Remy Cointreau sees 2H recovery as profit falls

Remy Cointreau SA said Thursday that net profit for the first half of fiscal 2021 fell, although it projects a recovery in the second half.

The French spirits maker said net profit for the six months ended Sept. 30 fell to 65 million euros ($77.5 million) from EUR90.5 million for the same period the previous fiscal year. Excluding non-recurring items, profit fell to EUR65.2 million from EUR84.6 million.

Current operating profit for the group slipped to EUR106.2 million from EUR138.3 million a year earlier, marking a 22.5% decline in organic terms.

Remy Cointreau said in October it was expecting current operating profit for the first half to decline between 25% and 30% organically.

The company confirmed sales for the first half fell to EUR430.8 million from EUR523.9 million as the coronavirus pandemic continued to bite, although the second quarter showed a marked improvement from the first.

Remy Cointreau said it continues to expect a recovery in its second half, led by the U.S. and mainland China. The company expects positive organic growth in current operating profit for fiscal 2021.

Mauro Orru

source:marketwatch.com