<p>Shares in Remy Cointreau slid nearly 7 per cent on Tuesday after the premium drinks maker indicated sales and profit growth would slow after a strong first half as consumption trends return to normal after two "outstanding" years.</p>.<p>The group's cautious outlook overshadowed a better-than-expected 16.2 per cent rise in second quarter sales, boosted by a recovery in demand for its top cognac brands in China during the Mid-Autumn festival late last month.</p>.<p>The maker of Remy Martin cognac and Cointreau liquor reiterated that for the full year 2022/23 it expected another year of strong organic sales growth and improving operating margins, helped by strict costs control to mitigate inflationary pressures.</p>.<p>By 0759 GMT, Remy Cointreau shares were down 7.6 per cent at 152.10 euros.</p>.<p>"Remy Cointreau Q2 sales were solid and forex very positive but the second half outlook is tinged with caution," Bernstein analysts said in a note.</p>.<p>Sales for the three months to Sept. 30 came in at 457.2 million euros ($451.4 million), marking a like-for-like rise of 16.2 per cent which beat analysts' expectations for 14.3 per cent growth.</p>.<p>Cognac sales rose 15.6 per cent to 345.9 million euros reflecting double-digit sales growth in China, with strong demand for Club and XO cognac during the Mid-Autumn festival in a market still impacted by stop and start Covid restrictions. Cognac inventories were very low at the end of September in China, the group said.</p>.<p>Remy Cointreau's fiscal year starts on April 1 and ends on March 31. Remy shares are down around 23 per cent this year after rising 40 per cent last year.</p>.<p>The pandemic accelerated Remy Cointreau's long-term drive towards higher-priced spirits to boost profit margins, speeding a shift towards premium drinks, cocktails and e-commerce as people drank more expensive drinks at home.</p>.<p>"Ideally positioned to take advantage of new consumption trends and buoyed by its advance on roll-out of its strategic plan, Remy Cointreau is looking to 2022/23 with confidence," the company said in a statement.</p>.<p>For the full year Remy forecast a positive currency effect with reported sales now seen at 110-120 million euros compared with 90-100 million previously, and current operating profit at 55-60 million compared with 50-60 million.</p>
<p>Shares in Remy Cointreau slid nearly 7 per cent on Tuesday after the premium drinks maker indicated sales and profit growth would slow after a strong first half as consumption trends return to normal after two "outstanding" years.</p>.<p>The group's cautious outlook overshadowed a better-than-expected 16.2 per cent rise in second quarter sales, boosted by a recovery in demand for its top cognac brands in China during the Mid-Autumn festival late last month.</p>.<p>The maker of Remy Martin cognac and Cointreau liquor reiterated that for the full year 2022/23 it expected another year of strong organic sales growth and improving operating margins, helped by strict costs control to mitigate inflationary pressures.</p>.<p>By 0759 GMT, Remy Cointreau shares were down 7.6 per cent at 152.10 euros.</p>.<p>"Remy Cointreau Q2 sales were solid and forex very positive but the second half outlook is tinged with caution," Bernstein analysts said in a note.</p>.<p>Sales for the three months to Sept. 30 came in at 457.2 million euros ($451.4 million), marking a like-for-like rise of 16.2 per cent which beat analysts' expectations for 14.3 per cent growth.</p>.<p>Cognac sales rose 15.6 per cent to 345.9 million euros reflecting double-digit sales growth in China, with strong demand for Club and XO cognac during the Mid-Autumn festival in a market still impacted by stop and start Covid restrictions. Cognac inventories were very low at the end of September in China, the group said.</p>.<p>Remy Cointreau's fiscal year starts on April 1 and ends on March 31. Remy shares are down around 23 per cent this year after rising 40 per cent last year.</p>.<p>The pandemic accelerated Remy Cointreau's long-term drive towards higher-priced spirits to boost profit margins, speeding a shift towards premium drinks, cocktails and e-commerce as people drank more expensive drinks at home.</p>.<p>"Ideally positioned to take advantage of new consumption trends and buoyed by its advance on roll-out of its strategic plan, Remy Cointreau is looking to 2022/23 with confidence," the company said in a statement.</p>.<p>For the full year Remy forecast a positive currency effect with reported sales now seen at 110-120 million euros compared with 90-100 million previously, and current operating profit at 55-60 million compared with 50-60 million.</p>