Concha y Toro Profits Up 2% in 2Q, Sales Declined Moderated

Viña Concha y Toro showed a significant improvement in business performance during the second quarter. Despite the appreciation of the Chilean peso, between April and June, sales moderated their year-over-year decline to the mid-single digits, while net income rose 2.1% and earnings per share increased 6.1%.

Revenue fell 4.7% compared to the same period last year, less than the -7.8% recorded in the first three months of the year, while operating costs and expenses were effectively controlled as a result of ongoing efficiency initiatives. This was complemented by effective management of inflation and foreign exchange exposure, which enabled a rise in gross margin to 40% despite lower volumes.

"This reflects our continued focus on profitability, disciplined execution, and rigorous cost and expense control initiatives across the company. We expect this trend of improvement to continue in the coming quarters, and we are confident that the second half of 2026 will yield stronger results than 2025, despite the challenging global environment we face," said CEO Eduardo Guilisasti.

Favorable results in Brazil and Mexico helped largely offset the ongoing normalization process in the United States, where a transition in distribution caused disruptions during the first quarter and continued to affect shipments during the second period, albeit to a lesser extent, the company said.

"It's important to note that underlying demand for our brands in the U.S. remained healthy, with depletions (sales to distributors) outpacing the growth in shipments. As the normalization process continues, we see opportunities for growth in the second half of the year," explained the CEO.