By Matteo Castia
Diageo PLC reported Thursday a rise in pretax profit for fiscal 2021 on higher net sales.
The world's largest liquor maker--which owns Johnnie Walker whisky and Tanqueray gin--made a pretax profit of 3.71 billion pounds ($5.16 billion) for the year ended June 30, compared with GBP2.04 billion in fiscal 2020.
A consensus estimate taken from FactSet and based on eight analysts' projections expected Diageo's fiscal 2021 pretax profit to be GBP3.63 billion.
Net sales rose to GBP12.73 billion from GBP11.75 billion a year earlier. The company said the progress was led by the American market, its largest business area.
A consensus estimate taken from FactSet and based on 19 analysts' projections expected Diageo's fiscal 2021 net sales to come in at GBP12.57 billion.
The board declared a final dividend of 44.59 pence a share, taking the full-year payout to 72.55 pence.
The FTSE 100 company said it expects continued net sales momentum in fiscal 2022 and that it will benefit from weak comparatives for off-trade consumption despite a likely slowdown in that sector's growth rate.
Diageo said it also anticipates negative currency effects--including a stronger pound sterling--to hurt net sales and operating profit in fiscal 2022.
Write to Matteo Castia at email@example.com
(END) Dow Jones Newswires