PARIS, April 24 (Reuters) - French spirits company Remy Cointreau reported higher annual sales and kept its target for profit growth for the full year, although demand for its premium cognac slowed down in China during the final quarter.
The maker of Remy Martin cognac and Mount Gay rum, which is trying to sell more of its higher priced spirits to boost profit, said sales came in at 1.216 billion euros ($1.36 billion) for its full financial year, which ended on March 31.
“With full-year sales in line with the group’s forecasts, Remy Cointreau confirms its guidance of growth in current operating profit for the financial year 2018/19, assuming constant exchange rates and consolidation scope,” said the company.
In the fourth quarter alone, revenue came in at 297.1 million euros, marking a like-for-like rise of 7 percent, albeit a slowdown from 8.7 percent growth in the third quarter.
The increase was above analysts’ forecasts for 6.1 percent growth.
Remy Cointreau said that - as it had previously flagged - the fourth quarter reflected the negative impact of an earlier timing of the Chinese New Year in early February that had led to advance shipments of cognac in the third quarter.
$1 = 0.8915 euros Reporting by Dominique Vidalon; Editing by Sudip Kar-Gupta