Cognac boosts Rémy Cointreau sales once again
The maker of Rémy Martin Cognac and Bruichladdich Scotch whisky has reported a 7.7% organic sales increase for the first half of its fiscal year.
Rémy Cointreau’s sales hit €571.4 million (US$658m) in April-September this year, with organic growth increasing 9.1% in the second quarter. H1 growth was slower in reported terms, at +5%.
The group’s overall performance was bolstered by “remarkable growth” for the Rémy Martin portfolio, with organic sales up 11.7%. The Cognac house was “buoyed by continuing strong trends in Asia-Pacific, as well as a solid US market”.
Rémy Cointreau’s liqueurs and spirits division – which includes the Cointreau, Metaxa, Mount Gay, St-Rémy, Botanist, Bruichladdich and Port Charlotte brands – saw organic sales increase at a much slower rate of 0.8%.
According to Rémy Cointreau, the division had a “moderate start” to the fiscal year, but its performance is expected to “pick up nicely in the second half, boosted by a number of communication campaigns”.
Sales for the group’s ‘partner brands’ portfolio declined by 4.5% due to the termination of new distribution contracts with third-party spirits.
In terms of geographies, Asia Pacific delivered an “excellent performance” in H1, with “strong trends across the whole region, particularly Greater China”.
The Americas, meanwhile, accelerated in the second quarter thanks to “good momentum” for the group’s Cognac portfolio. The Europe, Middle East and Africa (EMEA) region was hit by the slowdown of its partner brands business.