Scotland’s second largest whisky producer sees 'good sales growth' continuing
Chivas Brothers owner Pernod Ricard, the drinks giant that ranks as Scotland’s second largest whisky producer, has seen its quarterly sales beat forecasts thanks to strong demand in China and the US.
The French group, whose brands include Mumm champagne, Absolut vodka and Martell cognac, said it expected robust sales growth to continue through its 2022 financial year. That growth could ease a touch, however, after strong demand in China, the US and India helped the firm deliver forecast-beating organic 20 per cent growth in the first quarter of its latest year.
Pernod, which is the world's second-biggest spirits group after Johnnie Walker-owner Diageo, said consumption by people staying at home remained resilient, while the re-opening of the hospitality sector lent support during the quarter. Travel retail remains subdued due to continued Covid restrictions, the group noted.
Alexandre Ricard, chairman and chief executive, said: “We have had a very dynamic start to the year, as expected, with strong demand in most markets. The off-trade remains resilient and I am particularly pleased to note the continued recovery of the on-trade.
“We expect good sales growth to continue through [financial year 2022], albeit moderating versus Q1. We will continue to implement our strategy, notably accelerating our digital transformation and reinvesting to seize present and future growth opportunities.”
Last month, Pernod Ricard announced a deal to swallow online spirits retailer The Whisky Exchange.
Since its creation by Sukhinder and Rajbir Singh in 1999, the venture has become one of the most successful online drinks retailers with a catalogue of about 10,000 products.