- Top line leaps 30% in second quarter to EUR1.69bn (US$1.72bn)
- Six-month sales rise 14% to EUR3.33bn
- Hennessy Cognac’s price rises stick with “further upmarket” moves set for wider product mix
A surge in performance in the second quarter has boosted the half-year sales for Moët Hennessy.
Having reported a 2% top-line lift in the first three months of 2022 in April, the wine and spirits division of LVMH yesterday posted a 14% jump in sales from the six months to the end of June. The company highlighted the easing of logistical pressures as the period progressed, offsetting the localised Covid-related lockdowns in China, where flagship Cognac Hennessy has performed well historically.
Despite the improvement of supply chain issues, Hennessy's volumes dipped by 2% although the Champagne business enjoyed a healthy half-year on a +16% volume bump.
Hennessy accelerated its sales during the period as price increases were introduced "in all regions". Meanwhile, single malts Ardbeg and Glenmorangie both recorded "strong results", although specific numbers were not disclosed. Elsewhere, vodka brand Belvedere and Armand de Brignac Champagne, in which Moët Hennessy bought a 50% holding last year, benefitted from their focus on "high-energy" nightclubs.
While recognising a "persistently volatile economic and public health environment", the group confirmed its strategy to "move the product mix further upmarket", going forward.
Late last month, Moët Hennessy, which is 35%-owned by Diageo, added another Californian winery to its portfolio through the purchase of Joseph Phelps Vineyards.
Moët Hennessy's official half-year results announcement.
Company presentation on six-month performance.
Alcohol displays “affordable luxury” cues as value trumps volumes in 2021 - data
