KEY FIGURES FOR 2022
3 BRANDS
are among the best-selling vodkas according to The Millionaires’ Club ranking in 2022
stores sell our products in Russia
+
stores in group-owned retail chain
+
IMPORTED BRANDS
+
OWN BRANDS
50
%
+
NET PROFIT
119
%
+
REVENUE
30
%
+
EBITDA
66
100
+
MILLION 9L CASES
18.7
PRODUCTION VOLUME
OVERALL SALES
MILLION LITERS
139
168,000
1,350
EMPLOYEES
13,000
THE CHIEF
EXECUTIVE OFFICER
EXECUTIVE OFFICER
MESSAGE FROM
KONSTANTIN PROKHOROV,
CEO
CEO
BELUGA GROUP is a key player in the alcohol sector of the Russian economy. The group focuses on sustainable long-term development, addressing the interests of a wide range of stakeholders, including consumers, partners, shareholders, and investors.
I hereby present the annual report on corporate activities in 2022. In this period, fraught with major challenges and significant economic changes, BELUGA GROUP demonstrated the sustainability and resilience of each of its functions and the system as a whole. Thanks to a combination of factors, including our vertically integrated business model, diversified portfolio, expert team, and a collection of strong in-house and representative brands, we were able to adapt to the new realities, ensure the continuity of our operations, and seize new opportunities.
I hereby present the annual report on corporate activities in 2022. In this period, fraught with major challenges and significant economic changes, BELUGA GROUP demonstrated the sustainability and resilience of each of its functions and the system as a whole. Thanks to a combination of factors, including our vertically integrated business model, diversified portfolio, expert team, and a collection of strong in-house and representative brands, we were able to adapt to the new realities, ensure the continuity of our operations, and seize new opportunities.
BELUGA GROUP ended the year as the leading Russian producer of alcoholic beverages in key categories
+6.8%
The group’s overall sales reached 18.7 million 9L cases
+30%
revenue
+66%
EBITDA
+119%
net profit
The group’s overall sales reached 18.7 million 9L cases
+6.8%
revenue
+30%
EBITDA
+66%
net profit
+119%
We consolidated our position in the vodka category thanks to growing sales of our flagship superpremium brand Beluga, the sustained triumph of Arkhangelskaya, and the excellent results of other brands, both new and well-known to consumers. The non-vodka categories also demonstrated a strong upward trend, as sales of Tiflis Treasure cognac, Beluga Hunting bitters, Fox & Dogs whiskey, and Green Baboon gin all increased significantly.
Sales of partner brands exclusively represented by the group in Russia rose by 13.8%, tallying 3.3 million 9L cases. Thanks to our systemic efforts to expand distribution and shelf presence, as well as efficient trade marketing activities, we managed to improve the market share and positions of key imported brands, as well as supplement our portfolio with more than three dozen promising brands from some of the most popular categories.
Sales of partner brands exclusively represented by the group in Russia rose by 13.8%, tallying 3.3 million 9L cases. Thanks to our systemic efforts to expand distribution and shelf presence, as well as efficient trade marketing activities, we managed to improve the market share and positions of key imported brands, as well as supplement our portfolio with more than three dozen promising brands from some of the most popular categories.
The group-owned WineLab retail chain grew by 35%, surpassing the benchmark of 1,350 outlets. Sales volume went up 52.3%. The quality of loyalty program offers, its features and convenience for users, as well as the number of participants, also increased significantly, with the audience exceeding 5.9 million in the reporting period.
Credit for the results shown by BELUGA GROUP in 2022 goes to our professional, committed, and driven team: top-notch corporate management and more than 13,000 talented employees, who consistently meet the set targets, tackle challenges with confidence, and come up with ideas to strengthen the company.
One of the most important factors behind our consistent success over the past 23 years has been our ability to treat challenges as room for growth — something we once again did last year
VISION
MISSION
To be the best alcohol company that sets high standards for responsible business and industry, with the products that are always number one for consumers in any category and every outlet.
WE FILL BRANDS WITH HIGH QUALITY AND EMOTIONS TO RAISE GLASSES FULL OF CHEER AND GOOD SPIRITS.
THE CHAIRMAN OF THE BOARD OF DIRECTORS
MESSAGE FROM
NIKOLAY BELOKOPYTOV, CHAIRMAN OF THE BOARD OF DIRECTORS
BELUGA GROUP’s priority for 2022 was to maintain all operations at a traditionally high level. The group’s qualitative and quantitative performance during that period has proved its sustainability and confirmed that its medium- and long-term development strategies
of the last few years have been fundamentally correct.
of the last few years have been fundamentally correct.
Notable strategic areas of operations in the reporting period included the following
For the distribution system: increasing sales with a focus on key brands' growth, strengthening positions at discount stores, boosting customer-centeredness, and developing the B2B sector. The team’s professional work resulted in record-breaking sales.
Our own retail chain, WineLab, continues to play a significant role in BELUGA GROUP’s business structure, becoming a powerful player in the specialized retail sector. All key indicators improved, and the development of e-commerce and the loyalty program continued.
Our production unit was focused on ensuring the continuity of operations, improving forecasting and planning, as well as boosting productivity and efficiency.
The key warehouse logistics-related tasks involved licensing and launching a customs warehouse, expanding space, and improving automation. For transport logistics, our main goals were to build optimal distillate supply corridors and enter new strategic partnerships.
Our operating and financial results were appreciated by investors, which was reflected accordingly in the price and liquidity of BELUGA GROUP shares: the Moscow Stock Exchange included them in the Level 1 quotation list of securities, and Russia’s largest rating agency, Expert RA, assigned the company the ruA+ credit rating with a stable outlook. The group paid dividends to its shareholders twice. In October, the Board of Directors approved a new dividend policy, raising payments from 25% to no less than 50% of consolidated annual net profit under IFRS.
None of this would have been possible without our professional, committed, and stable team. Our employees remain one of our fundamental values. This is why we strived to give them better professional development and self-fulfillment opportunities in the reporting period, taking systemic effort to make their work more comfortable and ensuring safe labor conditions across all divisions.
The results achieved by BELUGA GROUP amid the objectively challenging conditions of 2022 continue the company’s upward trend and testify to its confident market positions ensured by top-notch leadership, expert team, correct and efficiently implemented development strategy, and quality brands loved by consumers.
THE INDUSTRY
POSITION IN
Today, BELUGA GROUP is one of the leading producers of spirits: as of the year’s end, the company holds a strong leading position among the largest producers of vodka, cognac, whiskey, and flavored liqueurs.
BELUGA GROUP is the largest alcohol company in Russia, a leading producer of vodka and distilled beverages, and one of the country’s key importers of spirits.
talented employees
13,000
The portfolio’s flagship brand, Beluga vodka, ranks No 3 in the ultra-premium segment in the world according to IWSR 2020; and No 8 among the top bestselling and No 4 among the top trending vodka brands in the world according to Annual Brands Report 2022 by Drinks International. Three of the company’s brands, Belenkaya (14th), Arkhangelskaya (16th) and Tsar (30th), ranked among the top 30 vodka brands in the world according to The Millionaires' Club international ranking, compiled by Drinks International.
The groups' diversified brand portfolio covers every major category and segment in the alcohol market. Developing its import activities, BELUGA GROUP is one of Russia’s largest independent distributors. The group exclusively represents the products of companies that are popular in their categories.
BELUGA GROUP is a partner of the global leader Bacardi, bottling and packaging its William Lawson’s and William Lawson’s Super Spiced whiskey brands.
The company manages five distilleries, one ethanol plant, and one winery. The group’s production facilities with a total capacity of over 20 million daL are equipped in compliance with the alcohol production regulatory requirements. The company brings together professionals with years of expertise in their respective areas.
BELUGA GROUP also manages its own distribution system in Russia, comprised of over 1,200 employees.
The company’s distribution system remains one of its strengths. Distribution channels include the group-owned WineLab retail chain, a stand-alone business project, now a top-3 liquor retailer by number of outlets. It is an important segment in BELUGA GROUP’s business and one that continues to develop actively.
