Improved performance for Pernod Ricard in the third quarter
French spirits maker Pernod Ricard reports 2% organic sales growth in the third quarter, thanks to a steadily improving Asia market and strong US dollar. Sales for the first nine months of 2014/15 totalled €6,542 million.
The numbers were helped by an improvement in the Asia-Rest of the World region, which increased by 4%, helped by a stable Chinese New Year. The company also reported an improving performance in the Americas (up 3%) and overall stability in Europe, which sat at zero per cent.
Pernod Ricard also reported that sales for the third quarter totalled €1,921 million, including organic growth of seven per cent.
Speaking about the report, Alexandre Ricard, chairman and chief executive officer, said: “Our Sales growth to date at +2% is solid and confirms the gradual improvement we had announced in October, in an environment that remains challenging. We confirm our 2014/15 guidance of organic growth in Profit from Recurring Operations between +1% and +3%.
As well as improvements in Asia and the Americas, Pernod Ricard was also boosted by strong performances by some of its Top 14 brands. The Glenlivet has experienced net sales growth of 14 per cent, while the Mumm and Perrier-Jouet Champagne brands grew by nine and eight per cent respectively. Jameson Irish whiskey also saw nine per cent net sales growth.
While the company’s Priority Premium Wines remained stable at zero per cent, Pernod Ricard did report a “very strong performance of Brancott Estate in Australia” and Jacob’s Creek decline, driven by the “highly competitive UK wine market”.