Pernod Ricard Reports Sequential Sales Improvement in Q3 FY26 Amid Volatility

Pernod Ricard reported a sequential improvement in net sales for its third quarter of fiscal year 2026, with organic net sales growing by 0.1%. However, the company's year-to-date organic net sales saw a decline of 4.4%, reflecting a challenging global market environment. The company's overall volumes returned to growth in Q3, increasing by 4%, with strategic international brands showing a 3% volume increase.

Excluding the performance in the United States and China, which experienced contractions of 12% and 7% respectively in Q3, the rest of the world demonstrated strong organic net sales growth of 5%. Pernod Ricard noted sales improvements across most regions, highlighting momentum in emerging markets and continued growth in several mature markets. The company aims to adapt to evolving consumer trends by focusing on affordability, experiences, convenience, and expanding its range of low and no-alcohol products.

Net sales for the third quarter totaled €1,945 million. For the first nine months of fiscal year 2026, net sales reached €7,199 million. The company's performance was impacted by unfavorable foreign exchange rates amounting to -€515 million, primarily due to the US dollar, Indian rupee, and Turkish lira, as well as group structure changes related to business disposals.

Pernod Ricard now forecasts that its organic net sales for the full fiscal year 2026 will decline, citing ongoing uncertainty and particularly the impact of travel disruptions stemming from the conflict in the Middle East.