Austria's Red Bull tops €10bn in annual sales despite slower growth

Dutch driver Max Verstappen won a third-consecutive Formula 1 championship title last year for the team owned by Red Bull. Pic: AP Photo/John Locher

Red Bull’s net sales exceeded €10bn for the first time last year, helped by rising demand for its energy drink.

The Austrian company sold more than 12 billion cans of the caffeinated beverage, a 4.8% increase from 2022, according to selected metrics published on its website. The pace of expansion slowed from two years of double-digit increases.

Net revenue, which strips out sales discounts and other incentives, rose 9% to €10.5bn, down from 24% increases in the previous two years. The company’s footprint has expanded to 177 countries since its founding in 1987.

“Sales, revenue and operative profit rose again, and reached the best levels in the company’s history,” Red Bull said on its website.

Red Bull’s beverage sales continue to be the main driver of growth even as the company expands its portfolio of sports investments. Sponsorship payments made to blue-silver helmeted sportsmen and women exceeded €1bn for the first time in 2022.

Dutch driver Max Verstappen won a third-consecutive Formula 1 championship title last year for the team owned by Red Bull. The company also operates soccer teams in Germany, New York and Brazil. It’s also filed for regulatory approval in Austria this month to buy a majority stake in the BORA-Hansgrohe road cycling team.

A privately held company that doesn’t have financial debt or publicly issued securities, Red Bull mostly offers insight into its operations via annual reports filed to the Austrian corporate registry, and the description on its website.

Mark Mateschitz, the son of founder Dietrich who died in 2022, received a €582m dividend last year from his 49% stake. Members of the Thai Yoovidhya family own the remaining 51%.

“Our growth plans for 2024 foresee a continuation of the positive developments so far, and — as usual for Red Bull — will be financed by operative cash flow,” the company said.

- Bloomberg