Remy Cointreau SA on Friday posted lower sales for the third quarter of fiscal 2023 as consumption trends in the U.S. normalized following years of pandemic-fueled growth.
The Paris-based owner of Remy Martin cognac said sales for October through December slipped to 437.6 million euros ($476.6 million) from EUR440.5 million in the third quarter of fiscal 2022. Overall, sales were down 0.7% on a reported basis and 6% organically.
Cognac sales fell to EUR314 million from EUR332.7 million, down 5.6% on a reported basis and 11% organically.
The company said cognac sales in the U.S. had been dented by a high comparison basis and the normalization of consumption trends, though Remy Cointreau reported a steep rise in shipments to China ahead of the Lunar New Year.
“In APAC, the Chinese market continued to bounce back. Despite disruptions triggered by unprecedented levels of Covid, the group successfully generated robust sales growth ahead of the Chinese New Year and in anticipation of a full recovery in business,” the company said.
Remy Cointreau reiterated its guidance for the fiscal year, forecasting strong organic growth and a normalization of consumption trends in the fourth quarter.
Write to Mauro Orru at email@example.com; @MauroOrru94