Chivas Brother toasts 23% increase in organic net sales
Chivas Brothers, the Pernod Ricard business dedicated entirely to Scotch whisky, reported performance with organic net sales up +23%, in its half-year results for the six months ending 31 December 2022, compared to HY23.
This firm attributes the strong performance to its strategic focus on portfolio elevation and premiumisation — two-thirds of the +23% growth is driven by price/mix — along with the strength of its global footprint. Its key strategic brands Chivas Regal, Ballantine’s, Royal Salute and The Glenlivet each experienced double-digit growth.
Chivas Brothers’ extensive and balanced global footprint has enabled this growth, with emerging and mature markets growing at +24% and +22% respectively, and expansion across all key regions.
Consistent with recent years, performance in Asian and Latin American markets continues to be exceptional, with Korea, Japan and Taiwan up +59%, +53% and +37% respectively, while Brazil, Colombia and Mexico saw increases of +40%, +30% and +21%. In European markets, Spain rose +17% and Poland +7%, and separately North America +6%.
This heightened demand also supports its continued investment in the elevation of the Prestige portfolio (+28%). Specifically, Ballantine’s Prestige range grew +81% owing to increased demand across Asian markets and Global Travel Retail (GTR), while The Glenlivet’s top-line performance was driven by its Prestige expressions.
Chivas Brothers’ chairman and CEO, Jean-Etienne Gourgues, said: “These positive results reflect the impact of our long-term portfolio elevation and premiumisation strategy. It’s a testament to the resilience of Scotch, its bright future and our continued drive to open up the category to new audiences.”