Jameson whiskey global sales up 25%

NET SALES of Jameson whiskey rose 25 per cent worldwide in the six months to the end of December, the French spirits giant Pernod Richard said yesterday.

Announcing its results for the second half of 2011, Pernod Ricard, which owns the Jameson brand through its subsidiary Irish Distillers, said the Irish whiskey was the company’s fourth best performing drinks brand in the period. In volume terms, excluding price effects, sales of the drink rose 20 per cent.

The company, which is the world’s second-biggest spirits group behind Diageo, raised its full-year profit target, citing strong Asian demand and a recovery in the US market.

Scotch whisky Royal Salute was Pernod’s best performing brand in terms of net sales growth, while the anise-flavoured liqueur Ricard brand and Martell cognac rounded out its fastest growing brands.

The Paris-based company said it now targeted a rise of close to 8 per cent in underlying operating profits in the full year to June.

“We are confident but realistic about the economic climate,” chief executive Pierre Pringuet said.

Pernod said in a statement that for the next six months it expected “continued strong dynamism for emerging markets, a gradual improvement in the US, ongoing softness in Western Europe, with continued recession in Southern Europe”.

Pernod cautioned that consumption in France, however, would be depressed in the coming months due to the impact of the excise tax on alcohol that took effect in January.

The owner of brands including Mumm champagne and Absolut vodka made headway in its debt reduction plans.

Strong cash flow generation helped cut net debt by €310 million to €9.41 billion.

Analysts expect Pernod could be on the acquisition trail again soon once it manages to reduce the debt it racked up when it bought Vin Sprit in 2008. But Mr Pringuet told Reuters: “We do not envision strategic acquisitions over the next 12 months. We are under no pressure to make acquisitions as we have no gap in our portfolio.” – (Additional reporting: Reuters)