Demand dip for spirits in India slows Pernod Ricard sales growth
Jameson whiskey owner posts 3% rise in third quarter like-for-like sales
Pernod kept its profit outlook unchanged and achieved some robust quarterly growth in the US and Europe
Spirits maker Pernod Ricard, which owns Irish Distillers, said on Thursday that sales growth slowed slightly in the third quarter, reflecting weakness in India and the earlier timing of the Chinese New year.
Pernod, the world’s second-biggest spirits group after Diageo, kept its profit outlook unchanged and achieved some robust quarterly growth in the United States and in Europe.
Pernod Ricard posted sales of €1.987 billion in the three months to March 31st, up 3 per cent on a like-for-like basis, compared with 4 per cent growth in the second quarter.
This was, however, above the average of analysts’ estimates for 1 per cent growth in a company-compiled consensus.
The owner of Jameson whiskey, Mumm champagne, Absolut vodka and Martell cognac kept its forecast for underlying operating profit growth of between 2 per cent and 4 per cent in the full year to June 30th.
In India, which accounts for about 10 per cent of Pernod Ricard group revenue, a government ban on high-value bank notes held back local consumption. There has also been a ban on alcohol sales near highways in India since April 1st.