The company’s distribution system remains one of its strengths. Distribution channels include the group-owned WineLab retail chain, a stand-alone business project, now a top-3 liquor retailer by number of outlets. It is an important segment in BELUGA GROUP’s business and one that continues to develop actively.
BELUGA GROUP’s secondary area of activity is foodstuffs.
The ruA+ (stable) rating assigned by Expert RA (the largest Russian rating agency) in April 2022 objectively corroborates the stability
of the group’s business
of the group’s business
HISTORY
COMPANY
The Beluga brand enters the markets in Europe, Middle East, and the USA, where the company opens its first overseas representative office. The Duty Free channel undergoes active development. The company expands its portfolio with the Myagkov brand. In response to the growth of the cognac sector of the Russian market, the group also launches the Golden Reserve brand; expands its product ranges, and increases production volumes.
Synergy group is founded. The goal is to dominate the industry in all respects—that is, the quality and range of products, production technologies, and business scale. The production unit and the distribution chain are established and developed.
In 2002, the company acquires its first distillery, the Ussuriyskiy Balsam factory. Over a 5-year period, the company expands to 6 factories, steadily develops them and increases production volumes. By 2006, the company becomes one of Russia's largest alcohol market players, ranking 4th by output.
The group acquires the Beluga and Belenkaya brands and holds its IPO, with its market capitalization exceeding USD 1 billion.
The company becomes a Top-3 alcohol producer in Russia with output of more than 140 million liters.
The company starts building its imported brand portfolio, signing contracts for exclusive distribution with William Grant & Sons and Camus cognac house. The company develops its own unique distribution system. Beluga Allure and Beluga Transatlantic Racing series from the Beluga brand family hit the markets. WineLab starts operations.
The Beluga brand enters the North American and Chinese markets. The group launches its own Fox & Dogs scotch, Doctor August tinctures, and Bastion brandy. BELUGA GROUP begins its cooperation with Latvijas Balzams, a leading liquor producer in the Baltic region. The Zarya Center for Contemporary Art opens in Vladivostok.
Two strategically important brands, Torres Brandy and Ron Barceló, are added to the company's import portfolio. The group turns wine distribution into a separate business division, launching collections of wines from France, Spain, Italy and other countries.
The group is a solid Top-3 brandy producer in Russia, retaining its lead in the vodka market. The company signs a one-of-a-kind agreement with Bacardi on bottling William Lawson’s whisky at its own production facility. The group launches the Beluga Hunting Berry and Beluga Hunting Herbal bitters, the limited-edition Beluga Epicure (a joint project with Lalique), and the Tiflis Treasure brandy.
The company maintains its lead in Russia’s market in terms of vodka, spirits, whisky, and brandy production. Imports grow rapidly: sales of partner brands double, wine division expands by 86 %. The portfolio is further complemented by imported brands Vecchia Romagna, Benchmark, Amaro Montenegro, Buffalo Trace and Plantation and the group’s own new products Snow Owl and Copper Horse vodka, Ardeli Russian brandy, and VOGUE champagne. Synergy undergoes corporate rebranding and becomes BELUGA GROUP.
The group purchases Golubitskoe Estate winery in the Taman Peninsula, Krasnodar Region, and opens a new business division, now producing premium wine from its own grapes. The company rolls out the production of Troublemaker Irish whiskey and Green Baboon gin. The following international brands join the imported wine portfolio: Masi Agricola, Frescobaldi Group, Billecart-Salmon, Gérard Bertrand, Familia Torres. The partnership agreement with Bacardi is renewed for another five years.
Golubitskoe Estate premium still wines and Eagle’s Rock bourbon are introduced to the market. Beluga enjoys the best results in its history, selling its products in over 100 countries and in 264 airports around the world. The group signs a contract for the exclusive distribution of Torres wines and premium RIEDEL glasses. BELUGA GROUP becomes one of the Top-3 importers of spirits and wines in Russia. WineLab becomes the second biggest player in Russian alcohol retail. December 29, 2019 marks the 20th anniversary of BELUGA GROUP.
The group launched new products — a collection of Tête de Cheval premium sparkling wines, along with Orthodox and PARKA vodkas. Beluga sales in the United States are 30% up compared to the previous year. The group’s import portfolio is expanded by NOY brandy, Mateus and Silk & Spice wines, and Sandeman port. Beluga is the only alcohol company on the Forbes 200 Largest Private Russian Companies list. The group opens Golubitskoe Art Foundation in Taman. WineLab wins Retail Week Awards 2020 as Fastest-Growing Food Retail Chain.
The company performs a secondary public offering (SPO), raising RUB 5.6 billion. The group acquires a controlling stake in Chugunovsky Ethanol Plant and signs exclusive distribution agreements with Rémy Cointreau, De Kuyper Royal Distillers, and Southern Comfort. The company opens its1,000th WineLab store in December. Beluga shows double-digit growth; its sales abroad exceed domestic sales for the first time. The company issues its first sustainability report and introduces ESG principles into its operations.
The group adds 30+ promising brands from France, Scotland, Ireland, Japan, and other countries to its import portfolio. A customs warehouse opens in Istra. The WineLab retail chain grows by 35% and launches a points-based loyalty program in addition to its discount one. The program reaches 5.9 million members.
1999
2022
2021
2020
2019
2018
2017
2016
2014-15
2013
2011-12
2010
2008-09
2007
2002–06
HISTORY
COMPANY
The Beluga brand enters the markets in Europe, Middle East, and the USA, where the company opens its first overseas representative office. The Duty Free channel undergoes active development. The company expands its portfolio with the Myagkov brand. In response to the growth of the cognac sector of the Russian market, the group also launches the Golden Reserve brand; expands its product ranges, and increases production volumes.
Synergy group is founded. The goal is to dominate the industry in all respects—that is, the quality and range of products, production technologies, and business scale. The production unit and the distribution chain are established and developed.
In 2002, the company acquires its first distillery, the Ussuriyskiy Balsam factory. Over a 5-year period, the company expands to 6 factories, steadily develops them and increases production volumes. By 2006, the company becomes one of Russia’s largest alcohol market players, ranking 4th by output.
The group acquires the Beluga and Belenkaya brands and holds its IPO, with its market capitalization exceeding USD 1 billion.
The company becomes a Top-3 alcohol producer in Russia with output of more than 140 million liters.
The company starts building its imported brand portfolio, signing contracts for exclusive distribution with William Grant & Sons and Camus cognac house. The company develops its own unique distribution system. Beluga Allure and Beluga Transatlantic Racing series from the Beluga brand family hit the markets. WineLab starts operations.
The Beluga brand enters the North American and Chinese markets. The group launches its own Fox & Dogs scotch, Doctor August tinctures, and Bastion brandy. BELUGA GROUP begins its cooperation with Latvijas Balzams, a leading liquor producer in the Baltic region. The Zarya Center for Contemporary Art opens in Vladivostok.
Two strategically important brands, Torres Brandy and Ron Barceló, are added to the company’s import portfolio. The group turns wine distribution into a separate business division, launching collections of wines from France, Spain, Italy and other countries.
The group is a solid Top-3 brandy producer in Russia, retaining its lead in the vodka market. The company signs a one-of-a-kind agreement with Bacardi on bottling William Lawson’s whisky at its own production facility. The group launches the Beluga Hunting Berry and Beluga Hunting Herbal bitters, the limited-edition Beluga Epicure (a joint project with Lalique), and the Tiflis Treasure brandy.
The company maintains its lead in Russia’s market in terms of vodka, spirits, whisky, and brandy production. Imports grow rapidly: sales of partner brands double, wine division expands by 86%. The portfolio is further complemented by imported brands Vecchia Romagna, Benchmark, Amaro Montenegro, Buffalo Trace and Plantation and the group’s own new products Snow Owl and Copper Horse vodka, Ardeli Russian brandy, and VOGUE champagne. Synergy undergoes corporate rebranding and becomes BELUGA GROUP.
The group purchases Golubitskoe Estate winery in the Taman Peninsula, Krasnodar Region, and opens a new business division, now producing premium wine from its own grapes. The company rolls out the production of Troublemaker Irish whiskey and Green Baboon gin. The following international brands join the imported wine portfolio: Masi Agricola, Frescobaldi Group, Billecart-Salmon, Gérard Bertrand, Familia Torres. The partnership agreement with Bacardi is renewed for another five years.
