Rémy hails ‘solid’ H1 as sales climb 2.5%

Rémy Cointreau put in a “good showing” for the first half of the year, with reported sales for the six months to September up 2.5%, and the second quarter posting 6.2% gains.

Growth was led by a “remarkable” performance in the Americas, the company said, with Greater China, the UK, Russia and Australia all reporting “solid” performances over the period.

In brand terms, Rémy Martin posted 5.1% organic gains, buoyed by 1738 Accord Royal in the US and Louis XIII initiatives L’Odyssée d’un Roi and the opening of its first store, in Beijing.

Following a subdued 2015/16 fiscal year, the Liqueurs and Spirits portfolio “got back on track” with 5.1% organic gains.

Cointreau enjoyed “robust growth” as end demand picked up in the US, and France and made “significant inroads” in Greater China, while Metaxa benefited from “improved momentum” in Russia/CIS and Greece, and activations in Germany.

The Islay Spirits grouping – Bruichladdich, Port Charlotte, Octomore and The Botanist – continued to see “double digit” growth in the first half driven by the US, Europe and travel retail.

Mount Gay & St Rémy were the only spirits brands to see declines, a dip Rémy Cointreau attributed to an “accelerated upscaling process” which led to a volume drop-off for entry-level products.

Brazilian liqueur Passoã did not feature in the earnings report after Lucas Bols took control of the brand as part of a joint venture arrangement.

“At the end of this first half – fully in line with the group’s forecasts – Rémy Cointreau confirms its guidance of growth in current operating profit over the 2016/17 fiscal year, assuming constant exchange rates and consolidation scope,” the company stated looking forward.

During its 2015/16 fiscal year, Rémy Cointreau enjoyed a sales boost of 8.9%, largely driven by the recovery of the global Cognac market.