Pernod’s U.S. Sales Dip 10% In First Quarter, As Destocking Continues
October 17, 2024Pernod Ricard reported sales down 5.9% on an organic basis to €2.8 billion ($3b) for its fiscal first quarter ending in September, citing significant declines in the U.S. and China with foreign exchange impacts also contributing to the challenging conditions.
U.S. sales were down 10% for the quarter, partially impacted by destocking, with sell-out value tracking at -5%. Pernod said Jameson’s performance was comparable to its competition and that the U.S. spirits market is still normalizing after the pandemic boom. For fiscal 25 in full, Pernod expects to see some improvements to its sell-out, though the company expects those improvements to be gradual.
Among Pernod’s key brands in the U.S., RTD labels from Malibu, Jameson, and Absolut all grew by double-digits in control states through August, as the parent brands declined. Another bright spot in the portfolio is Codigo 1530 Tequila, whose control state volume jumped by 45% in the year-to-date.
“We experienced a slow start to the year, notably with China in sharp decline, in a context of continuing macroeconomic weakness impacting consumer sentiment, and with the U.S. in decline, reflecting underlying sell-out performance amplified by inventory adjustments,” the company said.—Shane English
| Pernod Ricard—Key Spirits in the U.S. (thousands of 9-liter cases) |
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| Brand | Type/Origin | 2023 U.S. Volume1 |
Control States’ Volume Growth 2024 YTD2 |
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|---|---|---|---|---|---|---|
| Jameson3 | Irish Whiskey | 3,941 | -3.6% | |||
| Absolut3 | Imported Vodka | 2,796 | -3.2% | |||
| Malibu3 | Imported Rum | 2,565 | -8.4% | |||
| Kahlua | Imported Liqueur | 929 | -3.1% | |||
| Skrew Ball | Flavored Whiskey | 489 | -12.5% | |||
| Malibu RTDs | Pre-Mixed Cocktails | 469 | 11.7% | |||
| The Glenlivet | Single Malt Scotch | 445 | -12.0% | |||
| Absolut RTDs | Pre-Mixed Cocktails | 425 | 54.6% | |||
| Olmeca Altos | Tequila | 305 | 0.1% | |||
| Chivas Regal | Blended Scotch | 205 | -5.3% | |||
| Jefferson’s | American Whiskey | 161 | -7.2% | |||
| Jameson RTDs | Pre-Mixed Cocktail | 154 | 35.4% | |||
| Codigo 1530 | Tequila | 76 | 44.7% | |||
| Total Key Spirits4 | 13,346 | -2.9% | ||||
| * Less than 0.05% increase. 1 Thousands of 9-liter case depletions. 2 Year-to-date through August 3 Includes flavors; excludes RTDs 4 Addition of columns may not agree due to rounding.Source: NABCA & IMPACT DATABANK © 2024 |
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Tagged : Absolut, Jameson, Malibu, Martell, Pernod Ricard
