Published On 08/29/2013

2012/2013 full-year Sales and Results

 

Solid performance
in line with guidance

In summary:

In 2012/13, Pernod Ricard delivered a solid performance within, as anticipated, a less favourable environment than in 2011/12:

  • Organic growth in profit from recurring operations was 6%(1), in line with the stated guidance.
  • Emerging markets(2) maintained double-digit growth(1) (+10%) despite a slowdown in the second half of the year, particularly in China. Mature markets were stable(1): strong growth in the US (+8%(1)) and declines(1) in the French and Spanish markets.
  • The Top 14 continued to drive growth(1). With sustained value growth (+5%(1)) these brands grew more quickly than the Group’s average (+4%(1)). This was particularly due to Jameson and Martell’s outstanding performances(1) and to solid growth in white spirits.
  • Premiumisation and innovation remained the Group’s growth drivers, as testified by a still highly favourable price/mix (+5%(1) for the Top 14). Premium(3) brands increased their share of sales from 73% to 75%.
  • The operating margin recorded its best growth in three years (+42 bps(1)) due to the combined effect of continued premiumisation and good control of resources.
  • The considerable decrease of € 635 million in net debt was due to a cash flow generation higher than in the previous year. The net debt / EBITDA ratio fell to 3.5(4) at the end of June 2013.

Reflecting on these results, Pierre Pringuet, Vice Chairman and Chief Executive Officer of Pernod Ricard, commented: “Despite a less buoyant environment than that of last year, we achieved our guidance.” He continued, “Our global and balanced exposure to emerging and mature markets will allow us to seize all opportunities. We therefore remain confident in our ability to pursue our growth.”

  1. Organic growth
  2. List of emerging markets available in appendix
  3. Retail price > USD 17 for spirits and > USD 5 for wine
  4. Margin and debt ratios are based, for the USD, on the average rate for the relevant periods
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About Pernod Ricard

Pernod Ricard is the world’s n°2 in wines and spirits with consolidated Sales of € 8, 987 million in FY18. Created in 1975 by the merger of Ricard and Pernod, the Group has undergone sustained development, based on both organic growth and acquisitions: Seagram (2001), Allied Domecq (2005) and Vin&Sprit (2008). Pernod Ricard holds one of the most prestigious brand portfolios in the sector: Absolut Vodka, Ricard pastis, Ballantine’s, Chivas Regal, Royal Salute and The Glenlivet Scotch whiskies, Jameson Irish whiskey, Martell cognac, Havana Club rum, Beefeater gin, Malibu liqueur, Mumm and Perrier- Jouët champagnes, as well Jacob’s Creek, Brancott Estate, Campo Viejo and Kenwood wines. Pernod Ricard employs a workforce of approximately 18,900 people and operates through a decentralised organisation, with 6 “Brand Companies” and 86 “Market Companies” established in each key market. Pernod Ricard is strongly committed to a sustainable development policy and encourages responsible consumption. Pernod Ricard’s strategy and ambition are based on 3 key values that guide its expansion: entrepreneurial spirit, mutual trust and a strong sense of ethics.  Pernod Ricard is listed on Euronext (Ticker: RI; ISIN code: FR0000120693) and is part of the CAC 40 index.

Contacts Pernod Ricard

Julia MASSIES VP, Financial Communication & Investor Relations Tel: +33 (0)1 41 00 41 07

Adam RAMJEAN Investor Relations Manager Tel: +33 (0)1 41 00 41 59

Fabien Darrigues External Communications Director Tel: +33 (0)1 41 00 44 86

Alison DONOHOE Press Relations Manager Tel: +33 (0)1 41 00 44 63

Emmanuel VOUIN Press Relations Manager Tel: +33 (0)1 41 00 44 04