Golubitskoe Estate premium still wines and Eagle’s Rock bourbon are introduced to the market. Beluga enjoys the best results in its history, selling its products in over 100 countries and in 264 airports around the world. The group signs a contract for the exclusive distribution of Torres wines and premium RIEDEL glasses. BELUGA GROUP becomes one of the Top-3 importers of spirits and wines in Russia. WineLab becomes the second biggest player in Russian alcohol retail. December 29, 2019 marks the 20th anniversary of BELUGA GROUP.
The group launched new products — a collection of Tête de Cheval premium sparkling wines, along with Orthodox and PARKA vodkas. Beluga sales in the United States are 30% up compared to the previous year. The group’s import portfolio is expanded by NOY brandy, Mateus and Silk & Spice wines, and Sandeman port. Beluga is the only alcohol company on the Forbes 200 Largest Private Russian Companies list. The group opens Golubitskoe Art Foundation in Taman. WineLab wins Retail Week Awards 2020 as Fastest-Growing Food Retail Chain.
The company performs a secondary public offering (SPO), raising RUB 5.6 billion. The group acquires a controlling stake in Chugunovsky Ethanol Plant and signs exclusive distribution agreements with Rémy Cointreau, De Kuyper Royal Distillers, and Southern Comfort. The company opens its 1,000th WineLab store in December. Beluga shows double-digit growth; its sales abroad exceed domestic sales for the first time. The company issues its first sustainability report and introduces ESG principles into its operations.
The group adds 30+ promising brands from France, Scotland, Ireland, Japan, and other countries to its import portfolio. A customs warehouse opens in Istra. The WineLab retail chain grows by 35% and launches a points-based loyalty program in addition to its discount one. The program reaches 5.9 million members.
1999
2022
2021
2020
2019
2018
2017
2016
2014-15
2013
2011-12
2010
2008-09
2007
2002–06
PRIORITY BUSINESS
AREAS
The company’s priority business areas are production, marketing, and distribution of its own brands as well as exclusive distribution of its partners' products.
Own brands
HOUSE OF BRANDS
Barrel Club, Beluga Hunting, Captain’s Collection, Devil’s Island, Doctor August, Eagle’s Rock, Fox & Dogs, Golubitskoe Estate, Green Baboon, Tête de Cheval, Troublemaker, USURI, VOGUE.
OTHER CATEGORIES
VODKA
Arkhangelskaya, Belenkaya, Beluga,
Copper Horse, Eagle’s Rock, Myagkov, Orthodox, PARKA, Russian Ice, Severnoe Zoloto, Snow Owl, Staraya Moskva, Tsar, Zimnyaya Doroga.
Copper Horse, Eagle’s Rock, Myagkov, Orthodox, PARKA, Russian Ice, Severnoe Zoloto, Snow Owl, Staraya Moskva, Tsar, Zimnyaya Doroga.
RUSSIAN BRANDY
Ardeli, Bastion, Golden Reserve,
Le Lion de Pierre, Tiflis Treasure.
Le Lion de Pierre, Tiflis Treasure.
Imported brands
SPIRITS
Agavita, Antidote, Baron Roland, Canerock,
Cliff Allen, Disaronno, Egan’s, Fitzwilliam, Greign, Highland Mist, Irish Rover, Lady Jane,
Name & Nature, Noy, Plantation, Riga Black 1752, Riga Black Balsam, Ron Barceló, The Busker, The Galtee Mountain Boy, The Hakuto, The Lothaire, The Mankai, The Observatory, The San-In, Three Scottish Brothers, Torres Brandy, Xenta.
Cliff Allen, Disaronno, Egan’s, Fitzwilliam, Greign, Highland Mist, Irish Rover, Lady Jane,
Name & Nature, Noy, Plantation, Riga Black 1752, Riga Black Balsam, Ron Barceló, The Busker, The Galtee Mountain Boy, The Hakuto, The Lothaire, The Mankai, The Observatory, The San-In, Three Scottish Brothers, Torres Brandy, Xenta.
WINE
Attems, Barton & Guestier, Bellavista, Berton, Billecart-Salmon, Calvet, Canevel,
Cheval Quancard, Concha y Toro, Concilio,
Cono Sur, Danzante, Duca di Salaparuta, Faustino, Finca Las Moras, Fournier,
Gerard Bertrand, Gran Castillo, JP. Chenet,
Louis Latour, Luce, Markus Molitor, Masi, Montelvini, Obikwa, Old Tbilisi, Pasqua, Piccini, Sella & Mosca, Simonnet-Febvre,
Tenuta Carretta, Tiflis Treasure, Topf, Torres, Trivento, Vranken Pommery, Zonin1821.
Cheval Quancard, Concha y Toro, Concilio,
Cono Sur, Danzante, Duca di Salaparuta, Faustino, Finca Las Moras, Fournier,
Gerard Bertrand, Gran Castillo, JP. Chenet,
Louis Latour, Luce, Markus Molitor, Masi, Montelvini, Obikwa, Old Tbilisi, Pasqua, Piccini, Sella & Mosca, Simonnet-Febvre,
Tenuta Carretta, Tiflis Treasure, Topf, Torres, Trivento, Vranken Pommery, Zonin1821.
HIGHLIGHTS
OF THE YEAR
On October 20, the Board of Directors of BELUGA GROUP approved the company’s new dividend policy, increasing payment size from 25% to at least 50% of consolidated net profit under IFRS. The targeted frequency remains unchanged at a minimum of twice per annum.
The new policy demonstrates the company’s commitment to distributing profits among shareholders, which in turn makes it more attractive to investors.
The new policy demonstrates the company’s commitment to distributing profits among shareholders, which in turn makes it more attractive to investors.
The Moscow Exchange included the ordinary shares of Beluga Group PJSC in the Level 1 quotation list of securities admitted to trading. The inclusion of shares in the top quotation list confirms BELUGA GROUP’s compliance with the exchange’s strict requirements regarding information disclosure quality, as well as the high level of corporate governance in the group.
Brand updates
New SKUs
In 2022, BELUGA GROUP expanded its in-house brand lines with high-demand SKUs: small-volume and large-volume. For example, the Tête de Cheval Brut line now features 1.5-l magnum and 0.375-l miniature bottles. The small-volume version, which contains precisely half of the standard bottle, was created primarily for events where sparkling wine is served by the glass: theaters, bars, and small group meetings. A magnum bottle of Tête de Cheval Brut, in turn, is a great gift option and the perfect choice for large-scale events.
Product relaunches
New flavors
Brand redesign
New partnerships and imported brands
BRAND MARKETING ACTIVITIES
Beluga & Beluga Hunting
At the beginning of the year, Beluga traditionally rolled out a limited seasonal edition of the Beluga Noble Winter vodka. The bottle’s original design has been inspired by the beauty of snow-covered landscapes and the winter polo aesthetics.
In spring, Gastronome No. 1 started selling a restyled version of the limited Beluga Noble 0.5 l edition dedicated to GUM; the new label features a golden outline of the legendary Moscow department store.
As part of a strategic partnership with Maison Dellos and the Café Pushkin restaurant, Beluga Gold Line with customized labels was released. In some of the chain’s restaurants, guests were served special compliments from the chef when ordering a bottle.
In the summer, the group released Beluga Noble Summer, a limited edition inspired by the air of summer holidays and the aesthetics of seaside resorts.
In the fall, a large-scale campaign was launched to promote Beluga Noble Espresso, a classic vodka cocktail with added espresso and a designer twist. A VAP of the same name, featuring a 0.7 l Beluga Noble bottle and a martini glass for making the signature cocktail, also became available for sale. Beluga also introduced two new gift sets: Beluga Celebration 0.7 l with exquisite flute glasses and Beluga Transatlantic Racing 0.7 l with stylish sunglasses.
In 2022, Beluga Hunting bitter was certified kosher.
In the fall, new Beluga Hunting gift sets for easy cocktail mixing hit the shelves, following the #миксуйкакхочешь (mixasyoulike) concept. The stylish sets are available in two versions: the berry Hunting is paired with a classic Rocket Tonic, while the herbal Hunting comes with Rocket Cola.
