By Joshua Kirby
Pernod Ricard said Wednesday that it expects continued sales momentum into the new fiscal year, and set out a dividend and buyback resumption as sales and earnings increased in fiscal 2021, driven by sales in the Americas.
The French drinks maker made a profit from recurring operations of 2.42 billion euros ($2.86 billion) in the 12 months to end-June, some 18% higher organically than the same period the previous year. The company said net income came to EUR1.31 billion, up strongly on year but still below fiscal 2019, the last full year before the global pandemic.
Sales totaled EUR8.82 billion, up 9.7% organically on year but lagging behind the EUR9.18 billion booked in fiscal 2019. The Americas region grew most strongly at 14%, helping offset declining travel retail, the company said, adding that reported sales and earnings were hit by unfavorable currency effects.
Analysts had expected sales of EUR8.76 billion, according to a consensus of six estimates provided by FactSet.
Momentum should continue into the first quarter of fiscal 2022 and beyond, Pernod boss Alexandre Ricard said. The company proposed a dividend of EUR3.12 a share, returning to fiscal 2019's level, and said a remaining EUR500 million share buyback would resume.
Write to Joshua Kirby at firstname.lastname@example.org; @joshualeokirby
(END) Dow Jones Newswires