Diageo: interim results up and targets confirmed
(CercleFinance.com) - The Diageo share is up slightly on the London Stock Exchange this morning, after the group published upbeat interim results and confirmed its forecasts.
Over the first half of its fiscal year 2017/2018, to end-December, the British spirits giant saw its volumes sold fall by 2% in published terms, although they rose 2% in organic terms. Net sales rose by 1.7% to 6.5 billion pounds, up 4% like-for-like.
Operating income grew faster: +6.1% to 2.2 billion pounds, up 6.7% in organic terms. The rise in marketing and advertising costs was offset by savings, management said. As a result, the group's operating margin reached 33.5% (+1.3%).
Finally, net profit group share soared 36% to 2.1 billion pounds. Excluding extraordinary items, growth reached 9.4%, with the group set to propose a 5% increase in its interim dividend to 24.9 pence.
Copyright (c) 2018 CercleFinance.com. All rights reserved.
Over the first half of its fiscal year 2017/2018, to end-December, the British spirits giant saw its volumes sold fall by 2% in published terms, although they rose 2% in organic terms. Net sales rose by 1.7% to 6.5 billion pounds, up 4% like-for-like.
Operating income grew faster: +6.1% to 2.2 billion pounds, up 6.7% in organic terms. The rise in marketing and advertising costs was offset by savings, management said. As a result, the group's operating margin reached 33.5% (+1.3%).
Finally, net profit group share soared 36% to 2.1 billion pounds. Excluding extraordinary items, growth reached 9.4%, with the group set to propose a 5% increase in its interim dividend to 24.9 pence.
Copyright (c) 2018 CercleFinance.com. All rights reserved.