|Campari 'cautiously optimistic' as profits grow|
|Written by Gemma McKenna|
|Friday, 03 August 2012 12:09|
Gruppo Campari’s net profits have grown by 3.5% to €77.9 million, as sales have grown 5% in the half year to June 30.
The Italian company, which aside from its namesake brand, owns Skyy vodka, Wild Turkey and Frangelico, said its results were “in line with expectations” and had accelerated in the second quarter of 2012.
Overall sales were €618.3 million, up 5%; while EBITDA pre one-offs was €162.9 million, up 5.7%.
Bob Kunze-Concewitz, chief executive, said the first-half results in Europe were marked by the transition of the group’s business to the Russian new sales platform, a commercial dispute in Germany and weakening consumer confidence in Italy.
The firm’s South American business was impacted by a slowdown in consumption in Brazil, while brand building accelerated growth across North America and the business continued to grow its market share in Asia Pacific.
“Looking forward into the second half of the year, which, traditionally, weighs considerably more on full year results, we remain cautiously optimistic.
“Whilst we do not expect any improvements in the tough overall trading environment in the most challenging markets, we expect to maintain a good balance between potential upsides and downsides. Positive momentum in North America and Asia Pacific with a return to normal trading conditions in Russia and slow but gradual resolution of the trade dispute in Germany should help compensate for a very challenging environment in Italy and South America,” said Kunze-Concewitz.