Kizlyar Brandy Factory

Kizlyar Brandy Factory is a Russian producer of spirits located in the Dagestan city of Kizlyar. By 2023, it is one of the five largest Russian brandy producers. The plant produces products under the brands "Peter the Great," "Five Stars," "Three Stars," "My Dagestan," "Kizlyarsky Holiday," "Russia," "Bagration," "Dagestan," "Kizlyar," "Lezginka," "Emperor All-Russian" and "Saradzhev."

Performance indicators

2024: Revenue growth of 28.5% to ₽6,47 billion

The revenue of Kizlyar Brandy Plant JSC in 2024 reached ₽6,47 billion, setting a record level in the history of the enterprise. The increase compared to 2023 was 28.5%. This is evidenced by the financial statements disclosed at the end of March 2025. Despite the increase in revenue, net profit under RAS decreased by 26% - to ₽570,96 million against ₽770,67 million a year earlier in 2023.

According to Interfax, the production volume of the Kizlyar Brandy Plant in 2024 increased by 25% compared to 2023 and reached 1.286 million decaliters. The volume of sales increased by 21% to 1.272 million decaliters.

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Фото: Freepik

The cost of production in 2024 increased by 34.8% and amounted to ₽5,37 billion, which exceeded the growth rate of revenue. The gross profit of the enterprise increased slightly - by only 2% to ₽1,096 billion. Higher rates of growth in cost compared to revenue had a negative impact on the company's profitability indicators.

The increase in operating expenses had a significant impact on financial results. The business expenses of the enterprise in 2024 increased by 35% to ₽216,01 million, and management expenses - by 18% to ₽218,48 million. As a result, profit from sales decreased by 15.5% to ₽516,56 million, and profit before tax decreased by 17.7% to ₽816,52 million.

The accounts payable of JSC KKZ during the reporting period increased from ₽2,49 billion to ₽3,43 billion. Accounts receivable also increased - from ₽1,97 billion to ₽2,31 billion. The increase in debt may be associated with an increase in production and sales of products.

The previous revenue record was set in 2023, when it amounted to ₽5,03 billion. Thus, for the second year in a row, the company has shown positive dynamics of this indicator, which indicates a stable demand for the company's products and a competent development strategy.^[1]

2023: Revenue growth by 27.2% to RUB 5.03 billion

At the end of 2023, the Kizlyar Brandy Plant (KKZ) raised 5.03 billion rubles, which is 27.2% more than a year earlier. Net profit during this time increased by 35.7% and reached 770.7 million rubles. Such data on RAS were published in early April 2024.

According to Interfax, citing KKZ reports, both revenue and net profit in 2023 were record for the enterprise. The previous maximum in net profit dated 2016 - then the figure was 652.2 million rubles. And the largest revenue was previously registered in 2022 (3.96 billion rubles).

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Фото: Pixabay

In 2023, the cost of KKZ sales increased by 30.4% compared to the volume of one year ago, to 3.96 billion rubles. Gross profit at the end of 2023 rose by 16.6%, to 1.07 billion rubles. Profit from sales amounted to 610.04 million rubles (increased by 11% compared to 2022), profit before tax - 991.779 million rubles (an increase of 35.6%).

Payables of the Kizlyar Cognac Plant for 2023 reached 2.49 billion rubles against 1.72 billion rubles in 2022. Accounts receivable in 2022 amounted to 1.41 billion rubles, and a year later - 1.97 billion rubles.

Kizlyar Brandy Plant in 2023 produced 1.032 million decaliters (dal) of alcoholic beverages, which is 16% more than a year earlier. Cognac sales grew by 19%, to 1.048 million decaliters.^[2]

Notes