French spirits producer Pernod Ricard saw its sales fall by three percent to €10.96 billion (CZK 269 billion) in the 2025 financial year, according to today’s announcement by the company. The company’s financial year ended in June. According to Reuters, sales are in line with analysts’ expectations. Profits fell by 0.8 percent to €2.95 billion.
Significant declines
The company warned of lower sales in the first quarter of fiscal year 2026 due to ongoing problems in the US and China, but at the same time expects an improvement in trends in the second half of the year. Pernod Ricard shares on the Paris Stock Exchange responded with growth, gaining around eight percent at around 11:00 a.m. CEST.
The company saw significant declines in key markets. In the US, sales fell 6 percent due to uncertainty over tariffs, which, according to the announcement, affected distributors’ inventories at the end of the fiscal year.
Restructuring plan
In China, sales fell 21 percent due to weak consumer demand and an anti-dumping investigation into European brandy. According to the company, this led to excess inventory at distributors.
The company is continuing its restructuring plan aimed at reducing costs and has confirmed its medium-term sales growth forecast of between three and six percent per year for the period 2027 to 2029.
Pernod Ricard is the second-largest Western spirits producer by revenue after Diageo. It produces brands such as Absolut vodka and Jameson whiskey.
Source: ČTK
