Pernod Ricard, the renowned French spirits producer, has reported a 4% increase in sales within the Indian market for the first half of the ongoing fiscal year. The company, adhering to a fiscal year from July to June, notes a robust market appetite for spirits in India, as stated in its latest earnings report.
Moreover, a “strong growth” is expected in the second half (January to June 24) from India, which is the second largest market globally for Pernod Ricard after the US.
Its international brands Jameson, Absolut and The Glenlivet reported a “very strong growth” in the Indian market during the period, the company said.
Besides, its Indian whisky portfolio Seagram’s which includes IMFL (Indian-made foreign liquor) brands such as Blenders Pride, Imperial Blue and Royal Stag also reported over 4 per cent growth in sales, Pernod Ricard added.
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The company had an “acceleration in Q2 net sales against easing comparables”, according to the earnings statement.
Globally in the first half of FY24, Pernod Ricard’s sales at 6.59 billion euros declined 7 per cent. Its organic sales were down 3 per cent.
The India market contributed 11 per cent of the global net sales of Pernod Ricard in the first half of FY24, becoming the second largest contributor after the US which contributed 19 per cent.
Pernod Ricard’s premium portfolio was driving high-single-digit pricing in all regions, which was offset by lower volumes and an adverse market mix.
Pernod Ricard’s global portfolio comprises over 200 premium brands, including 100 Pipers, Chivas Regal, The Glenlivet, Absolut, Havana Club and Jacob’s Creek.
It also owns IMFL brands such as Blenders Pride, Imperial Blue and Royal Stag.
Pernod Ricard’s local unit in India has already crossed INR 25,000 crore sales mark
Pernod Ricard India posted a consolidated revenue of INR 25,039.47 crore from its operations in the financial year that ended on March 31, 2023.
Its India MD Jean Touboul in an interview last December said he expects India to become a leader in the next 10-15 years, replacing the US market as the domestic market is growing faster here than other markets.
The company expects the Indian market to triple its sales by next decade, led by macroeconomic tailwinds, extremely favourable demographic dividend and growing premiumisation in IMFL and imported brands here, Touboul had said.
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