Diageo to see slight growth in 2014

24th July, 2014 by Lauren Eads

Analysts have predicted Diageo’s net sales growth will have risen by 0.5% in 2014, ahead of the release of the company’s full end of year results next week.

Diageo Ivan Menezes

Diageo CEO – Ivan Menezes

Organic net sales are expected to grow by 0.5% and organic operating profit by 2.4%, UBS analysts said today.

Compared to last year, when Diageo posted increases of 5% and 8% respectively, the growth is slight.

Total net sales are predicted to reach £10.4 billion, which could represent a significant net sales decline of around £1bn compared to last year when the group posted revenues of £11.4bn.

UBS also predicted an overall volume decline of 2.5% for the year, and that the group’s emerging focus on vodka rather than American whiskey could cause it to lose shares in the US market.

The Asian Pacific region took the biggest hit in terms of sales with UBS predicting a decline in sales of 7%.

Diageo is currently undertaking a destocking process due to a decline in demand due to a continued slowdown in China amid continued austerity measures.

Earlier this year Diageo announced it was to axe 200 jobs at its London head office along with some regional posts as part of a bid to cut costs and save £200m by 2017.

While in June, the company officially took control of India’s United Spirits following a $1.1 billion deal. 

Diageo’s full end of year results are due to be released on 31 July.

One Response to “Diageo to see slight growth in 2014”

  1. Pete Jennings says:

    Is this Diageo predicting this, or UBS!!!? I’m confused by the headline. 🙂

Leave a Reply

Your email address will not be published. Required fields are marked *

Please note that comments are subject to our posting guidelines in accordance with the Defamation Act 2013. Posts containing swear words, discrimination, offensive language and libellous or defamatory comments will not be approved.

Subscribe to our newsletters

Job vacancies

Sales Account Manager

Jascots Wine Merchants
London, UK

Marylebone Sales Manager

Philglas & Swiggot
Marylebone, London, UK

Area Sales Manager

Bon Coeur Fine Wines
North England, UK

Procurement Assistant – Wine

Adnams PLC
Southwold, UK

Account Manager Central London

Speciality Drinks Ltd
London, UK

Brand Ambassador

Speciality Drinks Ltd
London, UK

National Business Development Manager

Speciality Drinks Ltd
London, UK

Marketing Assistant

Hatch Mansfield
Ascot, Berkshire, UK

Marketing Manager

Bancroft Wines
London, UK

Regional Sales Manager – Scotland

Bancroft Wines
London, UK

Sales Manager – London On-Trade

Bancroft Wines
London, UK

Customer Service & Sales Support Executive

Jascots Wine Merchants
London, UK

Market Insight Analyst

Conviviality PLC
London, UK

Technical Manager

Enotria&Coe
Park Royal, London, GB

The Global Sparkling Masters 2017

Deadline : 25th August 2017

The Global Malbec Masters 2017

Deadline : 25th August 2017

Global Chardonnay Masters 2017

Deadline : 1st September 2017

The Global Sauvignon Blanc Masters 2017

Deadline : 1st September 2017

Click to view more

The Global Rosé Masters 2017

With wines from the palest of pink to almost ruby red, bone dry to almost cloyingly sweet, reductively handled to barrel-aged, as well as gently spritzy to fully sparkling.

The Global Organic Masters 2017

The drinks business is thrilled to announce the launch of The Global Organic Masters

The Drinks Business Awards 2017

Now in its 15th year, the db awards have become the most authoritative, internationally respected badge of achievement in the alcoholic drinks industry.

The Asian Cabernet Sauvignon Masters 2017

the drinks business Hong Kong announces its first year of The Asian Cabernet Sauvignon Masters.

Click to view more