Diageo beat its first-half sales forecasts as it hiked prices and more people drank premium spirits, new results show. The London-based group, which makes Tanqueray gin, Captain Morgan's rum and Ketel One vodka, said organic net sales jumped 9.4 per cent in the six months to 31 December, beating analyst forecasts for a 7.9 per cent increase. Net sales in the six months to 31 December rose 18.4 per cent to £9.4billion. Diageo's 'premium-plus' brands, which are more expensive than brands such as Smirnoff vodka, drove 65 per cent of its organic net sales growth. 'The market is currently against this type of defensive name and shares will probably be weak today after these results.
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