Rémy Martin Cognac sales in double-digit growth

19th January, 2018 by Amy Hopkins

French drinks group Rémy Cointreau has reported a 5.5% organic sales increase for the first nine months of its 2017/18 fiscal year, with the greatest gain coming from its Cognac business.

Remy-Cointreau

Organic sales for Rémy Martin Cognac grew 11.5% in the nine months to December 2017

During the period, sales hit €862.1 million (US$105.8m) and grew 3% on a reported basis. Organic sales growth slowed to +3.2% in the group’s third quarter due to the later timing of Chinese New Year.

Organic sales for Rémy Martin Cognac grew 11.5% thanks to a strong performance in Greater China, the US, Russia, Africa and travel retail.

The company’s Liqueurs & Spirits portfolio saw organic sales decline by 3.8% following the deconsolidation of Passoã, which is now operated as a joint venture between Rémy Cointreau and Dutch drinks firm Lucas Bols.

Cointreau liqueur “continued its brisk development within newer markets”, while Greek spirit Metaxa gathered “momentum” by the end of December. However, sales of Mount Gay rum and St-Rémy liqueur were stunted by a “strategy to move [these brands] upmarket”.

Rémy Cointreau’s Scottish distilling business – The Progressive Hebridean Distillers – which includes the Bruichladdich Scotch brand, was boosted by the “strong performance” of The Botanist gin.

In terms of partner brands – those distributed by Rémy Cointreau – organic sales declined 8.5% due to “changes in the portfolio of distributed brands”.

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