Rémy Cointreau: FY 2023-24 sales: -19.2% on an organic basis
Strong sequential improvement in sales in Q4: -0.7 %
2023-24 COP margin guidance confirmed
-
China : significant growth in Q4 sales, boosted by positive phasing effects and good resilience of Rémy Martin CLUB in a persistently complex market -
United States : continued destocking in Q4, amplified by negative phasing effects - EMEA: sequential improvement in Q4 sales, despite contrasting market trends
- Travel Retail: strong rise in sales in Q4; full-year sales above 2019-20 level
- Cost-cutting plan confirmed: €100m of cost savings
- 2023-24 COP margin objective confirmed: contained decrease on an organic basis
This performance includes a nearly flat sales performance in Q4 2023-24 in organic terms (-0.7%), representing a +14.3% rise compared to Q4 2019-20.
In FY 2023-24, APAC and EMEA regions grew by +2.0% and +0.7%, respectively, demonstrating resilience in the face of soft consumer trends. Following a decline in shipments in
Breakdown of sales by division:
€m
( |
FY 2023-24 |
FY 2022-23 |
Change as reported |
Organic change |
|
vs. FY 2022-23 |
vs. FY 2019-20 |
||||
Cognac |
778.6 |
1 100.0 |
-29.2% |
-25.1% |
+5.8 % |
|
387.8 |
418.9 |
-7.4% |
-4.6% |
+47.4 % |
Subtotal: Group Brands |
1,166.5 |
1,518.9 |
-23.2% |
-19.4% |
+16.6 % |
Partner Brands |
27.7 |
29.6 |
-6.6% |
-6.1% |
+2.3 % |
Total |
1,194.1 |
1,548.5 |
-22.9% |
-19.2% |
+16.2 % |
Cognac
The Cognac division saw Q4 sales rise +15.4% on an organic basis, driven by a significant increase in
In the
In
The EMEA region turned in a strong performance driven by good momentum in the
Fourth-quarter sales of the
At the same time, the EMEA region reported a steep improvement in sales backed by trends all of its geographies in a market slowed by inflation and facing stepped-up promotional activity.
Lastly, the APAC region recorded a decline in sales that reflected a slowdown in whisky sales in
Partner Brands
Sales of Partner Brands eased by -1.1% on an organic basis in the fourth quarter, hit by adverse trends in the Benelux countries.
2023-24 full-year COP margin guidance confirmed
In 2023-24
- maintained a strict and uncompromising pricing policy
- protected its gross margin in a persistently inflationary environment
- selectively reduced its marketing and communications spend, particularly for the Cognac division
- significantly reduced other operating costs
As a result, in 2023-24
The Group now anticipates that unfavourable exchange rates will cut Current Operating Profit by between -€7m and -€10m in 2023-24 (versus -€10m and -€15m previously).
About
All around the world, there are clients seeking exceptional experiences; clients for whom a wide range of terroirs means a variety of flavors. Their exacting standards are proportional to our expertise – the finely-honed skills that we pass down from generation to generation. The time these clients devote to drinking our products is a tribute to all those who have worked to develop them. It is for these Men and Women that
A conference call with investors and analysts will be held today by CFO
Related slides will also be available on the website (www.remy-cointreau.com) in the Finance section.
