Pernod Ricard Sa · EURONEXT:RI
Pernod Ricard Sa — Pernod Ricard S A — FY2026 Earnings Presentation
68 slides from Pernod Ricard Sa's earnings presentation, Aug 27, 2026
Slide 1: FY26 Sales and Results
FY26 Sales and Results 27th August 2026 Fiscal Year ended 30th June 2026
Slide 2: Disclaimer
Disclaimer • • This presentation may contain forward-looking statements based on estimates and forecasts reflecting management's current views and reasonable assumptions. • Relating as they do to future events and circumstances and depending on factors outside Pernod Ricard’s control, forward-lookin
Slide 3: Steering through a transition with agility, discipline and strategic conviction
Steering through a transition with agility, discipline and strategic conviction • FY26 was characterised by a contrasted environment, with continued softness in the US amplified by inventory adjustments and with weak demand in China, mitigated by improving trends and growth across ROW, though impact
Slide 4: Steering through a transition with agility, discipline and strategic conviction
Steering through a transition with agility, discipline and strategic conviction Adapting at pace while optimizing costs and strengthening cash generation In a contrasted environment, FY26 saw continued softness in the US, amplified by inventory Net Sales adjustments, and weakness in China, mitigat
Slide 5: Disciplined execution defending margin, delivering efficiencies and stronger cash generation
Disciplined execution defending margin, delivering efficiencies and stronger cash generation Reported PRO impacted by negative FX and margin accretive perimeter effects EPS Organic -3.9% -19% NET SALES €5.85 €9,404m Reported -14.2% FREE PRO Organic -5.2% CASH-FLOW +6% €2,423m Reported -17.9% €1,197m
Slide 6: Net Sales impacted by market-specific weakness in the US, China and the Middle East
In a contrasted environment, Net Sales were notably impacted by market-specific weakness in the US, China and the Middle East US China -14% Middle East -19 % 17% 7% Impacted by softer -29%1 Challenging macro market conditions and 1% context with weak inventory adjustments consumer confidence and Con
Slide 7: Improving trends in many markets, with c.40% of Net Sales in growth
Improving trends in many markets, with c.40% of Net Sales in growth Excluding US & China, remaining top 16 markets sell-out value grew at double the market rate, at +2%1 Türkiye Ireland Nordics +26% Canada +3% +4% Stellar growth across the +3% Strong growth on Absolut, portfolio Strong momentum on J
Slide 8: Adapting at pace to evolving consumer trends and growth opportunities
Adapting at pace to evolving consumer trends and growth opportunities Enabled by data and tech and a simplified organisation accelerating speed and agility Meeting evolving consumer Leveraging the depth of our Accelerating consumer Elevating cultural relevance, trends with convenience & portfolio in
Slide 9: FY26 Sales
FY26 Sales 9
Slide 10: USA and India
Sustained improvement in sell-out gap to market, with accelerating responses to changing consumer demand USA • Spirits market slowdown with economic moderation and subdued consumer confidence. Weight in Net Sales1 17% Narrowing gap-to-market through accelerating responses Organic Net Sales -14% • Se
Slide 11: China and Global Travel Retail
China Weight in Net Sales1 7% Challenging macroeconomic environment, continuing weak consumer sentiment and Organic Net Sales -19% regulatory measures impacting demand • Sharp decline with prestige categories under pressure, notably in sales of Martell • Premium brands are growing, supported by rise
Slide 12: Regions
Regions • France sales in decline while maintaining market leadership, with Perrier-Jouet and Bumbu in strong growth • Spain and Germany both in decline, amidst continued soft market conditions Europe Weight in Net Sales1 31% • UK in modest decline, with growth on Jameson, Absolut and Champagnes, am
Slide 13: Diversified portfolio with solid brand performance in many markets
Diversified portfolio with solid brand performance in many markets, with Strategic International Brands excl. US & China +1% Organic Growth Organic Organic +9% Growth Growth Organic -3% Excl. US -2% +2% +3% Growth Excl. US -12% Excl. China +1% DD growth DD growth TD growth DD growth DD growth DD gro
Slide 14: FY26 Financial Update
FY26 Financial Update 14
Slide 15: Strong defence of Margin supported by acceleration of Operational efficiencies
Strong defence of Margin supported by acceleration of Operational efficiencies COGS inflation mitigation, marketing investments optimisation and sharp reduction in structure costs Change in Reported Operating Margin rate -117bps Organic PRO¹ Organic -35bps -5.2% €2,951m -221 bps +77 bps +41bps -122b
