Pernod Ricard increases sales dynamically – stocks are nonetheless in red | 10/21/21

Pernod Ricard significantly increased its sales in the first fiscal quarter of 2021/22 (as of end of September) and benefited from dynamic development in the business with gastronomy/hotels/catering, in retail and in all regions.

Revenues from the French beverage group came to 2.72 billion euros, up 20 percent after currency adjustments compared to 2.24 billion euros in the same period a year earlier.

The group’s largest regional division, Asia/Rest of the World, also posted the strongest growth in organic sales at 23 percent. America and Europe also achieved double-digit growth rates.

Hospitality sales continued to rebound during the quarter, while supermarket retail sales remained elevated, according to maker Absolut Vodka and Jameson Whiskey.

Analysts had expected strong organic growth due to the pandemic-related weakness in the previous year. In the same period the previous year, sales fell 6 percent due to ongoing pandemic pressure on travel retailers. This category is still weak, Pernaud Rijkaard pointed out, but it has benefited from the poor comparison period.

CEO Alexandre Ricard said Pernod Ricard SA expects sales growth to continue for the remainder of the 2021/22 fiscal year, although the pace is likely to slow compared to the first quarter.

In Paris, Pernod Ricard shares temporarily lost 0.45 percent to 197.90 euros on Thursday.

Paris (Dow Jones)