Appendices
Q1 2023-24 sales (April-
€m |
Reported 23-24 |
Forex 23-24 |
Scope 23-24 |
Organic 23-24 |
Reported 22-23 |
Reported change |
Organic change |
|
A |
|
|
B |
C |
A/C-1 |
B/C-1 |
Cognac |
155.1 |
-6.6 |
- |
161.6 |
292.3 |
-46.9% |
-44.7% |
|
95.0 |
-2.2 |
- |
97.2 |
109.7 |
-13.5% |
-11.4% |
Subtotal: Group Brands |
250.0 |
-8.8 |
- |
258.8 |
402.0 |
-37.8% |
-35.6% |
Partner Brands |
7.5 |
-0.1 |
- |
7.6 |
7.9 |
-5.4% |
-4.6% |
Total |
257.5 |
-8.9 |
- |
266.4 |
409.9 |
-37.2% |
-35.0% |
Q2 2023-24 sales (July-
€m |
Reported 23-24 |
Forex 23-24 |
Scope 23-24 |
Organic 23-24 |
Reported 22-23 |
Reported change |
Organic change |
|
A |
|
|
B |
C |
A/C-1 |
B/C-1 |
Cognac |
261.0 |
-23.1 |
- |
284.1 |
345.9 |
-24.5% |
-17.8% |
|
111.7 |
-5.7 |
- |
117.4 |
104.7 |
+6.7% |
+12.1% |
Subtotal: Group Brands |
372.7 |
-28.8 |
- |
401.6 |
450.6 |
-17.3% |
-10.9% |
Partner Brands |
6.4 |
0.0 |
- |
6.5 |
6.6 |
-2.3% |
-1.6% |
Total |
379.2 |
-28.9 |
- |
408.0 |
457.2 |
-17.1% |
-10.8% |
H1 2023-24 sales (April-
€m |
Reported 23-24 |
Forex 23-24 |
Scope 23-24 |
Organic 23-24 |
Reported 22-23 |
Reported change |
Organic change |
|
A |
|
|
B |
C |
A/C-1 |
B/C-1 |
Cognac |
416.1 |
-29.7 |
- |
445.8 |
638.1 |
-34.8% |
-30.1% |
|
206.7 |
-7.9 |
- |
214.6 |
214.5 |
-3.6% |
+0.1% |
Subtotal: Group Brands |
622.7 |
-37.7 |
- |
660.4 |
852.6 |
-27.0% |
-22.5% |
Partner Brands |
14.0 |
-0.1 |
- |
14.1 |
14.5 |
-4.0% |
-3.2% |
Total |
636.7 |
-37.8 |
- |
674.5 |
867.1 |
-26.6% |
-22.2% |
Q3 2023-24 sales (October-
€m |
Reported 23-24 |
Forex 23-24 |
Scope 23-24 |
Organic 23-24 |
Reported 22-23 |
Reported change |
Organic change |
|
A |
|
|
B |
C |
A/C-1 |
B/C-1 |
Cognac |
197.1 |
-10.4 |
- |
207.5 |
314.0 |
-37.2% |
-33.9% |
|
114.6 |
-4.4 |
- |
119.0 |
114.1 |
+0.4% |
+4.3% |
Subtotal: Group Brands |
311.8 |
-14.7 |
- |
326.5 |
428.1 |
-27.2% |
-23.7% |
Partner Brands |
8.1 |
0.0 |
- |
8.2 |
9.5 |
-14.0% |
-13.5% |
Total |
319.9 |
-14.8 |
- |
334.7 |
437.6 |
-26.9% |
-23.5% |
9M 2023-24 sales (April-
€m |
Reported 23-24 |
Forex 23-24 |
Scope 23-24 |
Organic 23-24 |
Reported 22-23 |
Reported change |
Organic change |
|
A |
|
|
B |
C |
A/C-1 |
B/C-1 |
Cognac |
613.2 |
-40.1 |
- |
653.3 |
952.1 |
-35.6% |
-31.4% |
|
321.3 |
-12.3 |
- |
333.6 |
328.6 |
-2.2% |
+1.5% |
Subtotal: Group Brands |
934.5 |
-52.4 |
- |
986.9 |
1 280.7 |
-27.0% |
-22.9% |
Partner Brands |
22.1 |
-0.2 |
- |
22.2 |
24.0 |
-7.9% |
-7.3% |
Total |
956.6 |
-52.6 |
- |
1 009.2 |
1 304.7 |
-26.7% |
-22.7% |
Q4 2023-24 sales (January-
€m |
Reported 23-24 |
Forex 23-24 |
Scope 23-24 |
Organic 23-24 |
Reported 22-23 |
Reported Change |
Organic change |
|
A |
|
|
B |
C |
A/C-1 |
B/C-1 |
Cognac |
165.4 |
-5.2 |
- |
170.6 |
147.9 |
+11.9% |
+15.4% |
|
66.5 |
+0.6 |
- |
66.0 |
90.3 |
-26.3% |
-27.0% |
Subtotal: Group Brands |
232.0 |
-4.6 |
- |
236.6 |
238.2 |
-2.6% |
-0.7% |
Partner Brands |
5.6 |
0.0 |
- |
5.6 |
5.6 |
-1.0% |
-1.1% |
Total |
237.5 |
-4.6 |
- |
242.1 |
243.8 |
-2.6% |
-0.7% |
H2 2023-24 sales (October 2023-March 2024)
