of more than $1 billion.

At the end of May 2012 Baltic Beverages Holding Aktiebolag, a subsidiary of Carlsberg, sent the largest Russian brewing company an offer to voluntarily buy out 15.3% of the share of Baltika's equity securities from minority shareholders. On June 4, the Board of Directors of Baltika Brewery considered Carlsberg's proposal and unanimously recommended that shareholders accept it, valuing the proposed price at 1,550 rubles per share as fair.

As a result of the acceptance by shareholders of the offer to voluntarily acquire shares, Carlsberg's stake in Baltika increased to 96.88%, after which the Carlsberg group began the process of compulsory redemption of the remaining securities.

According to the results of the second quarter of 2012 Carlsberg's consolidated net profit was DKK 3.355 billion (€450 million), up 63% from Q2 2011. Profit growth was then explained by an improvement in indicators in Russia. The company's share in the Russian market in the second quarter of 2012 increased to 37.3% against 37.0% in the first quarter of 2012.

Carlsberg is one of the largest brewing companies in the world and owns national brands such as Tuborg and Holsten. OJSC "Baltika Brewery Company" owns 10 breweries in Russia, a wide portfolio of brands. Baltika Brewing Company is a leading exporter of Russian beer: Baltika products are represented in more than 75 countries of the world, the company accounts for 70% of all export supplies of Russian beer.

2005

In May 2005, Anton Olegovich Artemyev was appointed president of the company.

Notes