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Pernod Ricard Announces Very Strong FY23 Performance
Alexandre Ricard, Chairman and Chief Executive Officer, stated, “Pernod Ricard once again delivered a very strong full-year performance, achieving double-digit broadbased growth in sales and earnings despite a volatile environment. The relevance of our growth strategy, the desirability of our brands and the unwavering commitment and agility of our teams enabled us to gain share in most markets and strengthen pricing. Our transformational journey continues to accelerate through the deployment of tech and data-powered organizational, sales and marketing initiatives. We are making solid progress on our sustainability and responsibility roadmap to 2030. While the environment in FY24 remains challenging, I am confident in Pernod Ricard’s ability to deliver on its medium-term objectives.”
Building on their very strong FY23 performance, they confidently reiterate their FY23 to FY25 mid-term financial framework of aiming for the upper end of +4% to +7% Net Sales growth and +50/+60bps operating margin
In a challenging environment, They anticipate for FY24:
- Broad-based and diversified Net Sales growth for the full year, with soft start in Q1 amplified by high comparison basis
- Adapting to easing inflationary pressures
- Continued focus on Revenue Growth Management and operational efficiencies
- Consistent A&P ratio at c. 16% of Net Sales, dynamically optimized through KDPs3
- Disciplined investments in structure
- All leading to organic Operating Margin expansion
- Significant investments in Capex c. €800m-€1bn range and strategic inventories with a similar level to FY23 to sustainably support future growth
- Share buyback of €500m to €800m in FY24
- Negative FX impact
SOURCE: PERNOD RICARD
