Beam Suntory’s Sales Rise By 6.5% Amid Increasing Global VolatilityFebruary 14, 2020
Beam Suntory saw solid sales growth in 2019, posting a revenue increase of 6.5% for the year. Parent company Suntory Holdings saw its total beverage alcohol sales—also including beer and wine interests—increase 2.9% to ¥796 billion ($7.3b) last year.
Beam Suntory’s flagship Jim Beam brand had a strong year in the U.S., where depletions increased 8.5% to 5.7 million cases including flavors, according to Impact Databank’s estimate. Basil Hayden’s was another dynamic performer, estimated up 37% to 345,000 cases in the U.S. last year.
Globally, Beam Suntory chief executive Albert Baladi told SND that the company “benefited from premiumization across brands and markets,” with growth for Jim Beam (+9%), Maker’s Mark (+11%), the super-premium Bourbon stable (+21%), and Courvoisier (+7%) complemented by robust gains for House of Suntory labels like Toki whisky, Roku gin, and Haku vodka. Japan became the largest export market for Jim Beam last year, driven by the Highball serve.
However, Baladi noted that while Beam Suntory remains well-positioned, volatility is on the rise across the global market. “We’ll continue to navigate geopolitical uncertainty,” he said. “It’s vitally important to return to the zero-for-zero tariff environment that benefited trading partners on both sides of the Atlantic for more than two decades. And the coronavirus situation is creating challenges in key Asia markets.”—Daniel MarstellerSubscribe to Shanken News Daily’s Email Newsletter, delivered to your inbox each morning.