In spring, Gastronome No. 1 started selling a restyled version of the limited Beluga Noble 0.5 l edition dedicated to GUM; the new label features a golden outline of the legendary Moscow department store.
As part of a strategic partnership with Maison Dellos and the Café Pushkin restaurant, Beluga Gold Line with customized labels was released. In some of the chain’s restaurants, guests were served special compliments from the chef when ordering a bottle.
In the summer, the group released Beluga Noble Summer, a limited edition inspired by the air of summer holidays and the aesthetics of seaside resorts.
In the fall, a large-scale campaign was launched to promote Beluga Noble Espresso, a classic vodka cocktail with added espresso and a designer twist. A VAP of the same name, featuring a 0.7 l Beluga Noble bottle and a martini glass for making the signature cocktail, also became available for sale. Beluga also introduced two new gift sets: Beluga Celebration 0.7 l with exquisite flute glasses and Beluga Transatlantic Racing 0.7 l with stylish sunglasses.
In 2022, Beluga Hunting bitter was certified kosher.
In the fall, new Beluga Hunting gift sets for easy cocktail mixing hit the shelves, following the #миксуйкакхочешь (mixasyoulike) concept. The stylish sets are available in two versions: the berry Hunting is paired with a classic Rocket Tonic, while the herbal Hunting comes with Rocket Cola.
In 2022, Beluga kept growing its presence in many of the country’s finest establishments.
In the winter, Beluga branded dozens of restaurants in various Russian cities, half of which became brand embassies. In particular, branded tables and Christmas trees with decorations shaped like caviar jars were installed.
Beluga Hunting has already become an integral part of winter holidays: for the ski season, the brand decorated the most iconic locations and launched major promotional campaigns. The highlights included seasonal menus with hot cocktails, the Buy Five Shots of Beluga Hunting and Get a Gift promotion, as well as quests and contests in Krasnaya Polyana bars.
During the summer season, Beluga branded 108 establishments in 23 Russian cities, including Moscow, Saint Petersburg, and Sochi, supplying plaids, pillows, and other elements with the brand logo and adding Beluga vodka and cocktails based on it to their menus. A total of 28 locations became brand embassies.
Beluga Hunting-themed summer branding appeared in 37 establishments, 12 of which became brand embassies. Some of the most notable projects included Community, where Beluga placed poufs in addition to branded plaids, pillows, staff uniforms, and other elements; Rovesnik, with ticker tape-inspired custom branding, retro slot machines, and a gobo projector; Zelenaya Sobaka; BIZI, with DJ booths adorned with Hunting-style neon elements; and IZI nightclub with a glowing all-season bar.
The group held major gastronomic promotions for ultra-premium SKUs in Moscow and other regions: guests were served special compliments from the chef when ordering a bottle of Beluga Gold Line (in 116 restaurants) or Beluga Epicure by Lalique (in 25 restaurants).
The new Beluga Noble Espresso cocktail was added to the menus of 95 Moscow and regional establishments, including the key restaurants run by White Rabbit Family (White Rabbit, Gvidon, She), Novikov Group (Vanil, Prichal), Pinsky & Co (Patriki, Loona), and others.
Seasonal cocktail menus also appeared in trendy Moscow restaurants: Yauza Place and Buro TSUM. Master bartenders developed unique Beluga vodka cocktails.
During the high season, custom-sized Beluga retail equipment was placed in the largest hypermarkets of Moscow and Saint Petersburg: luminous Ferris wheel-shaped Beluga installations appeared in 47 Lenta, Auchan, Okey, and METRO chain stores.
From October to December, 700 Beluga Hunting bitters tastings were held in the primary turnovergenerating supermarkets of the Lenta, Globus, Perekrestok, and METRO chains. Revamped bright red barrels with minimalist logos featured tap machines with neon-lit elements for serving the bitters neat. Meanwhile, promoters wearing trendy branded hoodies that read Nice to Mix You told the customers about the product and invited them to taste it. The participants tallied over 10,000 per week.
Beluga placed branded Equilibrium installations based on the Caviar Jar concept in the windows of flagship WineLab stores in Moscow and Saint Petersburg.
In the winter, Beluga branded dozens of restaurants in various Russian cities, half of which became brand embassies. In particular, branded tables and Christmas trees with decorations shaped like caviar jars were installed.
Beluga Hunting has already become an integral part of winter holidays: for the ski season, the brand decorated the most iconic locations and launched major promotional campaigns. The highlights included seasonal menus with hot cocktails, the Buy Five Shots of Beluga Hunting and Get a Gift promotion, as well as quests and contests in Krasnaya Polyana bars.
During the summer season, Beluga branded 108 establishments in 23 Russian cities, including Moscow, Saint Petersburg, and Sochi, supplying plaids, pillows, and other elements with the brand logo and adding Beluga vodka and cocktails based on it to their menus. A total of 28 locations became brand embassies.
Beluga Hunting-themed summer branding appeared in 37 establishments, 12 of which became brand embassies. Some of the most notable projects included Community, where Beluga placed poufs in addition to branded plaids, pillows, staff uniforms, and other elements; Rovesnik, with ticker tape-inspired custom branding, retro slot machines, and a gobo projector; Zelenaya Sobaka; BIZI, with DJ booths adorned with Hunting-style neon elements; and IZI nightclub with a glowing all-season bar.
The group held major gastronomic promotions for ultra-premium SKUs in Moscow and other regions: guests were served special compliments from the chef when ordering a bottle of Beluga Gold Line (in 116 restaurants) or Beluga Epicure by Lalique (in 25 restaurants).
The new Beluga Noble Espresso cocktail was added to the menus of 95 Moscow and regional establishments, including the key restaurants run by White Rabbit Family (White Rabbit, Gvidon, She), Novikov Group (Vanil, Prichal), Pinsky & Co (Patriki, Loona), and others.
Seasonal cocktail menus also appeared in trendy Moscow restaurants: Yauza Place and Buro TSUM. Master bartenders developed unique Beluga vodka cocktails.
During the high season, custom-sized Beluga retail equipment was placed in the largest hypermarkets of Moscow and Saint Petersburg: luminous Ferris wheel-shaped Beluga installations appeared in 47 Lenta, Auchan, Okey, and METRO chain stores.
From October to December, 700 Beluga Hunting bitters tastings were held in the primary turnovergenerating supermarkets of the Lenta, Globus, Perekrestok, and METRO chains. Revamped bright red barrels with minimalist logos featured tap machines with neon-lit elements for serving the bitters neat. Meanwhile, promoters wearing trendy branded hoodies that read Nice to Mix You told the customers about the product and invited them to taste it. The participants tallied over 10,000 per week.
Beluga placed branded Equilibrium installations based on the Caviar Jar concept in the windows of flagship WineLab stores in Moscow and Saint Petersburg.
On February 19, as part of our partnership with Garage Museum, we held an annual winter party to celebrate the release of the Beluga Noble Winter limited-edition vodka. The party began at a skating rink in Gorky Park and continued with a rooftop Mika Vino concert and a DJ set by Danya Radlov. The guests kept themselves warm with hot and spicy Beluga Noble cocktails and tabletop curling.
As per tradition, the brand supported the Moscow Polo Club’s winter and summer tournaments. Participants and winners received gifts from Beluga.
In the fall, the brand partnered up with the blazar young contemporary art fair, where the Beluga Noble Espresso cocktail was inaugurated. Meanwhile, Gostiny Dvor hosted the milestone 10th Cosmoscow contemporary art fair, where a white and glossy Beluga bar, positioned in the center next to the Artist of the Year’s works, became a prominent point of attraction.
In addition to significant cultural outings, Beluga customarily supported key business events: the 25th anniversary Saint Petersburg International Economic Forum (SPIEF) and the Eastern Economic Forum (EEF).
On January 31, the brand took part in New Year parties in three fashionable Moscow establishments: the Blanc and Yauza Place restaurants and the Strelka bar. On top of comprehensive branding, the guests were treated to unique Beluga vodka-based cocktails.
In 2022, the Beluga Hunting brand supported a dozen youth events. The total number of visitors exceeded 30,000.