€m |
Reported 23-24 |
Forex 23-24 |
Scope 23-24 |
Organic 23-24 |
Reported 22-23 |
Reported Change |
Organic change |
|
A |
|
|
B |
C |
A/C-1 |
B/C-1 |
Cognac |
362.6 |
-15.5 |
- |
378.1 |
461.8 |
-21.5% |
-18.1% |
|
181.1 |
-3.8 |
- |
185.0 |
204.4 |
-11.4% |
-9.5% |
Subtotal: Group Brands |
543.7 |
-19.4 |
- |
563.1 |
666.3 |
-18.4% |
-15.5% |
Partner Brands |
13.7 |
0.0 |
- |
13.7 |
15.1 |
-9.1% |
-8.9% |
Total |
557.4 |
-19.4 |
- |
576.8 |
681.4 |
-18.2% |
-15.3% |
Full year 2023-24 Sales (April 2023-March 2024)
€m |
Reported 23-24 |
Forex 23-24 |
Scope 23-24 |
Organic 23-24 |
Reported 22-23 |
Reported Change |
Organic change |
|
A |
|
|
B |
C |
A/C-1 |
B/C-1 |
Cognac |
778.6 |
-45.3 |
- |
823.9 |
1 100.0 |
-29.2% |
-25.1% |
|
387.8 |
-11.7 |
- |
399.6 |
418.9 |
-7.4% |
-4.6% |
Subtotal: Group Brands |
1 166.5 |
-57.0 |
- |
1 223.5 |
1 518.9 |
-23.2% |
-19.4% |
Partner Brands |
27.7 |
-0.1 |
- |
27.8 |
29.6 |
-6.6% |
-6.1% |
Total |
1 194.1 |
-57.2 |
- |
1 251.3 |
1 548.5 |
-22.9% |
-19.2% |
Regulated information in connection with this press release can be found at www.remy-cointreau.com
Definitions of alternative performance indicators
Rémy Cointreau’s management process is based on the following alternative performance indicators, selected for planning and reporting purposes. The Group’s management considers that these indicators provide users of the financial statements with useful additional information to help them understand its performance. These indicators should be considered as supplementing those including in the consolidated financial statements and resulting movements.
Organic sales growth:
Organic growth excludes the impact of exchange rate fluctuations, acquisitions and disposals.
The impact of exchange rate fluctuations is calculated by converting sales for the current financial year using average exchange rates from the prior financial year.
For current-year acquisitions, sales of acquired entities are not included in organic growth calculations. For prior-year acquisitions, sales of acquired entities are included in the previous financial year but are only included in current-year organic growth with effect from the actual date of acquisition.
For significant disposals, data is post-application of IFRS 5 (which reclassifies entities disposed of under “Net earnings from discontinued operations” for the current and prior financial year). It thus focuses on Group performance common to both financial years, over which local management has more direct influence.
___________________________________
1All references to “on an organic basis” in this press release refer to sales growth at constant currency and consolidation scope
2Wholesalers’ sales to retailers
View source version on businesswire.com: https://www.businesswire.com/news/home/20240425227579/en/
Investor relations: Célia d’Everlange / investor-relations@remy-cointreau.com
Media relations: Mélissa Lévine / press@remy-cointreau.com
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