Drinks group Pernod Ricard posted an acquisition-driven surge in first-quarter sales on Thursday, but its shares dived on disappointment over the performance of its existing brands.
Pernod's turnover jumped 55 per cent in the July-to-September quarter after it added labels from recently acquired Allied Domecq such as Ballantine's scotch and Malibu rum to a product line that includes Martell cognac, Chivas Regal scotch and Jacob's Creek wines.
On an underlying basis, the rise was a more modest 2.3 per cent for the group's existing wine and spirits labels, though its 12 historic brands did better with growth of 7 per cent.
But Pernod said that it was confident over its full-year outlook given what it called strong growth in its historical key brands plus the strength of its new arrivals.
Sales in Havana Club rum, and Chivas Regal, Jameson and The Glen Livet whiskies, all rose by 13 per cent or more, although its aniseed-based pastis brands languished in negative territory.
Pernod, which holds its annual shareholder meeting later on Thursday, said 40 per cent of Allied's business will have been integrated ahead of plan by the end of November, and should be completed by the end of March.
Disposals of non-core assets - chiefly Allied's Dunkin Donuts fast food businesses - were under way.