Diageo shares fell 16% after profit forecast worsened – Kommersant

November 10, the world’s largest alcoholic beverages manufacturer Diageo stated, which expects financial performance to deteriorate in the first half of fiscal year 2024. The company’s shares fell almost 16% on the London Stock Exchange.

Diageo now expects organic operating profit growth to slow in the first half of 2024 compared to the same period in 2023. This is primarily due to the poor outlook for Latin America, where net organic sales are expected to decline by 20%. The region accounts for 11% of Diageo’s sales. “Macroeconomic pressure in the region is leading to a decrease in consumption and a transition of consumers to cheaper goods,” the company notes. In other regions, Diageo forecasts sales growth.

Yana Rozhdestvenskaya