As per tradition, the brand supported the Moscow Polo Club’s winter and summer tournaments. Participants and winners received gifts from Beluga.
In the fall, the brand partnered up with the blazar young contemporary art fair, where the Beluga Noble Espresso cocktail was inaugurated. Meanwhile, Gostiny Dvor hosted the milestone 10th Cosmoscow contemporary art fair, where a white and glossy Beluga bar, positioned in the center next to the Artist of the Year’s works, became a prominent point of attraction.
In addition to significant cultural outings, Beluga customarily supported key business events: the 25th anniversary Saint Petersburg International Economic Forum (SPIEF) and the Eastern Economic Forum (EEF).
On January 31, the brand took part in New Year parties in three fashionable Moscow establishments: the Blanc and Yauza Place restaurants and the Strelka bar. On top of comprehensive branding, the guests were treated to unique Beluga vodka-based cocktails.
In 2022, the Beluga Hunting brand supported a dozen youth events. The total number of visitors exceeded 30,000.
The brand added new visual and textual content to its websites: beluga-vodka.com, beluga-hunting.com, and beluga-epicure.com, and added a feedback form that allows consumers to request information about the products and leave their suggestions.
RANKINGS
place
AMONG the most trendy vodka brands
5
place
among the best-selling global vodka brands
8
Our flagship Beluga brand placed high in the annual Drinks International 2022 rating.
Belenkaya
Belenkaya continued to conquer the digital space and was featured in several popular music videos. Belenkaya also ranked among the top 15 global vodka brands as per Drinks International and among the top 20 global vodka brands as per Impact.
Golubitskoe Estate
On December 8, Anna Gradinar, a 22-year-old assistant winemaker from Golubitskoe Estate, placed first in the fifth season finale of Young Vine, the All-Russian competition for young winemakers. She passed the theory quiz with flying colors and proved her skills in viticulture, winemaking technology, wine tasting, and blending. The judges — the chief winemakers of Kuban-Vino (Vanda Botnar) and Abrau-Durso (Georges Blanck) — named her the best among 30 finalists. The grand prize was a scholarship for vocational training from Young Vine partners.
In December, the ninth edition of Author’s Wine Guide by Arthur Sarkissian was presented at the large-scale event Discovering a Wine Country 2022. While preparing the guide, the team visited 105 vineyards in seven regions of Russia, tasted 2,675 wines, and included the best of them in the list. It featured eight samples from the Golubitskoe Estate collection.
In December, the ninth edition of Author’s Wine Guide by Arthur Sarkissian was presented at the large-scale event Discovering a Wine Country 2022. While preparing the guide, the team visited 105 vineyards in seven regions of Russia, tasted 2,675 wines, and included the best of them in the list. It featured eight samples from the Golubitskoe Estate collection.
Tête de Cheval
Tête de Cheval supported the milestone 10th Cosmoscow contemporary art fair.
The brand has expanded its global presence by supplying sparkling wines from the Taman Peninsula to local chain outlets in Israel.
Two Tête de Cheval products have been included in the ninth edition of Arthur Sarkissian’s Author’s Wine Guide.
The brand has expanded its global presence by supplying sparkling wines from the Taman Peninsula to local chain outlets in Israel.
Two Tête de Cheval products have been included in the ninth edition of Arthur Sarkissian’s Author’s Wine Guide.
Fox & Dogs
In the summer of 2022, the brand launched a new wave of its major online project WTFest to support street culture. The event was held as part of the Summer Sound festival, which took place in the art space at the Flacon factory.
The brand served Fox & Dogs signature whiskey cocktails in memorable, trendy glasses at its bar while stylish raincoats ensured that the guests could keep having fun despite the summer rain.
One could not only buy tickets to the festival but also win them by posting creative street-style works and tagging Fox & Dogs on social media. The brand collaborated with artists and opinion leaders to select 42 winners, each of whom visited Summer Sound for free in the company of a friend.
A total of 120,000 guests attended the festival; the contest announcement on social media reached 8.5 mln users.
The brand served Fox & Dogs signature whiskey cocktails in memorable, trendy glasses at its bar while stylish raincoats ensured that the guests could keep having fun despite the summer rain.
One could not only buy tickets to the festival but also win them by posting creative street-style works and tagging Fox & Dogs on social media. The brand collaborated with artists and opinion leaders to select 42 winners, each of whom visited Summer Sound for free in the company of a friend.
A total of 120,000 guests attended the festival; the contest announcement on social media reached 8.5 mln users.
Orthodox
Vladimir Mukhin, the chef of White Rabbit restaurant, remains a brand ambassador of Orthodox vodka. He helped the brand with several activities, including Orthodox: Russia Reborn. As part of the project, the chef developed six amazing variations of famous specialties, using Orthodox vodka as the secret ingredient.
The brand also released three videos featuring chef Viktor Beley, in which he shares his interpretations of classic recipes and proves that traditions still have a place in the modern world. Turning to the roots, Viktor rethinks the familiar dishes, turning them into veritable masterpieces.
Another notable collaboration of 2022 was a joint project with the restaurant #SibirSibir in Novosibirsk. As part of the project, the brand covered the entire walls of the restaurant’s special vodka room with thousands of bottles and placed Orthodox-branded stem shot glasses, perfect for serving the drink, in a sophisticated vodka cabinet and on a mirror table.
The brand also released three videos featuring chef Viktor Beley, in which he shares his interpretations of classic recipes and proves that traditions still have a place in the modern world. Turning to the roots, Viktor rethinks the familiar dishes, turning them into veritable masterpieces.
Another notable collaboration of 2022 was a joint project with the restaurant #SibirSibir in Novosibirsk. As part of the project, the brand covered the entire walls of the restaurant’s special vodka room with thousands of bottles and placed Orthodox-branded stem shot glasses, perfect for serving the drink, in a sophisticated vodka cabinet and on a mirror table.
Green Baboon
In 2022, the brand continued its Green Baboon Harlem Shake campaign featuring famous bloggers and musicians. In the company of the eccentric gin, they held contests and awarded the winners unique prizes. The posts received a great deal of positive feedback, with the project’s cumulative reach exceeding 3.5 mln views.
July marked the Russian gin’s debut in the Middle East, with three Green Baboon gin varieties (Classic, Pink, and Citrus) becoming available in the Duty Free shop of Beirut International Airport. In September, the shop received a colorful popup zone, which immediately became a traveler magnet thanks to its spectacular product display, a stylish bar offering to taste cocktails featuring any of the three gin flavors, and an attractive special offer under which free suitcase covers were offered when buying two or more gin bottles.
This fall, Green Baboon became a partner of the blazar young contemporary art fair, an official satellite of Cosmoscow. The capital’s finest gathered at the exhibition to admire the works of prominent artists aged under 35, including a joint project by Green Baboon and painter Arina Vesna. Inspired by the brand’s image and daring DNA, she created sketches featuring its mascot, a green monkey, that set the tone for the party in the museum’s courtyard.
July marked the Russian gin’s debut in the Middle East, with three Green Baboon gin varieties (Classic, Pink, and Citrus) becoming available in the Duty Free shop of Beirut International Airport. In September, the shop received a colorful popup zone, which immediately became a traveler magnet thanks to its spectacular product display, a stylish bar offering to taste cocktails featuring any of the three gin flavors, and an attractive special offer under which free suitcase covers were offered when buying two or more gin bottles.
This fall, Green Baboon became a partner of the blazar young contemporary art fair, an official satellite of Cosmoscow. The capital’s finest gathered at the exhibition to admire the works of prominent artists aged under 35, including a joint project by Green Baboon and painter Arina Vesna. Inspired by the brand’s image and daring DNA, she created sketches featuring its mascot, a green monkey, that set the tone for the party in the museum’s courtyard.
DISTRIBUTION
BELUGA GROUP’s distribution platform consists of several complementary channels: direct sales, including group-owned WineLab retail outlets, and sales through independent distributors.
In 2022, the commercial department focused on maintaining sales stability, growing key brand sales, bolstering the discount stores segment, enhancing the customer-centric approach, and developing B2B projects, including an online store that allows retail outlet representatives to place orders for products and a portal for streamlining work with distributors. As a result, the group’s sales hit an alltime high for the third year in a row.
