ITALY: Gruppo Campari FY profits rise
Gruppo Campari expects brighter 2010
Gruppo Campari plans to raise advertising and promotion spend in 2010 after reporting a rise in full-year profits.
Milan-based Campari said today (31 March) that advertising and promotion spend will "return back to a normalised trend" in 2010 to reflect increased confidence in key markets.
The group today reported net profits of EUR137m (US$185m) for the 12 months to the end of December, up 8% on EUR126m in 2008 - including a 2% gain from foreign exchange rates.
Wild Turkey Bourbon, acquired from Pernod Ricard last year, helped Campari's net sales to grow by 7% for the year, to EUR1bn.
However, like-for-like sales fell by 1% against 2008.
Gruppo Campari CEO Bob Kunze-Concewitz said: "In 2009 we achieved strong results. Looking forward to 2010 we are confident of the positive development of our business, despite a relatively volatile environment.
"In 2010 we will benefit from the full year effect of the consolidation of our acquisitions in our distribution network. With regards to our key brand and geography combinations, we expect a balanced situation in terms of trading risks and opportunities."
The group has proposed a full year dividend of EUR0.06 per share, up 9% on 2008.
EBITDA for 2009, prior to one-off charges and gains, reached EUR265m, reflecting 9% organic growth.
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