Focus - Gruppo Campari's Performance by Region, Brand
Earlier today (6 August), Campari released its half-year results. Here, just-drinks takes a closer look at the company's performance in the period by region and by brand.
The Americas - which accounts for 44.4% of group sales - saw sales leap by 49%, although most of this was down to the first-time inclusion of Lascelles deMercado's performance. In organic terms, sales in the region were up by 7.5%. Brazilian sales fell by 1.5% due to the slowdown of local brands. Argentina was credited with a "strong performance" in the half-year.
Italy - 25.7% of group sales - suffered markedly in Q1 due to widespread destocking. In the half-year, sales in the country were down by 15.7%. The second quarter suffered from "the continued weak consumer trend and very poor weather conditions". Organic sales in Q2 were down by 6.6% compared to a 26.3% tumble in Q1.
The rest of Europe - 20.6% of total sales - delivered a 4.6% lift in sales, but was flat in organic terms. While Germany, the UK and France delivered growth in Q2, the poor performance of Germany in Q1 and by Spain throughout the period hampered half-year sales. Russia, meanwhile, posted a 21% leap in sales in the six-month period.
The rest of the world, including travel retail, posted a 3.5% dip in sales in organic terms. Weakness in Australia (down by 9.8%) and tough year-on-year comparatives were highlighted. China, New Zealand, South Africa and the travel retail channel all fared well in the half-year.
Total H1 spirit sales - representing 74.3% of total sales - rose by 6.3%, again thanks to the inclusion of Lascelles deMercado's brands. In organic terms, spirits sales fell by 2.9%. Sales of the Campari brand inched up by 1.5% as the Italian softness took hold. Double-digit growth for the brand was reported for Q2 thanks to the US and Argentina, while Italy and Germany recovered partially.
Aperol suffered in the half-year due in part to poor weather across Europe in Q2 - sales were down by 10%.
The Skyy vodka portfolio delivered a 4.8% organic lift in sales, thanks not only to the US but also to Brazil, South Africa and Germany.
Wild Turkey sales rose by 3.3% thanks to double-digit growth in the US. Softness was reported in Australia and Japan, however.
The Tequila portfolio, comprising Espolon and Cabo Wabo, jumped by 12%.
The Glen Grant Scotch whisky brand posted a sales lift for the half-year of 1.3%.
Wine sales leapt by 20.4% and by 2.1% in organic terms. Cinzano sparkling wines were singled out (sales up by 5%) as were the other sparkling wine brands (collectively up by 28.5%), with Mondoro performing particularly well in Russia.
Soft drinks continued to struggle, falling by 22.1% in organic terms, due to the Q1 destocking in Italy and poor weather in the country in the second quarter.
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