Rémy Cointreau (RMC) Q1 2027 TU earnings summary

Executive summary

• Q1 organic sales grew 1.3% year-over-year, reaching €223.2 million, with reported growth of 1.1% and a slight negative currency effect of -0.2%.

• Cognac delivered strong organic growth of 7.7%, driven by APAC momentum and resilience in the US, offsetting declines in Canada and LATAM; Liqueurs & Spirits declined 6.6%.

• Americas saw resilient US sales but declines in Canada and LATAM due to destocking and high comps; APAC posted strong growth, with Rest of Asia offsetting a slight reduction in China.

• EMEA experienced a low- to mid-single-digit decline amid competitive pressure and moderate demand.

• Global Travel Retail posted very strong double-digit growth, outperforming expectations.

Financial highlights

• Q1 group sales reached €223.2 million, up €2.4 million or 1.1% reported and 1.3% organic year-over-year.

• Cognac sales were €141.9 million (+7.7% organic), Liqueurs & Spirits €79.6 million (-6.6% organic).

• Price/mix effect contributed +2.7%, while volume effect was -1.5%.

• Currency translation had a marginal negative impact of €0.4 million.

• Group Brands subtotal: €221.5 million (+2.0% organic, +1.8% reported).

Outlook and guidance

• Full-year guidance is confirmed, expecting a return to organic sales growth and slight improvement in operating profit margin despite tariffs.

• Tariff impact estimated at €20 million negative, mainly in the US (€15 million) and China (€5 million).

• FX impact on sales expected to be -€15 million, with most profit impact in H2.

• Leverage (net debt/EBITDA) targeted below 3.5x by March 31, 2027.

• Slight organic improvement in Current Operating Margin anticipated.