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Henkell Freixenet growth continues

Henkell Freixenet growth continues


• Successful start for the new alliance of Henkell & Co.-Gruppe and Grupo Freixenet

Organic growth for both companies with double-digit increases in Western Europe

Revenue increases in all regions (DACH, Western Europe, Eastern Europe and America)

Henkell Freixenet, the world’s leading producer of quality sparkling wine (Cava, Prosecco, Crémant, Sekt and Champagne), concluded the financial year 2018 with a revenue after consumption taxes of €823.7m. This reflects a revenue increase of +56.5%. It includes all 12 months for the Henkell & Co.-Gruppe as well as the months August – December 2018 for Grupo Freixenet following the acquisition of a 50.67% stake in Freixenet S.A. on 31st July 2018.

Both businesses achieved organic growth. Henkell & Co.-Gruppe displayed considerable growth of +9.3% taking it to €575.6m. Grupo Freixenet grew by +4.6% between August and December, delivering an increase of +4.6 % up to €248.1m.

“Both Henkell and Freixenet have enjoyed a successful start to the new alliance. Together we are growing in large steps into a globally established business. We have set ourselves the goal of selling every tenth glass of sparkling wine worldwide by 2025. Henkell Freixenet is making good progress towards achieving this target,”

said Dr Andreas Brokemper, spokesman of the Henkell Freixenet Executive Board.

For the year 2018 as a whole, Henkell Freixenet’s international core brands developed as follows:

Freixenet, as the most international sparkling wine brand, increased sales in 2018 by +4.9% to 95.6m 1/1 bottles. The newly released Freixenet Prosecco and Italian Rosé as well as Freixenet Ice developed with great success.

Mionetto, the world’s best-selling Prosecco , upped sales by +9.7 % to 23.9m 1/1 bottles. The development of the brand in Eastern Europe, Sweden, the USA and Canada deserve particular attention.

Henkell, Germany’s most exported sparkling wine brand, saw a decline in sales of -3.3% during 2018 down to 13.0m 1/1 bottles. This was a result of stock reduction in the core markets with high sales performance – Germany, Canada and Australia – while the brand grew in Western Europe.

I heart Wines, the fastest growing wine brand in the UK, managed to grow by +28.2% in 2018, achieving sales of 19.5m 1/1 bottles. I heart Prosecco advanced pleasingly as did the newly introduced I heart Champagne.

Mangaroca Batida de Côco repeated the growth it achieved following its acquisition the previous year, again increasing sales by +24.0% and reaching 1.75m 1/1 bottles. The internationally popular coconut liqueur recently received a promising addition to its range in the form of Mangaroca Batida com Rum.

The development of Henkell & Co.-Gruppe as well as Grupo Freixenet for the DACH, Western Europe, Eastern Europe and America regions were as follows:

In Germany, Austria and Switzerland (DACH), Henkell & Co.-Gruppe closed the business year 2018 with revenue of €175m (+3.5%). In Germany, above-average growth of +4.1% was achieved. Fürst von Metternich (+19.7%, 9.6m 1/1 bottles sold) as well as Wodka Gorbatschow (+11.8%, €16.9m 1/1 bottles sold) were chiefly responsible for this growth. Grupo Freixenet generated revenues of €60m during the period between August and December 2018 in the DACH region, representing a small contraction of -4.0%. Together, Henkell and Freixenet increased their share of the German sparkling wine market to above 20%.

Henkell & Co.-Gruppe concluded the financial year 2018 with a considerable growth in revenue of +21.6% to €165m. This was bolstered by the positive development of Copestick Murray in the UK as well as Mionetto Prosecco in Scandinavia, the Benelux states and France. Grupo Freixenet increased its revenue in the region between August and December by +10.3% up to €120.3m. Here, the newly launched Freixenet Prosecco and Freixenet Italian Rosé were responsible for the growth in business.

In Eastern European markets, Henkell & Co.-Gruppe achieved an increase in revenue of +11.1% to achieve €171.9m. At the same time, subsidiaries in all countries recorded double-digit growth. Bohemia Sekt reported a record year in the Czech Republic, too. Grupo Freixenet does not possess any subsidiaries in Eastern Europe. From Q2 2019, Henkell & Co. companies will assume responsibility for distributing Freixenet products.

In America, Henkell & Co.-Gruppe concluded the financial year 2018 with a revenue increase of +12.3% to reach €62.9m. The revenue of Grupo Freixenet declined slightly within the region on account of a challenging external environment in Argentina and Brazil, receding by -1.7% to €37.8m.

Since 1st January 2019, Henkell & Co.-Gruppe and Grupo Freixenet operate under the Henkell Freixenet umbrella. The Group is represented by its subsidiaries in 30 countries and distributes its brands in 150 countries across the world. As the market leader within the global sparkling wine market, Henkell Freixenet aims for a worldwide market share of 10% by 2025.

“True to the motto ‘Celebrate Life,’ we want to be present when people celebrate life’s special occasions both large and small,”

Dr. Andreas Brokemper, spokesman of the Henkell Freixenet Executive Board.


IWSR Prosecco Category 2017 – Sales in 75cl Bottles



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