Guinness drove a 20pc net sales increase in Ireland for Drinks group Diageo in the second half of last year, as growth soared above pre-Covid levels.
Worldwide, reported net sales grew 18.4pc to £9.4bn (€10.7bn), Diageo said in its half-year report on Thursday, with organic net sales up 9.4pc.
However, sales in North America slowed to 3pc on an organic basis, while its organic operating margin in the region declined due to cost inflation and what the group said was “an adverse category mix”.
North America accounted for 37pc of net sales in the second half of last year. Diageo shares fell as much as 6.1pc on the news, according to Bloomberg.
Worldwide, scotch, tequila and beer drove growth, while premium-plus brands made up 57pc of reported net sales and 65pc of organic net sales growth in the second half of 2022, Diageo said.
Reported operating profit grew 15.2pc to £3.2bn (€3.6bn), compared to the first half of the year.
While its reported operating margin declined by 92 basis points, it was offset by exceptional operating items and gains from a stronger US dollar.
Organic operating profit grew 9.7pc and organic operating margin expanded by 9 basis points.
The group is now 36pc larger than it was prior to Covid-19, said chief executive, Ivan Menezes, who congratulated staff on a “strong start” to the year.
The group gained or held share in 75pc of total net sales value in its measured markets.
It expects organic net sales growth of 5-7pc and sustainable organic operating profit growth of 6-9pc for the 2023-25 fiscal years.
“As category growth trends continue to normalise following Covid-19, winning quality market share remains a key focus,” Mr Menezes said.
“We have delivered targeted price increases across all regions, enabled by our expertise in revenue growth management and supported by strong consumer demand for our brands.
“This, combined with our culture of everyday efficiency, has allowed us to increase our investments.
“As we look to the second half of fiscal 23, whilst the operating environment remains challenging, I remain confident in the resilience of our business and our ability to navigate volatility.”