Pernod-Ricard reports boost from emerging market sales
PERNOD-Ricard, France's largest distiller and maker of leading Irish brand Jameson Whiskey, reported third-quarter revenue that beat estimates, boosted by sales of products including Martell cognac in emerging markets.
So-called organic sales, which exclude the effects of acquisitions and disposals, rose 5pc in the three months through March 31, out-pacing the median estimate of nine analysts surveyed for a 2.5pc increase. Total sales increased to €1.62bn from €1.54bn a year earlier, the company said today in a statement.
"The third quarter confirmed the improved business trends since the start of the financial year and strengthens our confidence in our ability to meet our targets," Pierre Pringuet, the Paris-based company's chief executive officer, said in the statement.
Pernod, the maker of Absolut vodka, is among distillers looking to emerging markets to drive growth for spirits brands as European and US sales remain sluggish. Sales in so-called mature markets, which include Europe and the US, were "stable" in the third quarter, compared with organic growth of 15pc in emerging markets.
Sales rose 7pc over nine months on the same basis, Pernod said, boosted by 15pc growth at the company's Asia/Rest of World unit, where it got 31pc of its revenue last year, as drinkers bought more cognac and whiskey.
Sales were "stable" in Europe, excluding France, as difficult economic conditions in western European countries including Spain restricted growth.