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Cuervo’s Sales Increase 5.3% In First Quarter, With North America Up Nearly 15%

April 30, 2020

Grupo Cuervo saw robust sales growth in the first quarter despite the Covid-19 crisis, with its North American sales soaring 15% to MX$3.5 billion ($146m) on a volume increase of 6.4% to 2.1 million cases. Globally, the company’s sales rose 5.3% to MX$5.2 billion ($217m) during the first three months of the year, despite a volume decline of 9% to 3.4 million cases. Consolidated net income slipped 0.8% to MX$698 million ($29m) as high agave prices continued to weigh down earnings.

The company’s core Jose Cuervo brand saw global volume increase 5.8% to 1.2 million cases in the first quarter, with net sales up 18.2% to MX$1.9 billion ($79m). While Cuervo saw rapid growth in the U.S. and its international business, it was partially offset by a slowdown in Mexico, where volume fell 40% owing to softness in the Tequila category.—Daniel Marsteller

Proximo SpiritsLeading Brands in the U.S. (thousands of 9-liter case depletions)
Rank Brand Type 2018 2019 Percent
Change1
1 Jose Cuervo Tequila 3,607 3,865 7.2%
2 Jose Cuervo Margaritas Pre-Mixed Cocktail 2,224 2,331 4.8%
3 1800 Tequila 1,048 1,148 9.5%
4 1800 Ultimate Margarita Pre-Mixed Cocktail 515 594 15.2%
Total Leading Brands2 7,395 7,938 7.3%
1 based on unrounded data
2 addition of columns may not agree due to roundingSource: IMPACT DATABANK © 2020
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