Tempo's soft and alcoholic beverage maker acquired a liquor company from Cyprus

Tempo's soft and alcoholic beverage maker, led by Jacques Bar, acquired a liquor company from Cyprus - according to the company's Q2 2019 reports. Tempo paid about € 2.6 million (about NIS 10 million) for full ownership of Fereos Fourpoint Distribution ), Which deals with import, marketing and distribution, through its subsidiary Tempo Cyprus. The deal was finalized last May.
Tempo released its business results for the first half of the year, showing revenue growth of about NIS 711 million, up 7% year-over-year.
In December last year, Tempo raised prices by up to 4% on all its products for both food and restaurant chains and businesses, so its growth in sales and gross profit for the first half of the year was due in part.
The company's gross profit grew 0.6% to NIS 265 million, while net profit was 4%, and amounted to NIS 34.5 million, partly due to the application of IFRS16. In addition, the company's gross margin declined to 37.3% of sales, compared with 39.5% in the same period last year.
Tempo details its results by dividing it into three sectors - alcohol, soft drinks and Barkan Winery - indicating that beer sales are characterized by higher operating profit than the other areas in which it operates.
Alcoholic beverages sales, including brands such as Goldstar, Maccabi and Heineken, grew by 9% to NIS 280 million. Tempo reveals that the total revenue derived from the beer products company is about 54% of the total alcoholic beverage business revenue. The sector's profit was 7%, and amounted to NIS 47 million. This activity is characterized by a higher rate of operating profit than the company's other activities, which is due, among other things, to "self-production of beer in the company's brewery and the strength of the beer brands".