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Remy Cointreau’s China Sales Boost Quarter

Wall Street Journal US Business •
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Remy Cointreau saw a lift in its fourth‑quarter earnings thanks to stronger cognac sales in China. The French liquor group posted total sales of just under €200 million, up 8.9 % year‑on‑year after stripping out currency moves. That boost helped offset an expected organic decline in operating profit for the fiscal year.

China remains the flagship export market for Remy Cointreau’s cognac line, and the recent uptick has reassured investors after a challenging period. The company said growth stemmed mainly from premium tiers, hinting at a shift toward higher‑margin products that could bolster profitability amid broader market headwinds. This focus on premiumization could help the firm navigate volatile demand and sustain growth in markets.

Despite the quarterly lift, analysts warn that Remy Cointreau will likely report a modest decline in operating profit for the year, driven by currency swings and rising input costs. The company’s ability to capitalize on China’s premium segment will be crucial for maintaining margins. Investors will monitor how the firm balances growth and cost pressures the firm next fiscal cycle.