Economic Pressures Hamper Diageo’s H1 Sales; New CEO Outlines Priorities

Dear Client: Diageo reported today an organic net sales decline of 2.8% globally with volumes down 0.9% for the first half of its fiscal year ended December 31. Growth in Europe, Latin America and Caribbean, and Africa regions was not enough to offset declines in North America.  Indeed, cfo Nik Jhangiani said on today’s earnings call that the “biggest challenge” has been the organic net sales decline of about 7% in the North America market in H1, thanks to the