Diageo sees operating profit increase in H1 | Progresiv
Drinks giant Diageo has posted a 15% increase in reported net sales in the first half of its financial year, of 12.05 billion pounds. Organic sales growth was 4% for the period. 
The Smirnoff and Johnnie Walker owner posted operating profit before exceptional items of 3.6 billion pounds, up from the 3 billion pounds it posted in the same period last year.
“We delivered a strong set of results including broad based improvement in organic net sales and operating profit," commented Ivan Menezes, Diageo chief executive.
"Our performance demonstrates the effective delivery of our strategy through disciplined execution of our six priorities put in place four years ago. We have delivered consistent strong performance improvement across all regions and I am pleased with progress in our focus areas of US Spirits, scotch and India."
Divisional Performance
In the group's Europe, Russia and Turkey division, net sales were up 4%, with Continental Europe and Great Britain the main contributors to this growth, with its Johnnie Walker, Baileys and Captain Morgan brands posting the most growth.
In North America, the group delivered net sales growth of 3%, with improvements in its US Spirits and Diageo Beer Company USA businesses. Scotch sales grew 8%, driven by Johnnie Walker Black Label, Buchanan’s and reserve variants, the company said.
Its Africa division posted net sales growth of 5%, with all markets performing strongly except East Africa, while Latin America and Caribbean delivered 2% growth in volume and 9% growth in net sales. Net sales in Asia Pacific were up 3%. (www.esmmagazine.com)
