Pernod Ricard : Q1 FY23 Sales

Press Release 19/10/2022

Dynamic start of the year with diversified sales growth +22% reported and +11% organic and strong +7% price effect

Sales for the first quarter of FY23 totalled € 3,308 million, with an organic growth of +11%: Strong broad-based performance across markets:

• US enjoys strong distributor depletions with shipments impacted by phasing
• Strong growth in China and India
• Travel Retail continues to rebound
• Continued strong dynamism in Europe¹ , enhanced by an excellent tourist season supporting On-trade growth
• Strong pricing with effects of FY22 price increases along with new increases implemented notably in USA
• Volumes growing across our three regions¹

By category, diversified double-digit growth across all spirits segments with sales driven by:

• Strategic International Brands: +12%, very dynamic growth driven mainly by Scotch, Jameson, Absolut, Beefeater and Martell
• Strategic Local Brands: +13%, mainly driven by strong double-digit growth of Seagram's whiskies
• Specialty Brands: +16%, continued excellent development driven by Lillet, Malfy, Redbreast and Jefferson's
• Strategic Wines: -8%, a soft start notably in the US and the UK, with phasing effects. Dynamism in Canada and India

Reported Sales growth was +22%, with an overall very favourable FX impact, mostly from US Dollar and Chinese yuan versus Euro.

Alexandre Ricard, Chairman and Chief Executive Officer, stated,
"I am hugely encouraged by our start to the year. Our performance continues to be broad-based with growth across many markets and diversified across our portfolio with all our spirit segments in double digit growth.
Within a context which remains challenging and volatile, as for every business, we continue to actively invest to support our unique competitive advantages and fuel our future growth.
We have been very active in portfolio management in the past quarter with Sovereign Brands, Código 1530 and Nocheluna and are excited to work with our new partners to fully develop the global potential of such highly attractive brands.
We expect this dynamic growth to continue through FY23, demonstrating the strength of our strategy and the dedication and full engagement of our teams around the world".

_{¹ Excluding Russia/Ukraine}

All growth data specified in this press release refers to organic growth (at constant FX and Group structure), unless otherwise stated. Data may be subject to rounding.

A detailed presentation of Q1 FY23 Sales can be downloaded from our website: www.pernod-ricard.com

Definitions and reconciliation of non-IFRS measures to IFRS measures
Pernod Ricard's management process is based on the following non-IFRS measures which are chosen for planning and reporting. The Group's management believes these measures provide valuable additional information for users of the financial statements in understanding the Group's performance. These non-IFRS measures should be considered as complementary to the comparable IFRS measures and reported movements therein.

Organic growth

• Organic growth is calculated after excluding the impacts of exchange rate movements, acquisitions and disposals and changes in applicable accounting principles.
• Exchange rates impact is calculated by translating the current year results at the prior year's exchange rates.
• For acquisitions in the current year, the post-acquisition results are excluded from the organic movementcalculations. For acquisitions in the prior year, post-acquisition results are included in the prior year but areincluded in the organic movement calculation from the anniversary of the acquisition date in the current year.
• Where a business, brand, brand distribution right or agency agreement was disposed of, or terminated, in the prior year, the Group, in the organic movement calculations, excludes the results for that business from the prior year. For disposals or terminations in the current year, the Group excludes the results for that business from theprior year from the date of the disposal or termination.
• This measure enables to focus on the performance of the business which is common to both years and whichrepresents those measures that local managers are most directly able to influence.

Profit from recurring operations
Profit from recurring operations corresponds to the operating profit excluding other non-current operating income and expenses.