In 2022, the commercial department focused on maintaining sales stability, growing key brand sales, bolstering the discount stores segment, enhancing the customer-centric approach, and developing B2B projects, including an online store that allows retail outlet representatives to place orders for products and a portal for streamlining work with distributors. As a result, the group’s sales hit an alltime high for the third year in a row.
BELUGA GROUP has the largest distribution chain in the Russian alcohol industry. It enables the company to sell the entire range of inhouse and imported products across Russia. Consumers are able to purchase the group’s brands and its partners’ products in various Russian cities thanks to the daily efforts of more than 1,200 BELUGA GROUP sales employees.
RETAIL
In the reporting period, WineLab, the group-owned retail chain, continued its quantitative and qualitative development, maintaining a focus on relevant markets: Moscow, St. Petersburg, the Moscow and the Leningrad Regions, and the Far East.
+35%
The number of stores increased
and exceeded 1,350 outlets
+52.3%
The total own retail sales
increased compared to 2021
The number of stores increased
and exceeded 1,350 outlets
+35%
The total own retail sales
increased compared to 2021
+52.3%
Like-for-like sales grew by 8.3%, and the average ticket for the period went up 11.1%. E-commerce, available in the alcohol sector of Russia through the click & collect system, continued to develop, as the volume of click & collect sales increased on 115%, and the number of orders by 171%, so more than 1.2 million online orders were issued in total.
For the convenience of customers, the products of the chain are also presented on the marketplaces and online delivery services of SberMegaMarket, Wildberries, Yandex. Eda, SberMarket and Delivery Club.
For the convenience of customers, the products of the chain are also presented on the marketplaces and online delivery services of SberMegaMarket, Wildberries, Yandex. Eda, SberMarket and Delivery Club.
Among the highlights of the reporting period are the following. In the summer, the WineLab launched a points-based loyalty program, which successfully supplementing the discount program, which already has more than 5.9 million members. In November, the first store was opened in a new pick-up point format, which targets consumers who place online orders via the chain’s website or mobile app, as well as through partner marketplaces. At the end of December, the information and analytical agency INFOLine ranked WineLab among the leaders of FMCG chains' loyalty programs in Russia. The development of WineLab will continue in 2023, as this area is one of the company’s growth drivers in accordance with the BELUGA GROUP strategy.
PRODUCTION
+7.9%
the production unit’s efficiency increased
+6.7%
labor productivity grew
+7.9%
the production unit’s efficiency increased
labor productivity grew
+6.7%
Production assets of BELUGA GROUP comprise seven plants, including five distilleries Arkhangelskiy and Mariinskiy, Ussuriyskiy Balzam, Bastion, Georgievskiy. Traditions of Quality, as well as Chugunovsky Ethanol Plant in the Nizhny Novgorod Region, and the Golubitskoe Estate winery.
The priorities included ensuring the continuity of operations, keeping the distilleries fully staffed and providing them with the necessary parts, materials, and ingredients, and improving the forecasting and planning processes.
Several changes were made at the group’s key enterprises to boost their economic efficiency. For instance, Georgievskiy. Quality Traditions commissioned automated pallet wrappers and installed a 3D printer for producing select components. Mariinsky Distillery implemented a job-sharing project to teach the machine operators additional equipment maintenance skills. The ALVIZ launched a project to boost its capacity, which involves retrofitting the existing bottling lines and installing new ones. A new building with a multipurpose facility for storing 100,000 decaliters was opened at the Bastion distillery.
Several changes were made at the group’s key enterprises to boost their economic efficiency. For instance, Georgievskiy. Quality Traditions commissioned automated pallet wrappers and installed a 3D printer for producing select components. Mariinsky Distillery implemented a job-sharing project to teach the machine operators additional equipment maintenance skills. The ALVIZ launched a project to boost its capacity, which involves retrofitting the existing bottling lines and installing new ones. A new building with a multipurpose facility for storing 100,000 decaliters was opened at the Bastion distillery.
A major social project to improve workplace safety and comfort and promote employee health is still underway.
BELUGA GROUP’s production facilities are not only numbers and volumes, but also an amalgam of rich cultural heritage, centuries-old traditions, and unique recipes the company is justly proud of, with modern approaches and equipment.
LOGISTICS
The combined warehouse and transport logistics team is working tirelessly to enhance the performance of their departments and provide customers with quality services.
In the reporting period, the group opened a customs warehouse for imported products, which will help reduce its dependence on third-party providers and manage the import of goods and their release into the market. This is Russia’s largest privately-owned warehouse. On top of that, new warehouses were launched in Moscow and Saint Petersburg to redistribute the supply chains in the main sales channels for the federal key clients and the group-owned WineLab retail chain in particular. A warehouse management system is currently being integrated at all three locations.
In 2022, the group’s logistics department continued to focus on the critical task of supporting transportation while keeping the service quality high and capping the increase in shipment costs.
In Q1-Q2, work was done to facilitate logistics amid the new conditions. Other noteworthy projects included the launch of our own tank trucks to deliver raw materials from Chugunovsky Ethanol Plant to Georgievskiy. Quality Traditions distillery and the ongoing transition of transport logistics to an ERP system.
In Q1-Q2, work was done to facilitate logistics amid the new conditions. Other noteworthy projects included the launch of our own tank trucks to deliver raw materials from Chugunovsky Ethanol Plant to Georgievskiy. Quality Traditions distillery and the ongoing transition of transport logistics to an ERP system.
IMPORTS
The import portfolio dynamic totaled at
+13.8%
+13.8%
The group’s portfolio of imported spirits showed a total growth of 10.3%.
The main category drivers were Ron Barceló, Plantation and Noy. In addition, Dominican rums Barceló rank top in Russia in the category, and the positions of the Armenian cognac Noy also significantly improved.
New contracts replenished the import portfolio with more than 30 promising brands. Among them are Antidote and The Mankai gins, The Lothaire, Highland Mist, The Observatory, Irish Rover, The Galtee Mountain Boy and Fitzwilliam whiskeys, Agavita tequila, Disaronno amaretto, as well as other products demanded by Russian consumers.
The main category drivers were Ron Barceló, Plantation and Noy. In addition, Dominican rums Barceló rank top in Russia in the category, and the positions of the Armenian cognac Noy also significantly improved.
New contracts replenished the import portfolio with more than 30 promising brands. Among them are Antidote and The Mankai gins, The Lothaire, Highland Mist, The Observatory, Irish Rover, The Galtee Mountain Boy and Fitzwilliam whiskeys, Agavita tequila, Disaronno amaretto, as well as other products demanded by Russian consumers.
Imported wine sales went up 16%.
The wine import portfolio was replenished with promising products from the key wine-growing regions of the world: Austria, Italy, France and others. The active expansion of the wines' range supplied specifically for WineLab’s retail chain continued.
The wine import portfolio was replenished with promising products from the key wine-growing regions of the world: Austria, Italy, France and others. The active expansion of the wines' range supplied specifically for WineLab’s retail chain continued.
FOODSTUFFS
The company owns and runs food business, producing, marketing, and distributing dairy and meat products, crab sticks and ice cream.
This activity in the Far East is carried out by RODSTOR GROUP LLC, a subsidiary of BELUGA GROUP, which consists of three production sites, a distribution team and a chain of own convenience stores.
The group holds leading positions in the regions of presence. Marketing and sales of foodstuffs are carried out exclusively under the auspices of the local brands in the Far East. The products are distributed by direct sales through group-owned chain in the Sakhalin Region, Khabarovsk and Primorsky Territories. In other regions, products are available through distributors.
Dairy products are produced at DAKGOMZ JSC in Komsomolsk-on-Amur. The plant’s range totals at over 200 types of dairy products and ice cream.
Meat products are manufactured in Primorsky Region at Nakhodka Meat Processing Plant JSC. The plant’s product range consists of over 250 items. The main brand is Good Deeds, positioned in the premium segment.
