Calendar An icon of a desk calendar. Cancel An icon of a circle with a diagonal line across. Caret An icon of a block arrow pointing to the right. Email An icon of a paper envelope. Facebook An icon of the Facebook "f" mark. Google An icon of the Google "G" mark. Linked In An icon of the Linked In "in" mark. Logout An icon representing logout. Profile An icon that resembles human head and shoulders. Telephone An icon of a traditional telephone receiver. Tick An icon of a tick mark. Is Public An icon of a human eye and eyelashes. Is Not Public An icon of a human eye and eyelashes with a diagonal line through it. Pause Icon A two-lined pause icon for stopping interactions. Quote Mark A opening quote mark. Quote Mark A closing quote mark. Arrow An icon of an arrow. Folder An icon of a paper folder. Breaking An icon of an exclamation mark on a circular background. Camera An icon of a digital camera. Caret An icon of a caret arrow. Clock An icon of a clock face. Close An icon of the an X shape. Close Icon An icon used to represent where to interact to collapse or dismiss a component Comment An icon of a speech bubble. Comments An icon of a speech bubble, denoting user comments. Ellipsis An icon of 3 horizontal dots. Envelope An icon of a paper envelope. Facebook An icon of a facebook f logo. Camera An icon of a digital camera. Home An icon of a house. Instagram An icon of the Instagram logo. LinkedIn An icon of the LinkedIn logo. Magnifying Glass An icon of a magnifying glass. Search Icon A magnifying glass icon that is used to represent the function of searching. Menu An icon of 3 horizontal lines. Hamburger Menu Icon An icon used to represent a collapsed menu. Next An icon of an arrow pointing to the right. Notice An explanation mark centred inside a circle. Previous An icon of an arrow pointing to the left. Rating An icon of a star. Tag An icon of a tag. Twitter An icon of the Twitter logo. Video Camera An icon of a video camera shape. Speech Bubble Icon A icon displaying a speech bubble WhatsApp An icon of the WhatsApp logo. Information An icon of an information logo. Plus A mathematical 'plus' symbol. Duration An icon indicating Time. Success Tick An icon of a green tick. Success Tick Timeout An icon of a greyed out success tick. Loading Spinner An icon of a loading spinner.

Whisky sales buck drink giant’s trend

LINK?PING, SWEDEN- 6 FEBRUARY 2015: The Glenlivet, single malt whiskey from Scotland.
Photo Jeppe Gustafsson; Shutterstock ID 1905703507; Purchase Order: Keith Findlay; Job: Business desk editorial; 2e181462-bcb8-4703-ba99-5a55452d4c65
LINK?PING, SWEDEN- 6 FEBRUARY 2015: The Glenlivet, single malt whiskey from Scotland. Photo Jeppe Gustafsson; Shutterstock ID 1905703507; Purchase Order: Keith Findlay; Job: Business desk editorial; 2e181462-bcb8-4703-ba99-5a55452d4c65

The Glenlivet single malt whisky bucked the trend but Chivas Regal was among the losers as the Covid-19 crisis contributed to an overall decline in sales at Pernod Ricard in the first half of the French drink giant’s current trading year.

In common with some of its competitors, the firm said its business had been hit by falls in travel retail and the on-trade market, caused by pandemic restrictions, as it released its latest results yesterday.

Sales during the six months to December 31 totalled £4.38 billion, compared to £4.78bn in the first half of its 2019-20 financial year, while net profits for the period were down 6% year-on-year, at £847.8 million.

But with an improvement in the second quarter from the first three months, Pernod Ricard chairman and chief executive Alexandre Ricard said he was confident the company would emerge from the Covid-19 crisis stronger.

He added the firm was particularly encouraged by its “must win” domestic markets returning to growth.

With organic growth of 2%, The Glenlivet was one of only three of Pernod Ricard’s 13 “strategic international brands” to increase sales during the half year, along with Malibu, which leapt by 26% and Jameson Irish Whiskey, up 3%.

Sales of Chivas Regal, the firm’s flagship blended Scotch, were down 16% year-on-year.

The biggest drops in demand for brands in that division of the firm’s portfolio were suffered by Royal Salute whisky which was down 28%, Beefeater gin, which fell by 20% and Perrier-Jouet Champagne, which lost its fizz with a 19% decline.

There was better news for the company’s “speciality brands”, which include the Aberlour single malt whisky, along with a number of American whiskeys and other drinks, which recorded overall sales growth of 22%.

The firm hailed “particular dynamism” in the US, where sales were up 5%, helping it record a 2% increase across the Americas despite a “significant decline” in travel retail.

There was also a 13% increase in China and a return to growth in India of 2% during the second quarter, following a 6% fall in the previous three months.

Sales in Europe were down 5%, despite “continued very strong growth” in the UK, Germany, Russia and Poland.

Mr Ricard said: “We are particularly encouraged by our must-win domestic markets returning to growth in H1 FY21. The first half confirms the long-term sustainability and underlying strength of our business.

“Despite an uncertain and volatile environment, with disruption in the on-trade and a prolonged downturn in travel retail, we anticipate organic sales growth for full-year FY21, thanks in particular to our dynamic performance in domestic must-win markets USA, China and India.

“We will continue to implement our strategy, in particular accelerating our digital transformation, while dynamically managing resources.

“Thanks to our solid fundamentals, our teams and our brand portfolio, I am confident that Pernod Ricard will emerge from this crisis stronger.”

He added: “I would like to take this opportunity to praise our teams, whose engagement and performance are exemplary in these very challenging times, and to express our support to our on-trade and travel retail partners who continue to be impacted by the pandemic.”

Already a subscriber? Sign in

[[title]]

[[text]]