Drinks firms raise toast to export market
AMERICAN and African drinkers helped keep sales fizzing at Diageo and SABMiller despite flagging fortunes in Europe and emerging markets.
Chief executive Paul Walsh said double-digit growth in Johnnie Walker, Buchanan’s and Tanqueray spirit sales showed a robust performance.
Diageo, which makes Johnnie Walker whisky and Guinness, said strong demand for spirits in the US and Africa helped boost sales by 4 per cent in the three months to March 31.
Growth slowed in emerging markets, with particular weakness in Brazil, where people are facing a struggling economy.
Sales fell 4 per cent in the UK and Europe where demand has flattened despite strong appetite for premium brands such as Captain Morgan rum.
Chief executive Paul Walsh said double-digit growth in Johnnie Walker, Buchanan’s and Tanqueray spirit sales showed a robust performance.
Brewer SABMiller, which makes Peroni and Grolsch, said lager volumes rose 3 per cent for the quarter, but dropped one per cent in Latin America, its biggest region. Strong trading in Zambia and Mozambique led to 9 per cent volume growth in Africa, while Europe did well.