Pernod Ricard has revised its predicted 20 per cent profit downgrade to 15 per cent, citing strong cost mitigation.
In late March the company said it expected an organic decline in profit from recurring options for FY20 because of COVID-19 impacts.
It had very limited business in China during February and March with slow recovery in April.
There was an assumed 80 per cent decline in travel retail trade for February to end June; a 10 per cent reduction in off-trade and no sales for on-trade from mid-March to end June.
In its 23 July trading statement to the Paris stock exchange, Pernod Ricard said the assumptions were “directionally correct” particularly in regards to China and travel retail, but there had been notable differences. India was subject to a six-week lockdown on sales and production, but there was greater resilience in the US and western Europe.
Its FY20 results will be announced on 2 September.
