Quinta in the Douro Valley

Key Metrics
• Total Revenue: €500,000.
o Wine Sales:
 Bottled Wine (70,000 bottles): €440,000 (this includes both in-house production and the acquired white DOC Douro wine).
o Olive Oil Sales: €9,600 (960 bottles).
• Production:
o Vineyard: 22 hectares, producing 88 tons of grapes.
o Wine: 152,500 litres (52,500 litres bottled from in-house production, 100,000 litres sold in bulk).
o White DOC Douro Wine Acquired: 20,000 litres (bottled as part of the 70,000 bottles).
o Olive Oil: 480 litres (960 bottles).

Cost Structure
• Total Costs: €242,620.
o Labour: €99,000 (6 full-time employees)
o Agricultural Inputs: €9,900 (fertilizers, pesticides)
o Irrigation: €2,000 (drip system, energy)
o Harvesting: €5,720 (tarefeiros, lodging, and meals)
o Winemaking: €30,500 (enological products products)
o Logistics: €38,000 (transport, materials)
o Bottling: €23,000 (mobile line)
o Purchase of White DOC Douro Wine: €24,000 (20,000 litres).
o Miscellaneous: €10,000 (maintenance, insurance, admin).

EBITDA
• EBITDA: €80,000 (16% margin).

Competitive Advantages
• Diversified Portfolio: The business combines in-house production with strategic acquisitions of white DOC Douro wine, offering a diverse range of products.
• Sustainability: Efficient use of resources (drip irrigation, sustainable farming practices).
• High-Quality Production: Traditional methods combined with modern technology ensure premium wine and olive oil.
• Profitability: Strong EBITDA margin of 16%, driven by efficient cost management and diversified revenue streams.

Growth Opportunities
1. Expand Olive Oil Production: Increase olive tree cultivation to meet rising demand.
2. Optimize Wine Acquisitions: Strengthen relationships with DOC Douro suppliers for exclusive products and better pricing.
3. Enhance Direct-to-Consumer Sales: Explore online sales channels and wine tourism to increase brand recognition and profit margins.

The Quinta successfully blends tradition with innovation, achieving €500,000 in annual revenue and an EBITDA margin of 16%. The business is well-positioned for growth with diversified product offerings, sustainable practices, and strategic acquisitions of white DOC Douro wine. With a focus on quality and operational efficiency, it is poised to expand and increase profitability in the competitive Douro wine market.