Rémy Cointreau (RMC) H2 24/25 earnings summary

Executive summary

• Navigated a challenging year marked by macroeconomic volatility, geopolitical tensions, and shifting consumer behavior, with a focus on long-term brand value and sustainability.

• CEO transition planned, with Franck Marilly set to succeed Eric Vallat in June 2025, bringing expertise in high-end brands and transformation.

• Maintained or increased global market share for key brands, notably Rémy Martin and Cointreau.

• Cost efficiencies and sustainability initiatives delivered, including significant reductions in emissions and water use.

• Cost-cutting exceeded targets, achieving €85m savings vs €50m expected.

Financial highlights

• Group sales reached €984.6 million, down 18% organically year-over-year; reported sales down 17.5%.

• Current operating profit (COP) was €217 million, down 28.7% year-over-year and 30.5% organically, with a COP margin of 21.6–22.0%.

• Net profit group share was €121.2 million, down 34.4%, with EPS at €2.36, down 35.3%.

• Free cash flow increased to €19.2 million, up from €13.8 million prior year.

• Net debt/EBITDA ratio increased to 2.4x at March 2025.

Outlook and guidance

• 2025-26 guidance: return to mid-single-digit organic sales growth, led by a technical rebound in the U.S.

• COP guidance: high single- to low double-digit organic growth excluding tariffs; mid- to high teens decline if tariffs are imposed.

• Potential tariffs in China and US could have up to €65m net impact on COP after mitigation.

• Withdrew 2029-2030 targets due to macro/geopolitical uncertainty and CEO transition.