KVEN JSC is one of the largest Russian manufacturers of surimi products. The plant is located in the Primorsky Territory in the city of Nakhodka. Under the KVEN brand, frozen and chilled surimi crab sticks with the addition of natural crab meat are produced. Also under this brand semi-finished products from fish and seafood are made. Crab sticks with natural crab meat KVEN are the best-leader in all regions of RODSTOR GROUP’s presence. The plant’s products are distributed to different Russian cities — from Anadyr to St. Petersburg.
SUSTAINABLE DEVELOPMENT
AND CHARITY
- CULTURAL INITIATIVES
- CULTURAL INITIATIVES
- CULTURAL INITIATIVES
CULTURAL INITIATIVES
BELUGA GROUP complies with the requirements of Russian laws regarding environmental protection, and strives to minimize the negative environmental impact of production and waste. Key environmental conservation areas are the rational use of natural resources, energy saving, recycling of certain materials, and correct disposal of production waste.
Environmental impact is constantly monitored at the production facilities, and the air condition at the boundary of the buffer zones is regularly checked for compliance with the maximum permissible level. These indicators are monitored quarterly, with relevant organizations involved. Useful production waste goes to recycling, while waste not subject to recycling is handed over to relevant organizations for disposal.
The limited natural resources such as water and fuel needed for production are used sparingly. Wherever possible, a closed-cycle system is used, where in recyclable materials are cleaned, recycled, and reused in production. The group systematically carries out the modernization of production facilities, aimed, among other things, at protecting the environment. Modern insulation materials are used in workshops, energy-saving technologies are introduced at the production facilities, and the use of transport is minimized.
The company also seeks to balance out its environmental footprint by investing in waste recycling facilities.
Volunteer staff members from WineLab planted 150 trees, including magnolias, mountain ash trees, lindens, hawthorns, cedars, and cherry trees in Vladivostok last fall. The initiative contributes to tree husbandry in the region and aims to boost the natural CO2 consumption process, thus mitigating the greenhouse effect. In addition, this is the chain’s way to improve and expand the green public spaces in one of the largest cities of Primorski Kray, where the WineLab retail chain first began to grow. The company will continue monitoring the tree saplings' growth and planting new trees as required.
Environmental impact is constantly monitored at the production facilities, and the air condition at the boundary of the buffer zones is regularly checked for compliance with the maximum permissible level. These indicators are monitored quarterly, with relevant organizations involved. Useful production waste goes to recycling, while waste not subject to recycling is handed over to relevant organizations for disposal.
The limited natural resources such as water and fuel needed for production are used sparingly. Wherever possible, a closed-cycle system is used, where in recyclable materials are cleaned, recycled, and reused in production. The group systematically carries out the modernization of production facilities, aimed, among other things, at protecting the environment. Modern insulation materials are used in workshops, energy-saving technologies are introduced at the production facilities, and the use of transport is minimized.
The company also seeks to balance out its environmental footprint by investing in waste recycling facilities.
Volunteer staff members from WineLab planted 150 trees, including magnolias, mountain ash trees, lindens, hawthorns, cedars, and cherry trees in Vladivostok last fall. The initiative contributes to tree husbandry in the region and aims to boost the natural CO2 consumption process, thus mitigating the greenhouse effect. In addition, this is the chain’s way to improve and expand the green public spaces in one of the largest cities of Primorski Kray, where the WineLab retail chain first began to grow. The company will continue monitoring the tree saplings' growth and planting new trees as required.
The employees of BELUGA GROUP are the main asset of the company and a guarantee of its future achievements. This is why an ethical, socially responsible personnel policy is one of the group’s priorities.
Its key areas are workplace safety and health, staff motivation and training, objective assessment of each employee’s contribution to the company’s success, and development of internal entrepreneurship and talents, as well as creating conditions for career development, professional growth, and self-fulfillment of the personnel.
In 2022, work in the are of the occupational safety service continued to eliminate hazards and risks, as well as to introduce global practices. Safety meetings are held to review incidents and best practices. Safety committees are organized at production facilities to discuss important issues and priority areas for safety improvement. Safety trainings for employees are organized both at external specialized training centers, and at internal safety courses. Systematic safety and working conditions audits are conducted, and an action plan has been drawn up for eliminating, marking, and visualizing hazardous areas and risk zones. Transparent reporting of all incidents is carried out in order to record and promptly assess the occurrence of similar incidents in other business units and take preventive measures to eliminate risks.
The equal opportunity principle is enforced in the company. Career advancement decisions are based on the employee’s operational results, professional and business qualities, expertise, initiative, and responsibility, and do not depend on their gender, race, ethnicity, religion, or other selfidentification forms.
The company provides employees with training and professional development opportunities, as well as access to educational materials, and regularly invites external experts to conduct various training programs.
The company conducts employee engagement survey, collecting feedback on satisfaction with working conditions and career prospects, as well as suggestions for possible improvements. Based on the results of these surveys, measures are taken to improve team’s loyalty, internal processes and workplace comfort.
Its key areas are workplace safety and health, staff motivation and training, objective assessment of each employee’s contribution to the company’s success, and development of internal entrepreneurship and talents, as well as creating conditions for career development, professional growth, and self-fulfillment of the personnel.
In 2022, work in the are of the occupational safety service continued to eliminate hazards and risks, as well as to introduce global practices. Safety meetings are held to review incidents and best practices. Safety committees are organized at production facilities to discuss important issues and priority areas for safety improvement. Safety trainings for employees are organized both at external specialized training centers, and at internal safety courses. Systematic safety and working conditions audits are conducted, and an action plan has been drawn up for eliminating, marking, and visualizing hazardous areas and risk zones. Transparent reporting of all incidents is carried out in order to record and promptly assess the occurrence of similar incidents in other business units and take preventive measures to eliminate risks.
The equal opportunity principle is enforced in the company. Career advancement decisions are based on the employee’s operational results, professional and business qualities, expertise, initiative, and responsibility, and do not depend on their gender, race, ethnicity, religion, or other selfidentification forms.
The company provides employees with training and professional development opportunities, as well as access to educational materials, and regularly invites external experts to conduct various training programs.
The company conducts employee engagement survey, collecting feedback on satisfaction with working conditions and career prospects, as well as suggestions for possible improvements. Based on the results of these surveys, measures are taken to improve team’s loyalty, internal processes and workplace comfort.
In 2022, the Zarya Center for Contemporary Art organized several cultural and educational events: Night of Museums promo, with a daily attendance in excess of 1,000 people, a music festival, film screenings, lectures on art, meetings with Russian and foreign artists, performances, creative workshops for children and adults, and a crash course for Far Eastern painters. The events were attended by over 11,000 people. The resumption of the Zarya international art residency program, which during the reporting period took in six artists from the Russian Far East and received 240 residency applications for 2023 as part of open enrollment, became an important milestone for the center.
Zarya boasts a free library with media resources, a co-working space, an independent bookstore, and an outdoor museum with street art objects. All events are free to attend.
The Golubitskoe Art Foundation, located on the grounds of the group’s winery in Taman, opened an art residence space in the reporting period. Designed by the Novoe bureau, the 60-sq.m space melds into the winery’s architecture and combines a workshop and a residential studio. The decor, inspired by local craft motifs, was created by designer Aleksandra Falishtynskaya.
Some of the Foundation’s most notable projects include a Taman Peninsula travel guide, published jointly with the Perito culture and travel media; the Delicate Past exhibition, curated by Aleksandra Falishtynskaya; the residency material by curator Aleksandr Burenkov, titled Not Just a Landscape: How the Art of the New Climatic Regime Views Nature and created at the Golubitskoe Art Foundation; and Mikhail Maksimov’s exhibition, Abortive Archaeology vs Lossless Archaeology.
A total of 3,279 people visited the Golubitskoe Art Foundation in 2022.
Zarya boasts a free library with media resources, a co-working space, an independent bookstore, and an outdoor museum with street art objects. All events are free to attend.
The Golubitskoe Art Foundation, located on the grounds of the group’s winery in Taman, opened an art residence space in the reporting period. Designed by the Novoe bureau, the 60-sq.m space melds into the winery’s architecture and combines a workshop and a residential studio. The decor, inspired by local craft motifs, was created by designer Aleksandra Falishtynskaya.
