Pernod Ricard posts strong first-quarter results

Nicole Mezzasalma

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Net sales grew by 6.9% to €1.55bn ($2.24bn) compared with the same period last year

Pernod Ricard has announced a net sales increase of 6.9% to €1.55bn ($2.24bn) in the first quarter of 2007/08 (July 1 to September 30 2007), compared with €1.45bn ($2.09bn) for the same period last year. According to the company’s statement, Asian duty-free was one of the main markets experiencing growth in the region. Europe also registered “very strong growth” in duty-free, partly due to a favourable comparison with the first quarter of 2006, which was adversely affected by anti-terrorist security measures.

Organic growth was up by 11.6%, driven by the company’s 15 strategic brands, nine of which recording double-digit growth by value—Martell cognac (+39%), Jameson Irish whiskey (+24%), Ballantine’s scotch whisky (+22%), Havana Club rum (+22%), Chivas Regal whisky (+19%), Mumm champagne (+19%), Malibu (+13%), The Glenlivet whisky (+13%) and Jacob’s Creek wine (+10%).

Pernod Ricard chairman and CEO Patrick Ricard said: “First-quarter performance was excellent and again illustrated the success of our premiumisation strategy and development in emerging countries. These very good results enable the confirmation, in current market conditions and on a like-for-like basis, of guidance of strong growth in sales and operating profit from ordinary activities for Pernod Ricard in 2007/08.”