Diageo has confirmed that net sales of Guinness in Ireland fell by 6% during the second half of 2013, impacted by the good summer weather.
Sales of the iconic stout also fell in its biggest market, Nigeria, however this was offset by growth in other markets in East Africa.
Overall, Diageo reported a 1.8% increase in sales in the six month period, with sales in its North American business rising 4.6%.
However, sales in Western Europe fell by 1%.
Other Irish brands in its portfolio performed strongly, with Bushmills seeing its global sales rise 13%, and Baileys, which celebrates its 40th anniversary this year, seeing sales rise 1%. Growth in Baileys was driven mainly by Greater China, where the brand increased its sales 37%.
"We reacted quickly to the changing emerging market environment, reducing inventory levels in several key markets, which led to a weaker Q2, and tightly managing our cost base to deliver improved operating margins in line with our expectations,” said Ivan Menezes, chief executive of Diageo.
© 2014 - Checkout Magazine by Stephen Wynne-Jones