Slide 16: Earnings per share at €5.85
Earnings per share at €5.85 Reported € millions FY25 FY26 ∆ Profit from Recurring Operations 2,951 2,423 -18% Financial Expenses from Recurring Operations (455) (421) Income tax on Recurring Operations (619) (487) Minority interests and other (49) (38) Group share of Net Profit from Recurring 1,829
Slide 17: Group Share of Net Profit
Group Share of Net Profit Reported € millions FY25 FY26 ∆ Group share of Recurring Operations 1,829 1,476 -19% Loss from Non-recurring operations (208) (261) Non-recurring financial income (expenses) (38) (19) Non-recurring corporate income tax 45 5 Minority interests from non-recurring (2) 1 Group
Slide 18: Growth in Free Cash Flow driven by materially improved cash conversion
Growth in Free Cash Flow driven by materially improved cash conversion Reported € millions FY25 FY26 %∆ ∆ Profit from Recurring Operations 2,951 2,423 (529) -18% Amortisation, depreciation, provision movements and other 389 394 5 Self-financing capacity from recurring operations 3,340 2,816 (523) -1
Slide 19: Focus on cash generation to preserve a strong balance sheet
Focus on cash generation to preserve a strong balance sheet Aiming for ratio of net debt/EBITDA below 3x by FY29 Net Debt down -€65m 10,727 FY26 Net Debt FY25 Net Debt 10,662 207 / EBITDA / EBITDA 89 1,197 1,226 3.7x¹ 3.3x¹ 389 30-Jun-25 FCF M&A Dividends FX Other 30-Jun-26 • Improved FCF with optim
Slide 20: Strategic Update
Strategic Update 1. Our purpose & transformation journey
Slide 21: Pernod Ricard's Purpose is anchored in timeless human needs
Pernod Ricard’s Purpose is anchored in timeless human needs More relevant than ever in a world seeking authentic human connections As consumers drink more intentionally, we create more reasons to come together and more meaningful experiences around our brands In an increasingly complex & digital w
Slide 22: Long-term drivers remain attractive, despite short-term headwinds and tailwinds
Long-term drivers remain attractive, despite short-term headwinds and tailwinds Conviviality is evolving creating both challenges and opportunities Attractive long-term Near-term cyclical pressures in Conviviality continues to fundamentals some markets evolve Increase in LDA1 population Premiumisati
Slide 23: Broad and balanced geographic footprint with strong market positions
Broad and balanced geographic footprint with strong market positions; well placed to capture growth Balanced between mature and emerging markets EMEA 39% Americas 27% Asia Pacific Western 33% Eastern Europe Europe USA China Rest of 17% 7% Asia India Africa & 13% Central & Middle Mature Markets East
Slide 24: A diversified portfolio of premium international spirits
A diversified portfolio of premium international spirits, well exposed to growing segments Balanced between aged and non-aged, diversified across categories and price segments Broad category exposure Exposure to growing categories Presence in growing International Spirits within TBA FY26 Net Sales C
Slide 25: Strengthening Pernod Ricard's operating model
Strengthening Pernod Ricard’s operating model Ongoing multi-year transformation across organisation, operational efficiency, technology and portfolio management 2022 2023 2024 2025 2026 2027 2028 Beyond 1 Organisation Removal of regional layers simplified market companies into 10 entities Simplified
Slide 26: Initiated in 2023: creating a lean and agile, Fit-for-Future organisation
Initiated in 2023: creating a lean and agile, Fit-for-Future organisation Organisation simplification, investing in data and tech to fully leverage scale & business proximity “Tomorrow” phase 1 (2023-24) “Tomorrow” phase 2 (2025-26) Simplified from 3 regions & 50 Market Simplified Global Functions a
Slide 27: Accelerating €1bn Operational Efficiencies program, with c.50% achieved in FY26
Accelerating €1bn Operational Efficiencies program, with c.50% achieved in FY26 Full program completion now expected in FY28, one year earlier than previously announced FY23 to FY25 FY26 to FY28 Design to sustainable value Packaging tenders Procure Enhanced procurement Packaging value engine
Slide 28: Leveraging Data, tech and AI to accelerate execution
Leveraging Data, tech and AI to accelerate execution, improve agility & responsiveness and drive productivity across the business From AI Adoption to embedded enterprise intelligence 3 Augment 2 Embed intelligence 1 Industrialize Build foundations for scale Pioneer Embed intelligence into every Pr
Slide 29: Maintaining consistent investments behind brands, with improved effectiveness
