31st Jan 2019 08:59
LONDON (Alliance News) - UK brewer and distiller Diageo PLC on Thursday posted an increased profit for the first half of its financial year with all regions contributing to growth.
Diageo's brands include Guinness beer and Smirnoff vodka, as well as both Gordon's and Tanqueray gin, among many others.
Shares in Diageo were up 3.9% at 2,880.00 pence on Thursday morning.
For the six months to December 31, the beer and spirits maker posted an increase in pretax profit to GBP2.63 billion from GBP2.20 billion the year before.
Diageo reported an increase of 5.8% in net sales to GBP6.91 billion from GBP6.53 billion the year before.
Asia Pacific net sales grew the most, up 13% on an organic basis with particularly strong growth in the Greater China region, where net sales increased 20%. On a reported basis, Asia Pacific net sales were up 8%.
The company also achieved volume growth to 130.5 million in the six months from 126.4 million a year before.
Diageo declared a 26.1p per share interim dividend, up 4.8% from 24.9p per share the year before.
"This half has benefited from some one-time and phasing gains in both organic net sales and operating profit, and therefore we continue to expect to deliver mid-single digit organic net sales growth for the year and to expand operating margins in line with our previous guidance of 175 [basis points] for the three years ending 30 June 2019," said Diaeo Chief Executive Ivan Menezes.
"As we deploy our strategy, we remain focused on building the long-term health of our brands and ensuring we grow our business in a consistent and sustainable way," Menezes added.
Related Shares:
Diageo