Paris, July 17 - French spirits group Pernod Ricard on Friday said it expected full-year operating profit to be at the lower end of its 3-5 percent growth target range on the back of flat comparable sales.
The group which owns Absolut vodka, Malibu liqueur and the aniseed drinks Ricard and Pernod, added it had suffered a 3 percent drop in like-for-like sales in the fourth quarter.
But overall, on a reported basis, full-year sales to June 30 grew 9 percent.
Several analysts said the market was expecting Pernod's full-year operating profit to come at the lower end of its target but fourth quarter sales were better than forecast.
"The growth during the fourth quarter shows that emerging markets have been able to compensate for the destocking in the United States," said one Paris-based analyst who declined to be named.
Pernod, the second largest spirits group worldwide behind Diageo, said sales growth slowed down during the second half due to the overall decline in consumption and destocking by wholesalers and distributors.
It said sales in India and China continued to grow strongly and remained solid in France, Sweden, Australia and Canada.
But trading suffered in Ireland, Italy, South Korea and Japan.
Pernod's trading update came after Remy Cointreau reported on Thursday a 14.1 percent drop in like-for-like fiscal first-quarter sales to June, hit by a sharp drop in demand for champagne and cognac.