Rémy Cointreau enjoys good annual profits due to strong demand in China
Paris — Rémy Cointreau achieved higher-than-expected annual profits, helped by strong demand for its premium cognacs in China, and has predicted more earnings growth this year. The maker of Rémy Martin cognac and Cointreau orange liqueur said its strategy of selling higher priced spirits to boost profit margins was delivering strong results, and the company also raised its medium-term profitability forecasts. Rémy has been focusing on selling spirits priced at $50 a bottle or more, as part of a strategy that has benefited from a rebound in Chinese demand. Its strategy has differed from that of rival Pernod Ricard, which has launched less expensive brands in China. The private consumption of drinks and spirits has been recovering in China, offsetting the impact from the country’s anti-corruption crackdown over the past few years, which had hit sales of premium brand drinks.
Rémy Cointreau added that it aimed to increase operating profits on a like-for-like basis in the current ...
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