Pernod Ricard Faces FY26 Declines Amid Market Challenges

Pernod Ricard reported a -3.9% decline in organic net sales for FY26, with a notable -14.2% decline reported due to challenges in major markets like the US and China. The company highlighted its agile response to an evolving market landscape, focusing on strategic investments and operational efficiencies.

The Americas saw a -10% decline, notably with the US at -14%, attributed to economic moderation and inventory adjustments. Asia faced stagnation, with China declining by -19% due to a challenging macro-economic environment. Nonetheless, India showed resilience with a +7% growth driven by strong consumer demand.

Despite these challenges, Pernod Ricard defended its operating margin and streamlined structure costs by 8%. Free cash flow also saw a rise of 6%, owed to disciplined investment management. The proposed dividend remains stable at €4.70 per share.