Moët Hennessy Sales Slip Through Three Quarters
October 12, 2023Moët Hennessy posted sales down 7% on an organic basis to €4.7 billion ($5b) for the first nine months of the year, as growth in its Champagnes & Wines unit couldn’t overcome ongoing struggles in the Cognac category. Tough comps against the prior year also weighed on results.
Moët Hennessy’s Champagnes & Wines division grew 2% organically to €2.4 billion ($2.5b) for the nine-month period, driven by the Champagne business, although the company noted “more moderate demand in the third quarter.” Expansion of Chateau d’Esclans rosé also contributed gains. Moët Hennessy’s Veuve Clicquot is the largest Champagne brand in the U.S. at 663,000 cases, according to Impact Databank.
In the Cognac & Spirits unit, sales fell 14% to €2.3 billion ($2.4b), as Hennessy Cognac “was affected in the United States by the economic environment, the post-Covid normalization of demand, and the continued high inventory levels of its retailers,” Moët Hennessy said. Hennessy Cognac’s volume registered 3.7 million cases in the U.S. last year, according to Impact Databank, leading the category by a wide margin.
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