Jameson sales rise in year to June

The value of Jameson Irish whiskey sales grew 8 per cent worldwide in the year to the end of June, despite a fall in sales volumes in Ireland and Spain.

Global parent Pernod Ricard, which operates in Ireland as Irish Distillers, said Jameson’s sales rose 2 per cent in volume terms in the first half of its financial year and by 8 per cent in terms of value

Poor consumer sentiment in Ireland, Spain and the travel retail sector had led to a fall in sales volume in these markets.

Sales of Jameson rose by 22 per cent in the United States, its biggest market. The whiskey brand achieved double-digit growth in 47 of the 50 states there.

Elsewhere, Jameson’s sales rose by 14 per cent in Russia, by 4 per cent in South Africa and by 19 per cent in eastern Europe.

Jameson sold 2.76 million cases during the year ending June 2009. Pernod Ricard has set a target of selling three million cases of Jameson by the end of 2010.

Pernod’s results were boosted by growth in France, Asia and Latin America and said it would not give forecasts for the current fiscal year until its November 2nd annual shareholder meeting but added that the business environment would continue to be tough.

"For 2009/10, Pernod Ricard anticipates a general economic environment that will remain difficult and an overall stagnation of the Wines & Spirits industry, with contrasting situations depending on countries and categories," it said in a statement.

Pernod, owner of Absolut vodka, Malibu liqueur and aniseed drinks Ricard and Pernod, said full-year recurring operating profit was €1.84 billion.

Recurring net profit was up 13 per cent at €1.01 billion, slightly ahead of the poll estimate of €998.9 million. Sales were €7.2 billion.

The company confirmed that its priority remained to reduce debt by selling assets and generating cash.

Pernod chief executive Pierre Pringuet said the group would not make a further cash call to shareholders to reduce its €10.9 billion of net debt following its €1 billion rights issue earlier this year.

Instead the company will pursue its €1 billion asset disposal programme and aim to generate free cash flow from recurring operations of close to €3 billion over the three years to 2010/11.

Pernod added that it would propose a dividend for 2008/09 of 50 cent a share.

Additional reporting Reuters