Maintaining consistent investments behind brands, with improved effectiveness Increasing spend effectiveness with Digital and sharp resource allocation Strong focus on increasing Return on Spend Digital Media delivers Strong A&P savings delivered superior ROS1 vs Traditional through sustained cost d
Slide 30: Active portfolio management, focusing on international premium spirits
Active portfolio management, focusing on the international premium spirits segment Disposal of non-core brands to accelerate growth and improve margins Generating cumulative gross proceeds of c.€1.5bn1 Disposals Closed FY23 & FY24 Closed FY25 Closed FY26 Announced FY27 Wine portfolio Finnish portfol
Slide 31: Strategic Update: From insight to action
Strategic Update 2. From insight to action
Slide 32: Rapidly evolving consumer landscape requires insight-led decisions & faster execution
Rapidly evolving consumer landscape requires insight-led decisions & faster execution CONSUMER INSIGHTS EXPLANATION 1 Spirits Exploration GenZ continues to engage in spirits. Repertoires growing to include many categories 2 Affordability Low confidence, pressured discretionary spend, fear of inflati
Slide 33: Spirits Exploration
Spirits Exploration Spirits continue gaining share of TBA as consumers broaden their repertoire across categories Increased capabilities of market From its market leading position, Engaging with younger companies to actively manage a Pernod Ricard is well positioned consumers through evolving larger
Slide 34: Affordability
Affordability Addressed through RGM, portfolio price ladders and brand portfolio format architecture 50cl and Wage growth is outpaced by inflation below Small & fun formats satisfy consumer c.+10% desire for premium products despite FY26 NS economic constraints Total price point range coverage
Slide 35: Novelty
Novelty Addressed with an accelerating innovation program with strong upcoming pipeline Organisation simplification enables brand units to respond with increasing pace and scale Biggest launch in Tapping into aesthetics- Pernod Ricard History driven drinks culture FY26 Innovation Launched Overview 1
Slide 36: Convenience
Convenience Addressed through expanded RTD portfolio offering, growing from c.0.5% of sales in FY21 to c.2.5% in FY26 Spirits-based RTDs are fast-growing1 Enhanced portfolio with multiple format solutions High ABV Market +13% +26% +6% +5% Volume growth -5% +10% -2% +8% Low ABV 100ml Fun sized format
Slide 37: Mindful moderation
Mindful moderation Addressed through premiumisation and the expansion of lower-ABV and alcohol-free offerings, as consumers continue to embrace "Drink Less but Better". Premiumisation Stable rate of abstinence Less but better Aperitif For lighter occasions 2023 2024 2025 2026 Source: BevTrac March 2
Slide 38: Craving Connections
Craving Connections Addressed through On-Trade activations and partnerships with sports, festivals and cultural icons Consumers value in-person experiences US On-Trade market value in growth, along with On Trade in UK, France and Japan Music festivals and sporting events attract an ever higher numbe
Slide 39: Emerging Markets benefitting from powerful long-term tailwinds
Emerging Markets benefitting from powerful long-term tailwinds Addressed through broad geographic breadth and diversified western style portfolio +320M new LDA between 2025-2030 Exceptional performance from Jameson, the #1 imported premium Spirit brand in Other EMs Rest of World India and Pernod Ric
Slide 40: Strategic Update: Capital allocation & Financial Policy
Strategic Update 3. Capital allocation & Financial Policy
Slide 41: Improving cash conversion, strengthening our balance sheet to maximize flexibility
Improving cash conversion, strengthening our balance sheet to maximize flexibility Reduced Strategic Investments and Operating working capital optimisation to support deleveraging Strategic investments reduced by 56% from recent highs to Successfully achieved cash conversion €616m (ROCF1/PRO) at c.9
Slide 42: Commitment to long term shareholder remuneration
Commitment to long term shareholder remuneration Proposed dividend¹ of €4.70 per share, stable since FY23 €/share 4.70 4.70 4.70 4.70 DPS 4.12 3.12 2.66 3.12 €4.70 FY19 FY20 FY21 FY22 FY23 FY24 FY25 FY26 • Pernod Ricard will offer shareholders the option to receive their FY26 final dividend of €2.35
Slide 43: Capital allocation priorities, underpinned by balance sheet flexibility
Capital allocation priorities, underpinned by balance sheet flexibility Financial policy balances the deployment of capital for profitable growth and the return of capital to shareholders While maintaining investment grade rating : 1. Investment in future organic growth, in particular through Strate
