Pernod Ricard: virus will keep hurting into 2021
The Chinese at least are drinking again.
Pernod Ricard says sales in the country rose 4% over the three months to the end of September.
The world’s second-biggest spirits maker said it was helped by the reopening of bars and restaurants there.
U.S. sales also rose, thanks to strong demand for drinking at home.
Worldwide, it was a different picture.
The maker of Havana Club rum, Chivas Regal whisky and other brands says total quarterly sales dropped 6% on the year to 2.7 billion dollars.
That was far better than the previous quarter at least, when sales fell by more than a third.
It also beat analyst expectations.
But the French distiller still sounds very cautious about the outlook.
Chief Executive Alexandre Ricard says a second wave of the virus is already hurting.
He told Reuters that would sap demand right into 2021.
The global travel slump is also battering duty-free sales.
Ricard says they’re likely to see a double-digit decline over the firm’s current financial year.
Investors were willing to look on the bright side though.
Pernod Ricard shares were up 3.8 by early afternoon Thursday (October 22).
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