Diageo Says Its 2020 Fiscal Year 'Has Started Well'

By Dave Simpson
Diageo Says Its 2020 Fiscal Year 'Has Started Well'

Drinks group Diageo has issued a trading commentary ahead of its 2019 AGM, stating that its 2020 fiscal year "has started well".

Continuing To Build On "Momentum And Consistent Progress"

Diegeo chief executive Ivan Menezes said, "Fiscal 20 has started well as we continue to build on the momentum and consistent progress we are making in the execution of our strategy. Our focus remains on delivering quality sustainable growth. This is supported by a culture of everyday efficiency that enables us to invest smartly in marketing and growth initiatives while expanding margins.

"Based on the current environment, we continue to expect fiscal 20 organic net sales growth to be toward the mid-point of the 4% to 6% range and organic operating profit growing roughly one percentage point ahead of organic net sales. This is consistent with what we are targeting over the medium-term. Due to a strong prior year comparable, for the first half we expect organic operating profit growth to be in-line with or slightly behind organic net sales growth. However, we would not be immune from significant changes to global trade policy and continue to monitor this closely."

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