Campari Achieves Double-Digit Growth In Q1, Propelled By Shipments PhasingMay 9, 2016
Italy’s Gruppo Campari enjoyed impressive sales growth in the U.S. market in the first quarter of 2016, but the company said that was partially due to shipments phasing which is expected to reverse itself over the course of the year. Campari achieved 14.8% organic sales growth in the U.S. in the three-month period ending March 31(+8.1% excluding the positive contribution of new fill Bourbon bulk sales).
Wild Turkey—particularly the core product—was a key growth driver, as were Aperol, Appleton Estate and Espolòn (the Tequila brand’s sales jumped by 80%). Skyy’s sales were up by 2.6%, due largely to the shipments phasing. Shipments growth for the Campari portfolio generally ran ahead of depletions in the quarter. The U.S. accounts for roughly one quarter of Campari’s total sales.
Overall, the Italian company’s 7.2% organic growth was offset by a negative exchange rate effect and the impact of the termination of some distribution agreements and the disposal of some non-core businesses. As such, first-quarter sales were flat on a reported basis, at €327.4 million ($373m).Subscribe to Shanken News Daily’s Email Newsletter, delivered to your inbox each morning.