Paris, April 29, 2022. Paris-based Rémy Cointreau generated revenue of €1.31bn in 2021-22, up +27.3% in organic terms as it benefitted from premiumisation trends and mixology.
This performance includes a decrease in revenues of -9.4% in organic terms in the fourth quarter, reflecting the Group’s efforts to control its strategic inventories before carrying out major price increases on 1 April 2022 and an unfavourable calendar effect linked to the Chinese New Year (approximately -3 points). The fourth quarter recorded an increase of +4.2% in organic terms compared to 2019-20.
All regions contributed to Rémy Cointreau’s very strong organic performance. The Americas region generated excellent growth of +30.0%, up +54.2% compared to 2019-20. The APAC region posted solid growth of +25.8%, representing a +19.8% increase in sales compared to 2019-20. The EMEA region benefited from the economic recovery and the strong momentum of the on-trade channel. Up +22.4%, the region is now on track to quickly return to its 2019-20 activity levels (-3.5%).
The Cognac division posted growth of +26.3% in organic terms in 2021-22 (including a price-mix effect of +13.8%), up +30.7% compared to 2019-20. In the fourth quarter, revenue fell by -16.7% (almost stable compared to 2019-20). While the underlying trend remained robust in the US and Europe, it was temporarily affected in China by lockdown measures. However, the impact on revenue was limited due to the traditionally low level of activity during this period. Moreover, inventory levels remained robust.
In the fourth quarter, Rémy Martin launched its new limited edition, L’Etape. This Fine Champagne Cognac is the result of a collaboration between Rémy Martin and 19 wine-growing partners of the AFC, all of whom are strongly involved in sustainable agriculture. After its ‘100 Years’ campaigns, Louis XIII unveiled its new ‘Believe in Time’ campaign.
In 2021-22, the Liquors & Spirits division achieved organic growth of +31.7% (including +24.6% in volume) in 2019-20. During the last quarter, the House of Cointreau continued to benefit from consumer enthusiasm for cocktails in the United States, notably “The Original Margarita”, which was highlighted in its new collaboration with former US football player Drew Brees. The Botanist also continued its strong growth in the on-trade channel. In particular, it reached a new stage in its development with the launch of a large-scale campaign during the Super Bowl. In China, the success of the Bruichladdich whiskies has remained robust. Taking advantage of its strong appeal to new generations, the House of Whisky has stepped up its initiatives to increase its awareness and educate consumers about its origins, terroir and tasting. Finally, the Group posted strong growth in Europe, driven by Cointreau and Metaxa. The Bruichladdich whiskies continued to boost their visibility with the launch of a new ad campaign in the United Kingdom entitled “We also make whisky.”
2021-22 outlook: full-year guidance confirmed
With annual sales in line with its expectations, Rémy Cointreau reiterates its forecasts for very strong organic growth in its current operating profit. As expected, this will be solely driven by the outstanding growth in the first half of the year.
