French liquor group Rémy Cointreau had an excellent third quarter. Its more expensive bottles of cognac were very popular, especially in China, Japan and Singapore.
Expensive cognac was popular
In the six months after the end of its previous broken fiscal year (which ended in March 2017), the liquor manufacturer Rémy Cointreau generated a 544.4 million euro turnover, which is 6 % higher than last year. The quarterly results also show that the group had a 134.1 million euro operational profit, which is an 8.2 % improvement. Its net profit reached 90.3 million euro, which is a 17.9 % increase.
Rapidly-growing sales for its expensive cognac, sold for 50 euro and more in Asia, are the main reason for Rémy Cointreau’s growth. Sizeable investments in marketing and its distribution network clearly paid off in Asia. There was also increased demand for luxury cognac in Europe, the Middle Eas and Africa.
There is a clear distinction visible between Remy Cointreau’s more expensive cognacs and its liquors and other products. The company points to the removal of its popular Passoã liquor, which was transferred to the Dutch liquor manufacturer Bols.