Guinness parent company Diageo today posted a 9 per cent rise in full-year, pre-tax profit and said people were still drinking despite the global economic slowdown.
Pre-tax profit before exceptional and goodwill charges rose to £1.98 billion (euro 3.26 billion) in the year to June.
Diageo said the key driver of its business remained its premium drinks business. "In premium drinks, top-line growth, in terms of both volume and net sales, has been maintained despite some weakening of economic conditions," said chief executive Mr Paul Walsh in a statement.
But operating profit at the Burger King fast-food chain fell 12 per cent. Mr Walsh warned the performance of the business would be affected this year by a reduction in the number of new outlets opening because of the economic downturn.
"We do not expect to see an improvement in performance before the second half of the new year," he said.
The Pillsbury business was being weakened by a decline in the food service business, although trading in this sector had picked up in the last two months, he said.
The Diageo share price fell 2.3 per cent in early trade to £6.88 on a market 0.1 per cent higher overall.
AFP