FRANCE: Laurent-Perrier sees FY sales slide, but profits up
- FY net profits up 6.9% to EUR21.6m (US$29.4m)
- Net sales down 1.1% to EUR220.6m
- Operating profits up 1.3% to EUR40.5m
Laurent-Perrier has claimed a sales boost in exports
Laurent-Perrier has posted a fall in full-year sales, but profits were up thanks to price increases on its namesake Champagne brand.
Net profits climbed 6.9% to EUR21.6m (US$29.4m) in the 12 months to end of March, the group said today (3 June). Net sales fell by 1.1% to EUR220.6m over the same period, while operating profits increased by 1.3% to EUR40.5m.
The Champagne house blamed the sales fall on the “depressed economic climate” in France but said volume sales to export markets were up by 5%. It said the profits increases were down to an increase in gross margin because of higher average selling prices for the Laurent-Perrier brand as well as flat sales and administration costs.
Management board chairman Michel Boulaire said the company was gaining market share in overseas markets, “(encouraging) us to pursue our long-term strategy unchanged”.
Boulaire added: “Sustaining a particularly strong financial profile will help us to continue investing in a disciplined manner and with increased confidence in our production base and in promoting our brand worldwide.”
The full-year results were an improvement on Laurent-Perrier's first six months of the fiscal year, when sales were down by 5.6%. Third-quarter sales were mainly flat.
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