Slide 44: Outlook
Outlook
Slide 45: FY27 Outlook
FY27 Outlook • We are expecting organic Net Sales broadly stable for the full year, in a contrasted and uncertain environment, with: • Declines in the US and China, impacted by inventory adjustments as from Q1, and with underlying trends expected to improve in China, and • Continued positive momentu
Slide 46: Medium-term Framework
Medium-term Framework1 • Noting the current softness in the US market, we are projecting Organic Net Sales growth, aiming to be, on average, close to the lower end of the +3% to +6% range over FY27 to FY29. We expect Organic Operating Margin expansion, supported by accelerated operational efficienci
Slide 47: Write the name of your function or management entity
47 WRITE THE NAME OF YOUR FUNCTION OR MANAGEMENT ENTITY
Slide 48: Definition of alternative performance measures and reconciliation to IFRS measures
Definition of alternative performance measures and reconciliation to IFRS measures Pernod Ricard’s management process is based on the following Alternative Performance Measures (APMs), which have been chosen for planning and reporting purposes. The Group’s management believes that these measures pro
Slide 49: Market Share and sell-out sources
Market Share and sell-out sources CANADA: Spirits, ACD Off-Trade ending 31MARCH26 UK: Spirits and RTDs, Nielsen Off-Trade ending 27JUNE26 & CGA On-Trade excl. RTD ending 13JUNE26 GERMANY: Spirits and RTDs, Nielsen ending 28JUNE26 POLAND: Whisky, Vodka , Rum and Gin, Nielsen ending 28JUNE26 USA: Spir
Slide 50: Upcoming Communications
Upcoming Communications Date (subject to change) Event 15th October 2026 Q1 FY27 Sales 20th November 2026 Shareholders’ Annual General Meeting 18th February 2027 H1 FY27 Sales and Results 50
Slide 51: Resilience from grain to glass
Resilience from grain to glass 71% 43% of our key raw agricultural women among top materials sustainably sourced management and gender pay equity maintained* -11% -16% reduction of agricultural in total recordable emissions in absolute value incident frequency rate (FLAG scopes 1 & 3) vs. FY22 since
Slide 52: Emerging Markets
Emerging Markets Asia-Rest of World Americas Europe Algeria Mali Antigua Abkhazia Angola Mauritius Argentina Albania Bahrain Mongolia Aruba Armenia Bangladesh Morocco Bahamas Azerbaijan Benin Mozambique Barbados Balkans Bhutan Myanmar Bermuda Belarus Burkina Faso Namibia Bolivia Bosnia Cambodia Nige
Slide 53: Strategic International Brands' performance
Strategic International Brands’ performance Volumes FY26 Organic Net Sales of which Volumes of which Price/mix (in 9Lcs millions) growth FY26 Absolut 12.2 -2% 0% -2% Jameson 11.4 -3% 2% -5% Ballantine's 9.4 1% 4% -3% Chivas Regal 4.7 0% -2% 2% Ricard 4.1 -6% -3% -2% Malibu 3.9 -7% -4% -3% Beefeater
Slide 54: Sales Analysis by Period and Region
Sales Analysis by Period and Region Net Sales FY25 FY26 Change Organic growth Group Structure Forex Impact (€ millions) Americas 3,154 29% 2,584 27% (570) (18)% (318) (10)% (78) (2)% (174) (6)% Asia / Rest of World 4,635 42% 3,920 42% (715) (15)% (13) (0)% (324) (7)% (379) (8)% Europe 3,170 29% 2,90
Slide 55: Summary Consolidated Income Statement
Summary Consolidated Income Statement (€ millions) FY25 FY26 Change Net sales 10,959 9,404 (14)% Gross Margin 6,516 5,495 (16)% Advertising and promotions spend (1,679) (1,409) (16)% Contribution after A&P spend 4,837 4,086 (16)% Structure costs (1,886) (1,663) (12)% Profit from Recurring Operations
Slide 56: Profit from Recurring Operations by Region (1/2)
Profit from Recurring Operations by Region (1/2) World (€ millions) FY25 FY26 Change Organic Growth Group Structure Forex impact Net Sales 10,959 100.0% 9,404 100.0% (1,555) (14)% (405) (4)% (582) (5)% (568) (5)% Gross margin 6,516 59.5% 5,495 58.4% (1,022) (16)% (468) (7)% (167) (3)% (387) (6)% Adv
Slide 57: Profit from Recurring Operations by Region (2/2)
Profit from Recurring Operations by Region (2/2) Asia / Rest of the World (€ millions) FY25 FY26 Change Organic Growth Group Structure Forex impact Net Sales 4,635 100.0% 3,920 100.0% (715) (15)% (13) (0)% (324) (7)% (379) (8)% Gross margin 2,620 56.5% 2,172 55.4% (448) (17)% (110) (4)% (77) (3)% (2
Slide 58: Foreign Exchange Impact
Foreign Exchange Impact Average rates evolution On Profit from Forex impact FY26 On Net Sales Recurring (€ millions) FY25 FY26 % Operations US Dollar USD 1.09 1.17 (7.2)% (166) (90) Chinese Yuan CNY 7.85 8.16 (3.9)% (27) (15) Indian Rupee INR 92.59 105.70 (14.2)% (167) (63) British Pound GBP 0.84 0.
