Rémy Contrieau unveils recovery plan to boost operating profit by US$116.1M by 2029 

FRANCE – Rémy Cointreau has unveiled a three-year recovery plan aimed at restoring sustainable growth and increasing operating profit by €100 million (US$116.1M) by the 2028/29 financial year, as the French spirits group seeks to navigate ongoing challenges in the global premium alcohol market. 

The strategy was announced alongside the company’s annual results, which showed operating profit declined for a third consecutive year.  

For the financial year ended March 31, group operating profit fell 11.5% on an organic basis to €165.4 million (US$192.03M). However, the decline was less severe than market expectations, which had projected a 12.8% drop. 

Despite the continued profit pressure, Rémy Cointreau reported its first annual sales growth since 2023. Organic sales increased by 0.2% in April, indicating that market conditions may be beginning to stabilize after a prolonged period of weakness across the premium spirits sector. 

Chief Executive Officer Franck Marilly said the company’s new strategy is designed to strengthen performance across the business while reducing exposure to economic volatility. 

“The plan will create value across all our operations,” Marilly said, adding that it would help the group become less dependent on wider economic cycles. 

The recovery programme builds on initiatives introduced earlier this year and places significant emphasis on expanding the company’s presence in travel retail and emerging markets.  

Rémy Cointreau is targeting a doubling of sales in both segments over the coming years as part of its broader growth ambitions. 

To support this objective, the company is establishing a dedicated emerging markets division focused on accelerating expansion beyond its traditional core markets. The group also plans to launch a new Rémy Martin innovation in the United States during the first quarter of the 2027/28 financial year. 

Marilly reaffirmed the company’s commitment to returning to growth despite ongoing challenges facing the global spirits industry. 

Like many premium spirits producers, Rémy Cointreau continues to face softer consumer spending and geopolitical pressures in key markets. The company has been particularly affected by tariff disputes involving the United States and China, its two largest markets. 

For the full year, organic sales in the Cognac division declined by 0.5%. The result reflected a 7.8% increase in volumes, which was offset by an 8.3% decline in price and product mix. 

Performance in the Americas remained strong, supported by efforts to revitalize Rémy Martin VSOP and growing demand for higher-end expressions. In contrast, China continued to present challenges due to a complex market environment and disruption within the travel retail channel during the first half of the year. 

Despite these pressures, the company said Rémy Martin continued to gain market share and demonstrate resilience within the premium Cognac category. 

Looking ahead, Rémy Cointreau expects to return to organic sales growth during the current financial year, supported by a modest improvement in operating profit margin as its recovery strategy begins to take effect. 

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