French spirits group Pernod Ricard has warned of a hit of approximately 20% to its current operating profit as a result of the slump in business caused by the coronavirus crisis.
Pernod had already cut its outlook for full-year profit growth in February as a result of the hit to business from the virus.
Solid Financial Position
Pernod said that it is in a solid financial position to be able to cope with the impact of the outbreak, and that it has €3.4 billion available in credit lines.
"The environment has very significantly deteriorated due to the COVID-19 outbreak. We are encouraged to see that, thanks to the implementation of strong measures, China appears to be starting to make a gradual recovery," Pernod chairman and CEO Alexandre Ricard said.
"While we cannot predict the duration and extent of the impact, we remain confident in our strategy," he added.