Paris, 5 February 2004 - At 31 December 2003, the Wines & Spirits Sales revenue of Pernod Ricard was 3,419 M€. This represents significant currency effect of -8,3% and excellent internal growth of +8.1% (double that of last year). This growth is due to good performance by the majority of both global and local brands in the various regions of the world.
Rejuvenation of Chivas and Martell With volume increases of +7% and +8% respectively, these two brands showed renewed growth. This revival was led in Asia, which is becoming the premier region for Chivas, and in Europe.
Dynamism of the growth drivers These have continued their rapid development due to growth in American and European markets: Jacob's Creek (+14%), Havana Club (+11%), Jameson (+8%), Amaro Ramazzotti (+9%), The Glenlivet (+7%).
Europe (excluding France): internal growth +4.7% With 40% of the Group's sales, this region grew due to the markets of southern Europe (Italy, Greece), the UK, and strong development in Czech Republic and Russia. Ireland and Poland were affected by an unfavourable environment and sales declined.
Performance of the Americas: internal growth +12.4% This region, which accounts for 22% of the Group's sales, showed remarkable commercial results: in the USA Seagram's Gin (+1%), successful launching of Seagram's Vodka, and continued strong growth by Jameson (+18%), Jacob's Creek (+26%) and The Glenlivet (+6%). A revival was seen in Venezuela, Argentina and Cuba.
Expansion in Asia/Pacific: internal growth +17.9% Spectacular growth was made in this zone, which now represents 21% of the Group's activity, particularly in China, Thailand, India and Taiwan. The main beneficiaries were Chivas, Martell, Royal Salute, 100 Pipers and the local brands. Japan and Korea, on the other hand, remain depressed.
Depression of the French market: internal growth -1.1% The volumes for Ricard (-5%), Pastis 51 (-7%) and Clan Campbell (-5%), although improved in the second half of the year, suffered from the depression of the French market. Against this difficult background, the Group has maintained its market share. France today accounts for 17% of the turnover of Pernod Ricard.
Consolidated sales revenu The consolidated annual turnover was 3,534 M€, compared with 4,836 M€ for last year. This illustrates Pernod Ricard's withdrawal from its non Wines & Spirits activities.
Conclusion Patrick Ricard, Chairman and Chief Executive, expressed his great satisfaction: "I am pleased with the commercial results for 2003, and particularly with our performance on Chivas and Martell." "We will exceed the guidance for internal growth in net operating result which we previously announced to the market." He added: " Despite unfavourable currency effects we anticipate a growth of our profit before tax & exceptional of around 5 %. 2003 saw the continuation of a rapid reduction in the Group's indebtedness."
