Pernod Ricard reports double-digit growth in key brands in Q3
Premium- Overall, sales for the third quarter of FY21 totalled €1,955 million, the French company said
Pernod Ricard that sells the Blenders Pride and Absolute Vodka brand of spirits in India said it key brands in India reported double-digit growth for the three months ended 31 March.
“All key brands in double-digit growth in Q3, with excellent growth of international brand portfolio, and better mix within Seagram’s Indian whiskies," the liquor company said in an earnings presentation on Thursday.
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However, it flagged that a covid-19 resurgence in March and April is leading to new restrictions.
“...with USA continuing to grow mid-single-digit, China at +34% in 9 months and India back to double-digit growth in Q3," the liquor company said.
Overall, sales for the third quarter of FY21 totalled €1,955 million, the French company said. It reported an overall organic growth of over 19% and reported growth of 12.6%.
In the second quarter or quarter ended 31 December—India reported a 2% growth, though still down 6% over the first half.
For the three months to September Pernod Ricard reported a double-digit decline in its India business as India observed strict covid-linked restrictions. It, however, said its strategic international brands were very resilient in India, highlighting double-digit growth for Jameson Irish Whiskey and Ballantine’s Scotch Whisky brands.
Pernod's fiscal year begins on 1 July.
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“The sanitary situation is improving very progressively throughout the course of the first half and leading to easing of restrictions on public gatherings in Q2 and thus, the plus 2%. The off trade is now broadly open in most regions, and our production capacity has overall normalized during the first half. The Seagram's Indian whiskeys are in decline, but we do have a slight positive mix due to the stronger emphasis our teams in India have put on Royal Stag and Blenders Pride in particular. Our strategic international brands have returned to growth as well, principally led by Ballantine's, Jameson and the Glenlivet. And it's noteworthy to say that 100 Pipers is also performing well," the company’s top management said during its half-yearly and Q2 earnings call in February.
Liquor sales wavered in the country in the last fiscal as the strict lockdown drove down demand for out-of-home consumption of alcohol in bars and restaurants. However, consumers took to buying booze for consumption in-home. Companies are still expected to report a dip in sales for the full year.
A fresh wave of covid-led restrictions is again driving retail closures as well directing bars and pubs to shutter impacting sales of alcoholic beverages.
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