The Irish division of drinks group Pernod Ricard says the economic downturn is continuing to hit its sales, though the Government's cut in excise taxes has helped.
Irish Distillers Pernod Ricard said the spirits market recorded a 7% fall in sales in the 12 months to the end of June, having been 20% lower before the excise cut in the Budget.
But the company said this masked a 'continuing and chronic' decline in pubs, where sales were down 14% in the first six months of this year from a year earlier.
Irish Distillers said 2.92 million cases of Jameson whiskey were sold in the year to the end of June, up 9% on the previous year, while the value of sales rose by 12%. Sales in the US, its biggest markets, jumped by 24%.
The company recently announced an expansion plan for Jameson, which involves the development of an expanded warehousing and maturation facility at Dungourney, Co Cork.
Meanwhile, Pernod Ricard, one of the world's biggest makers of wine and spirits, said it recorded strong growth in emerging markets, but persisting difficulties in Western Europe, especially in Spain, the UK, Ireland and more recently in Greece.
The company said it experienced a 'contrasting economic environment' that saw strong growth in emerging economies, signs of recovery in Europe but only a 'very gradual recovery of consumer spending in the US against a continuing uncertain backdrop.'
Pernod Ricard said its revenues for the year ending June 2010 fell by 2% to €7.081 billion after the disposal of some of its brands including Wild Turkey and Tia Maria.
Profits from operations rose by 4% to €1.795 billion with 'outstanding' organic growth of 14% seen in Asia and the rest of the world due to dynamic sales of Martell in China and local brands in India. South Korea also saw a sales improvement as well as the duty free markets and strong growth in Africa and the Middle East.
Pernod Ricard said that Europe, excluding France, was the region most affected by the economic crisis with a 3% fall in profit from recurring operations. However, Russia and the Ukraine reported a strong upturn in the second half of the year. France saw 'satisfactory' growth of 7% during the year.
Chief executive Pierre Pringuet said the group's priorities for the current financial year were the development of its premium strategic brands, marketing investment and the reduction of debt.
The company said it would propose a dividend of €1.34 per share.
