Q1 sales 409.9 mln euros, up 27 organic vs est. 19.1
China sales up doubledigit in June, down doubledigit AprilMay
Eyes strong sales growth, op margin improvement in FY 202223

PARIS, July 26 Reuters Remy Cointreau said it was confident over prospects for its current financial year, after firstquarter sales beat expectations and cognac sales strongly recovered in the key Chinese market in June.

The maker of Remy Martin cognac and Cointreau liqueur said its business in China saw a doubledigit sales rebound last month, having suffered from COVID lockdowns in AprilMay, and also benefited from strong demand in Europe and the United States.

The Parisbased group said its current year through March 2023 would be another year of strong growth and improvement in its current operating margin, as price increases and strict cost control would mitigate inflationary pressures.

The pandemic has helped Remy Cointreau39;s longterm drive towards higherpriced spirits to boost profit margins, speeding a shift towards premium drinks, athome consumption, cocktails and ecommerce.

Remy Cointreau reported a rise of 27 in organic or selfgenerated sales to 409.9 million euros 419 million in the three months ended June 30, versus a forecast of 19.1 seen in a companycompiled poll of 20 analysts.

By 0701 GMT, Remy Cointreau shares gained 1.5 at 185 euros.

We believe the comments around the strong doubledigit recovery in China in June, and low level of inventories at the end of Q1, bode well…