UK markets close in 5 hours 31 minutes
  • FTSE 100

    7,038.45
    +20.98 (+0.30%)
     
  • FTSE 250

    22,277.19
    -47.00 (-0.21%)
     
  • AIM

    1,222.80
    -7.00 (-0.57%)
     
  • GBP/EUR

    1.1658
    +0.0022 (+0.19%)
     
  • GBP/USD

    1.3870
    +0.0061 (+0.45%)
     
  • BTC-GBP

    23,946.83
    -1,430.31 (-5.64%)
     
  • CMC Crypto 200

    817.72
    -122.23 (-13.00%)
     
  • S&P 500

    4,166.45
    -55.41 (-1.31%)
     
  • DOW

    33,290.08
    -533.32 (-1.58%)
     
  • CRUDE OIL

    71.90
    +0.26 (+0.36%)
     
  • GOLD FUTURES

    1,784.70
    +15.70 (+0.89%)
     
  • NIKKEI 225

    28,010.93
    -953.15 (-3.29%)
     
  • HANG SENG

    28,489.00
    -312.27 (-1.08%)
     
  • DAX

    15,522.27
    +74.23 (+0.48%)
     
  • CAC 40

    6,586.84
    +17.68 (+0.27%)
     

Remy Cointreau upbeat on outlook as annual profit beats forecasts

  • Oops!
    Something went wrong.
    Please try again later.
·1-min read
FILE PHOTO: The logo of Remy Cointreau SA is pictured in the Cointreau distillery in Saint-Barthelemy-d'Anjou near Angers
  • Oops!
    Something went wrong.
    Please try again later.

PARIS (Reuters) - French spirits group Remy Cointreau reported higher-than-expected operating profit growth for its 2020/21 fiscal year and was upbeat over prospects for this year and beyond.

The maker of Remy Martin cognac, which plans to buy back up to 1.98% of its equity capital, said it had emerged stronger from the COVID-19 crisis and anticipated an "excellent" start to its 2021/22 financial year that started on April 1.

A rebound in demand for its premium cognac in China and the United States, along with tight control over costs, lifted organic operating profit by 12.8% in the year ended March 31, beating analysts' expectations and Remy's own guidance for 10% growth.

This marked a sharp recovery from a 22% fall in group profit in the full year of 2019/20, due to the impact of the COVID pandemic that had started in China.

Remy Cointreau reiterated its goal to become a "global leader in exceptional spirits" while also building a business model more focused on sustainability.

The group was confident it would achieve a gross margin of 72% and an operating margin of 33% by 2030.

This would compare with a gross margin of 67.3% and an operating margin of 23.4% achieved in 2020/21.

(Reporting by Dominique Vidalon; Editing by Sudip Kar-Gupta)

Our goal is to create a safe and engaging place for users to connect over interests and passions. In order to improve our community experience, we are temporarily suspending article commenting