Berentzen-Gruppe AG reported revenue of €35.2 million ($38.4 million) for the first quarter of 2026, a 10 percent drop from the same period last year. This decline reflects a broader struggle to maintain sales in a cooling German spirits market.
Quarterly profit before interest and taxes (EBIT) collapsed by more than 80 percent, falling to approximately €200,000 ($218,000) from €1.2 million ($1.3 million) in the first quarter of 2025. The company released these figures as preliminary data, citing a sharp contraction in consumer demand for alcohol.
Berentzen’s quarterly profit plummeted by over 80 percent
The financial hit stems almost entirely from the spirits segment. While the company maintains a diverse portfolio, the core business of selling schnapps and other hard liquors in Germany has hit a wall. This downturn has left the company starting its fiscal year with a deficit that threatens its historical margins.
Analysts from Montega AG viewed the start to the year as evidence of a tricky environment for the company’s traditional core business. The volatility of alcohol consumption trends has forced the group to accelerate a pivot away from its reliance on spirits.
Why retail inventories blocked new orders
CEO Oliver Schwegmann described the consumer demand at the complete of 2025 as „disappointingly weak.“ This slump created a ripple effect that lasted well into 2026. Because consumers stopped buying spirits at the expected rate during the 2025 holiday season, retail warehouses remained full of unsold stock.
Retail partners entered the new year with high inventory levels that they had to clear before placing new orders. Schwegmann noted that this necessity to drain existing stocks braked follow-up sales for the manufacturer. The problem persisted through the first quarter of 2026, as the general lack of interest in alcoholic beverages in Germany continued.
Under the „Evolve 2030“ strategy
The current crisis has accelerated the company’s „Evolve 2030“ plan. This strategy focuses on a „mix-shift“ intended to reduce the company’s vulnerability to alcohol consumption trends. Berentzen aims to increase the share of non-alcoholic revenue to over 50 percent by 2030.
A central piece of this transition is the strategic acquisition of the brand Juma. Positioned as a „Functional Lifestyle Drink,“ Juma is intended to function alongside the existing Mio Mio brand to capture a health-conscious demographic. The group also relies on its fresh juice systems, which provided an EBIT of €1.3 million ($1.4 million) in 2025.
International markets provide a necessary cushion. The company’s business in Turkey remains high-margin, providing critical profit contributions even though the total volume is smaller than the domestic German market.
How the company plans to recover by year-end
Management maintains its full-year guidance for 2026 despite the poor start. The company expects total revenue to land between €163 million ($178 million) and €173 million ($189 million), compared to €162.9 million ($177 million) last year. The projected EBIT for the full year is set between €7 million ($7.6 million) and €9 million ($9.8 million).
Recovery depends on a heavy concentration of activity in the second half of the year. The company will launch a national roll-out of Juma starting in May and plans to reposition the Puschkin brand later in the year. These initiatives are expected to drive the necessary revenue growth to offset the Q1 losses.
The company views 2026 as an investment-heavy transition year. By shifting the weight of its earnings toward non-alcoholic alternatives, Berentzen hopes to insulate itself from the unpredictable nature of the German spirits market.
What is the Juma brand?
Juma is a strategic acquisition in the „Functional Lifestyle Drinks“ category. This proves designed to accelerate the company’s shift toward non-alcoholic beverages and reduce dependence on spirits.
How does the Turkey business contribute to the group?
The Turkey business is described as a high-margin segment. While it contributes smaller volumes than the domestic market, it remains an important pillar for the company’s overall earnings.