Slide 59: Sensitivity of profit and debt to EUR/USD exchange rate
Sensitivity of profit and debt to EUR/USD exchange rate Estimated impact of a 1% appreciation of the USD Impact on the income statement(1) (€ millions) Profit from recurring operations +13 Financial result (1) Pre-tax profit from recurring operations +12 Impact on the balance sheet (€ millions) Incr
Slide 60: Balance Sheet: Assets
Balance Sheet: Assets Assets 30/06/2025 30/06/2026 (€ millions) Non-current assets Intangible assets and goodwill 17,921 18,000 Tangible assets and other assets 5,284 5,372 Deferred tax assets 1,518 1,523 Total non-current assets 24,722 24,895 Current assets Inventories 8,418 8,470 Ageing Inventorie
Slide 61: Balance Sheet: Liabilities and Shareholder's Equity
Balance Sheet: Liabilities and Shareholder’s Equity Liabilities and shareholders’ equity 30/06/2025 30/06/2026 (€ millions) Group Shareholders’ equity 15,212 15,500 Non-controlling interests 1,014 1,040 of which profit attributable to non-controlling interests 48 36 Total Shareholders’ equity 16,226
Slide 62: Analysis of Working Capital Requirement
Analysis of Working Capital Requirement June June FY25 WC FY26 WC (€ millions) 2025 2026 change* change* Aged work in progress 7,062 7,203 502 245 Advances to suppliers for wine and ageing spirits 16 18 (5) 2 Payables on wine and ageing spirits (122) (131) 41 (15) Net aged work in progress 6,956 7,0
Slide 63: Net Debt
Net Debt 30/06/2025 30/06/2026 (€ millions) Current Non-current Total Current Non-current Total Bonds 1 241 10 339 11 579 156 11,613 11,768 Commercial paper 379 - 379 195 - 195 Other loans and long-term debts 99 96 195 140 115 254 Other financial liabilities 478 96 574 334 115 449 Gross Financial de
Slide 64: Change in Net Debt
Change in Net Debt 30/06/2025 30/06/2026 Operating profit 2,743 2,162 Depreciation and amortisation 422 413 Net change in impairment of goodwill, PPE and intangible assets 52 106 Net change in provisions (42) 57 Changes in fair value on commercial derivatives and biological assets (7) 6 Net (gain)/l
Slide 65: Net Debt Maturity profile as of 30th June 2026
Net Debt Maturity profile as of 30th June 2026 65
Slide 66: Bond Details
Bond Details Currency Par value Coupon Issue date Maturity date € 1,000 m o/w : € 500 m 0.500% 24/10/2027 24/10/2019 € 500 m 0.875% 24/10/2031 € 1,000 m 1.750% 06/04/2020 08/04/2030 € 500 m 0.125% 04/10/2021 04/10/2029 € 750 m 1.375% 07/04/2022 07/04/2029 € 1,100 m o/w : € 600 m 3.250% 02/11/2028 02
Slide 67: Net debt / EBITDA evolution
Net debt / EBITDA evolution (1) Average rate EUR/USD rate Jun FY25 -> Jun FY26 1.09 -> 1.17 Ratio at 30/06/2025 3.3 EBITDA & cash generation excl. Group structure effect and forex impacts 0.2 Group structure and forex impacts 0.3 Ratio at 30/06/2026 3.7 (1) Last-twelve-month rate 67
Slide 68: Net Diluted EPS
Net Diluted EPS (x 1,000) FY25 FY26 Number of shares in issue at end of period 252,269 252,269 Weighted average number of shares in issue (pro rata temporis) 252,770 252,269 Weighted average number of treasury shares (pro rata temporis) -1,255 -505 Dilutive impact of stock options and performance sh