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Nov. 26, 2020, 1:46 a.m. EST

Remy Cointreau sees 2H recovery as profit falls

By Mauro Orru

Remy Cointreau SA said Thursday that net profit for the first half of fiscal 2021 fell, although it projects a recovery in the second half.

The French spirits maker said net profit for the six months ended Sept. 30 fell to 65 million euros ($77.5 million) from EUR90.5 million for the same period the previous fiscal year. Excluding non-recurring items, profit fell to EUR65.2 million from EUR84.6 million.

Current operating profit for the group slipped to EUR106.2 million from EUR138.3 million a year earlier, marking a 22.5% decline in organic terms.

Remy Cointreau said in October it was expecting current operating profit for the first half to decline between 25% and 30% organically.

The company confirmed sales for the first half fell to EUR430.8 million from EUR523.9 million as the coronavirus pandemic continued to bite, although the second quarter showed a marked improvement from the first.

Remy Cointreau said it continues to expect a recovery in its second half, led by the U.S. and mainland China. The company expects positive organic growth in current operating profit for fiscal 2021.

Write to Mauro Orru at mauro.orru@wsj.com; @MauroOrru94

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