By Scott Wright

THE French drinks giant behind Chivas Brothers has reported a “very dynamic start” to its current financial year, helped by the reopening of the on-trade and strong shipments ahead of Christmas.

But it warned the rate of sales growth will “moderate” during the remainder of the year.

Pernod Ricard, which makes Chivas Regal, Ballantines and Royal Salute through its Chivas distilling operation, reported organic sales growth of 20 per cent to €2.72 billion for the first quarter

The company, which also owns Martell Cognac and Absolut vodka, said it had seen “robust demand” over the period , noting that sales continued to be “resilient” in the off-trade. Sales were supported by the reopening of the on-trade with the easing of coronavirus restrictions, though were “still very subdued” in the travel retail market.

Pernod, which is headquartered in Paris, reported growth of 24% for its portfolio of strategic international brands. This reflected “broad-based growth” on brands such as Martell, Jameson Irish whiskey, Ballantines, Chivas Regal and Absolut.

Net sales to Asia/ Rest of World, Pernod’s most valuable sales territory, climbed to €1.15bn during the first quarter, compared with €918m for the same period last year. In the Americas, it reported net sales of €773m, up from €673m, and in Europe it earned net sales of €793m, up from €645m.

The company’s financial year began on July 1.

Alexandre Ricard, the company’s chairman and chief executive, said: “We have had a very dynamic start to the year, as expected, with strong demand in most markets. The off-trade remains resilient and I am particularly pleased to note the continued recovery of the on-trade.

“We expect good sales growth to continue through FY22, albeit moderating vs. Q1. We will continue to implement our strategy, notably accelerating our digital transformation and reinvesting to seize present and future growth opportunities.”

Last month, Pernod moved to strengthen its presence in the e-commerce sector with the acquisition of The Whisky Exchange from Sukhinder and Rajbir Singh.

The business, which was established by the brothers in 1999, has a catalogue of around 10,000 products, as well as a portfolio of shops in London.