Some of the Foundation’s most notable projects include a Taman Peninsula travel guide, published jointly with the Perito culture and travel media; the Delicate Past exhibition, curated by Aleksandra Falishtynskaya; the residency material by curator Aleksandr Burenkov, titled Not Just a Landscape: How the Art of the New Climatic Regime Views Nature and created at the Golubitskoe Art Foundation; and Mikhail Maksimov’s exhibition, Abortive Archaeology vs Lossless Archaeology.
A total of 3,279 people visited the Golubitskoe Art Foundation in 2022.
BELUGA GROUP sees charity an integral part of the company’s activities, a systemic and targeted effort. Our business is based, among other things, on mutual support and equal opportunities, which is why our volunteer and charitable activities are focused on projects that help people to adapt to the new reality, continue to communicate, and get closer to the way of life they are used to. For example, in January, volunteers from among the company’s employees visited the home for the deaf-blind in Puchkovo, got to know its wards and the ways they communicate, and held a joint cooking workshop.
AND VALUES
EMPLOYEES
●
COMPANY VALUES
Possibility of self-realization for employees
Team spirit
Constant push for development and innovation
Mutual responsibility and trust
Assertiveness and leadership
Team spirit
Constant push for development and innovation
Mutual responsibility and trust
Assertiveness and leadership
●
●
●
●
focusing HR on business needs
In 2022, the priority areas were:
strengthening the culture of workplace safety
improving systems for motivating and retaining key employees
developing a talent management project
We continue to expand our employee training system. The number of available courses on the training portal has increased by 27; we also continue to implement specialized projects for company departments aimed at honing specific professional and general skills. We have also introduced new special programs, including several key initiatives.
The Golden Reserve: Efficiency Academy strategic program covers the production and logistics units. Its goal is to integrate Lean Six Sigma (LSS) tools into the departments' activities and involve employees of all levels in identifying growth areas and carrying out efficiency-improving tasks. During the training, the participants of this practice-oriented program have identified several growth points in their departments. For the final stage, they have been split into working groups to implement 11 LSS projects that have already demonstrated tangible economic effect. Once approved, these initiatives will be scaled to other business units within the group, and the LSS approach will cascade across all departmental positions.
The second notable training project, Performance Academy: WineLab, is aimed at teams of sales and territorial managers, improving their qualifications and skills to ensure stable growth amid major external challenges.
The Golden Reserve: Efficiency Academy strategic program covers the production and logistics units. Its goal is to integrate Lean Six Sigma (LSS) tools into the departments' activities and involve employees of all levels in identifying growth areas and carrying out efficiency-improving tasks. During the training, the participants of this practice-oriented program have identified several growth points in their departments. For the final stage, they have been split into working groups to implement 11 LSS projects that have already demonstrated tangible economic effect. Once approved, these initiatives will be scaled to other business units within the group, and the LSS approach will cascade across all departmental positions.
The second notable training project, Performance Academy: WineLab, is aimed at teams of sales and territorial managers, improving their qualifications and skills to ensure stable growth amid major external challenges.
In the reporting period, the Voluntary Medical Insurance Program, systems of material and non-material personnel motivation were improved and expanded.
BELUGA GROUP implements a number of internal projects to develop corporate culture, increase the efficiency of internal communications, and reward employees for responsibility, initiative, and professional competencies.
The Startup competition is aimed at developing internal entrepreneurship, giving employees the opportunity to offer ideas to improve business efficiency. Winners get a chance to implement their projects under the guidance of the company’s executives and go on a motivational trip once the implementation is complete.
In the reporting period, the company summed up the results of the fourth competition season, whose winners suggested adding more shock sensors to the loading equipment at storage sites. The employees fully implemented and launched their business project. The company also held the fifth season of the competition. The winning team, supervised by COO Sergey Molchanov, is working on creating a single procurement center to centralize the purchase of equipment, materials, and parts and the ordering of services.
The Startup competition is aimed at developing internal entrepreneurship, giving employees the opportunity to offer ideas to improve business efficiency. Winners get a chance to implement their projects under the guidance of the company’s executives and go on a motivational trip once the implementation is complete.
In the reporting period, the company summed up the results of the fourth competition season, whose winners suggested adding more shock sensors to the loading equipment at storage sites. The employees fully implemented and launched their business project. The company also held the fifth season of the competition. The winning team, supervised by COO Sergey Molchanov, is working on creating a single procurement center to centralize the purchase of equipment, materials, and parts and the ordering of services.
According to the annual Be Heard satisfaction survey, BELUGA GROUP’s overall employee engagement index has reached 75%. Global statistics show that organizations with similar indicator values achieve higher financial results than other market players. Teamwork, Productivity, Efficient Leadership, Development, Health and Safety, Corporate Communications, and Future Vision and Leadership were the other indices rated highly by employees.
FOR 2023
DEVELOPMENT PRIORITIES
The key areas of the company’s activities for 2023 are:
developing the loyalty program, and doubling
the e-commerce business.
the e-commerce business.
Opening new WineLab stores
of imported goods, raw products, packaging, and materials.
Entering into partnerships with new suppliers
at warehouses and in logistics and retail.
Developing automated systems
in categories with growing demand.
Developing new products
Russian Cognac, Tinctures, Whiskey, Rum, and Gin.
Bolstering positions in the non-vodka categories:
of key high-margin premium brands, Beluga and Beluga Hunting, in Russia.
Priority development
in all alcoholic beverage categories through its unique business model, which includes a group-owned retail and distribution chain.
Reinforcing its leadership
for in-demand categories, in particular, whiskey and cognac.
Expanding production capacity
CORPORATE
MANAGEMENT
BELUGA GROUP’s corporate management is based on the following principles:
The group strives to build the best possible management model, taking decisions in line with the corporate strategy and working toward comprehensive adaptation to the Russian market and the specifics of the business. The best global practices adjusted to the specific needs of the industry serve as a reference for the company.
Both the changing market and the company’s growth rate call for continuous improvement of the corporate management system. That is why BELUGA GROUP prioritizes this task in the interests of all its shareholders.
Both the changing market and the company’s growth rate call for continuous improvement of the corporate management system. That is why BELUGA GROUP prioritizes this task in the interests of all its shareholders.
attention and respect to all parties interested in the group’s activities.
transparency of business operations, timely and full disclosure of information;
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strict observance of the current legislation;
push for the most efficient use of the company’s assets to obtain economic profit;
equal treatment of all shareholders of the company;
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The General Meeting of Shareholders is the company’s highest management body. The Board of Directors that exercises the overall management of the company’s activities, determines the priority areas of work and strategic development is accountable to the General Meeting of Shareholders. The executive bodies accountable to the Board of Directors are the Chief Executive Officer and the Management Executive Committee that carries out the company’s operational management. Additional control over the group’s financial and economic activities is carried out by the internal audit department, the audit committee of the Board of Directors, an independent auditor, and the inspection committee.
The company’s shareholders participate in the group’s management by voting at the General Meeting of Shareholders in accordance with Federal Law No. 208-FZ dated December 26, 1995, "On Joint-Stock Companies": with the right to vote on all matters of their competence. In 2022, two extraordinary and one annual General Meetings of Shareholders were held.
The Board of Directors comprises nine individuals; three of them are nonexecutive directors. The Board of Directors acting in 2022 was elected at the Annual General Meetings of Shareholders on April 22, 2021 and July 6, 2022, as well as at the Extraordinary General Meeting of Shareholders on December 24, 2021.
Members of the Board of Directors acting in 2022:
1. Nikolay Belokopytov;
2. Mikhail Kashirin;
3. Alexander Mechetin;
4. Sergey Molchanov;
5. Konstantin Prokhorov;
6. Oleg Medoev.
Independent directors:
1. Rostislav Ordovsky-Tanaevsky Blanco;
2. Alexander Ikonnikov;
3. Meline Ghukasyan.
Members of the Board of Directors acting in 2022:
1. Nikolay Belokopytov;
2. Mikhail Kashirin;
3. Alexander Mechetin;
4. Sergey Molchanov;
5. Konstantin Prokhorov;
6. Oleg Medoev.
Independent directors:
1. Rostislav Ordovsky-Tanaevsky Blanco;
2. Alexander Ikonnikov;
3. Meline Ghukasyan.