During the first half of 2025, the company focused on operational efficiency and enhancing profitability—particularly through its own brands—while navigating market volatility, supply chain disruptions, and working capital financing constraints.
Group Performance Highlights
- Gross margin improved to 33.0% in Q2 2025, up from 26.6% in Q2 2024, driven by COGS optimization and a favorable sales mix.
- Operating profit reached €6.1 million, an increase of €4.6 million year-on-year, including a €4.2 million gain from the sale of a warehouse in Lithuania in March 2025.
Leadership & Governance Updates
On July 1, 2025, Normunds Stanevics was appointed CEO, bringing over 20 years of international leadership experience across multi-country operations, M&A, and crisis management. His appointment marks a key step in ABG’s strategic transformation and financial recovery.
To reinforce corporate governance, the Group introduced a new Delegation of Authority framework, monthly financial dashboards, and standardized KPI reporting.
Operational Efficiency & Strategic Focus
Despite ongoing challenges, ABG remains committed to improving operational performance and long-term profitability through:
- Efficiency gains in revenue management, sales promotion, demand planning, CRM, and lean-driven production/logistics.
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Profitability initiatives, including:
- Value/price adjustments across ABG Core brands
- Group-wide cost optimization, targeting both direct costs and overheads
- Centralized management of Baltic operations to unlock synergies