Concha y Toro Profit Rises 2.1% Despite Sales Dip in Q2
Chile · Business
Key Facts
- Net profit— CLP 19.4bn (US$21m), up 2.1% year on year.
- Revenue— CLP 233.3bn (US$256m), down 4.7% from Q2 2025.
- Volume— 7.6m nine-litre cases, a 4.7% decline.
- World Cup boost— Casillero del Diablo and Bonterra depletions grew double digits.
- Heat waves— Weak red wine consumption across Europe.
- First half— Sales CLP 425.9bn (US$467m); net profit CLP 28.2bn (US$31m).
- Outlook— 2026 harvest offers quality tailwind for H2.
Chile’s largest winemaker leaned on World Cup momentum and premium brands to lift second-quarter profit, even as revenue and volume slipped.
Concha y Toro, Chile’s biggest winemaker, posted a 2.1% rise in second-quarter net profit to CLP 19.4 billion (about US$21 million), even as sales slipped. The company told investors that a strong World Cup season and resilient premium brands helped offset weaker demand in Europe, where heat waves cut into red wine consumption.
World Cup lifts key brands: Concha y Toro
Concha y Toro said the 2026 World Cup gave a noticeable lift to its priority brands, especially Casillero del Diablo and Bonterra. These labels saw depletions grow at double-digit rates as football fans reached for familiar bottles during the tournament.
Based in Santiago, the company noted that sports events often boost wine consumption in key markets. This momentum helped cushion the blow from a 4.7% fall in overall revenue to CLP 233.3 billion (about US$256 million).
The premium focus also played a part in the resilience. Higher-margin wines like Casillero del Diablo and Bonterra performed well even as total volume dipped.
Management pointed to strong demand in Brazil, where sales grew at double-digit rates. This regional strength helped balance the softer picture in Europe.
Heat waves cool European demand
On the flip side, Europe’s heat waves weakened wine consumption, especially red wine. Hot weather reduced appetite for heavier reds, a core part of Concha y Toro’s export mix.
That drag contributed to a 4.7% drop in wine volume to 7.6 million nine-litre cases. Still, the company grew profit through better pricing and a premium-heavy portfolio.
Warmer than usual temperatures across much of Europe meant fewer people chose bold reds. This posed a particular challenge for Concha y Toro, since red wine makes up a large share of its export sales.
The company is responding by focusing on lighter styles and premium offerings. These moves aim to adapt to shifting consumer tastes in mature markets.
Half-year picture stays mixed
For the first half of 2026, Concha y Toro reported sales of CLP 425.9 billion (about US$467 million) and net profit of CLP 28.2 billion (about US$31 million). That compares with sales of CLP 453.8 billion (about US$497 million) and profit of CLP 32.8 billion (about US$36 million) a year earlier.
The second quarter alone accounted for most of the half-year earnings, according to Marketscreener. Management said the 2026 harvest gave them a quality tailwind heading into the second half, with better grapes for premium wines.
Over the six-month stretch, the sales dip was sharper, but the profit decline stayed in single digits. That shows the company’s ability to protect margins even when volumes soften.
The US market is stabilising after a soft patch, offering another source of support. This adds to the brighter outlook from Brazil and other growing regions.
Brazil grows, US stabilises
Refined Drinks, which analysed the Q2 report on Aug. 3, highlighted that Brazil is growing at double-digit rates for Concha y Toro.
The US market is also stabilising after a soft patch, according to the same analysis.
That regional contrast matters for investors. Brazil’s thirst for wine, especially premium labels, is a bright spot, while Europe’s climate challenges remind producers how much they depend on the weather.
In Brazil, the World Cup likely played a role in lifting demand for Casillero del Diablo. In the US, improving consumer confidence is helping to turn the tide after a sluggish period.
What to watch next
Concha y Toro’s strategy now centres on pushing higher-margin wines like Casillero del Diablo and expanding in Asia and the Americas. The World Cup effect is likely temporary, so sustained growth will rely on pricing power and brand strength.
For expats and investors in Latin America, Concha y Toro’s stock remains a bellwether for the region’s consumer sector. Its ability to hold profit while volumes fall shows the value of a strong brand — a lesson that applies well beyond wine.
In the coming months, the company will look to strengthen its positions in emerging markets. The second half could bring more gains if the harvest quality turns into stronger premium sales.
Management will also keep a close eye on weather patterns in Europe. A cooler summer next year could help revive red wine demand and ease current pressures.
Frequently Asked Questions
What was Concha y Toro’s net profit in Q2 2026?
Concha y Toro posted a net profit of CLP 19.4 billion (about US$21 million) for the second quarter of 2026, up 2.1% from the same period a year earlier.
Why did Concha y Toro’s revenue fall in Q2 2026?
Revenue dropped 4.7% to CLP 233.3 billion (about US$256 million), mainly because of weaker wine consumption in Europe, hit by heat waves, and a decline in overall volume.
How did the World Cup affect Concha y Toro’s sales?
The 2026 World Cup boosted depletions for Casillero del Diablo and Bonterra, both growing at double-digit rates. That helped offset some of the decline from Europe’s softer demand.
What is Concha y Toro’s outlook for the rest of 2026?
The company says the 2026 harvest gives it a quality tailwind for premium wines. Brazil is growing double digits and the US market is stabilising, which should support second-half results.
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Sources: Concha y Toro results; Diario Financiero; Reuters
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