Beam Suntory reports net sales declined 3% in the first half. Yes, we know, off-premise sales offset on-premise declines, but only so much.
Sales were lower at a double-digit rate in markets most severely impacted by the pandemic, including Spain, India and the Global Travel Retail channel. Sales grew at a low-single-digit rate in Japan, Germany, the U.K. and Russia, and increased at a double-digit rate in Canada.
Sales for the company’s brands reflected pandemic-related trends in consumer behavior, including the strong appeal of familiar brands, continued premiumization, and convenient formats. As a result, sales for Jim Beam grew at a low-single-digit rate; small batch bourbons Basil Hayden’s and Knob Creek, as well as Toki Japanese whisky, Roku gin and Haku vodka, grew at double-digit rates; and Japanese ready-to-drink products grew 20%. Sales for brands with greater reliance on restaurants, bars and travel retail were generally lower.