Chivas Brothers has reported a "significant increase" in global demand for Scotch whisky, with net sales up 25%, from both mature markets (up 16%) and emerging markets (34%).
The group's four international brands registered a record high growth during the year, with Chivas, Ballantine’s, Royal Salute and The Glenlivet growing by more than 20% in domestic markets.
In travel retail, Chivas and The Glenlivet recorded triple digit growth, demonstrating a steady recovery of the travel retail industry as Covid restrictions lift.
Sales were particularly robust in emerging markets - Brazil (up 56%), India (43%) and Poland (12%) - with strong momentum in historically mature markets - Spain (up 41%), South Korea (35%) and Japan (13%).
Chivas recorded global growth of 29% and 42% in emerging markets, while Ballantine’s was up 27%, with strong growth of the Prestige range across Asian markets.
Royal Salute grew by 38% with sustained performance in Taiwan, Korea and travel retail, as well as expansion in Brazil and India.
The Glenlivet's momentum continued in mature markets, such as the US (up 7%), Canada (11%) and the UK (11%), combined with a growing consumer base in Asia - with China up 83%, Taiwan 17% and India by 34% - through new products like The Glenlivet Caribbean Reserve and the new 21 year-old and 25 year-old cask finishes.
The latest financial statement noted that strong results will help accelerate investment in ‘sustainable Scotch’, particularly in the area of carbon neutral distillation, where it has set a target of carbon neutrality by 2026.
Following last year’s pilot study at the Glentauchers distillery - which resulted in energy reductions of 90% on a single pot still - the company has announced plans to roll out Mechanical Vapour Recompression (MVR) fan technology at Strathclyde, its largest distillery - with the potential to save almost 9,800 tonnes of carbon dioxide - and to install MVR technology at Allt A'Bhainne distillery in 2023.
Additionally, two further MVRs are being installed at Glentauchers, making it the company’s lowest energy distillery, with MVR installations to be completed there by October.
This builds on Chivas Brothers’ further MVR installations as part of an £88m expansion at two of the company's malt distilleries, Aberlour and Miltonduff. This investment is going into upgrading sustainable distillation technologies along with production capacity enlargements, which should grow Chivas Brothers' total production by 14 million litres of alcohol per annum.
The company also shared progress on its commitment to achieve 100% recyclable, reusable, compostable packaging by 2025, in line with parent company Pernod Ricard’s sustainability roadmap.
While 690 tonnes of secondary packaging was removed last year, Chivas Brothers has announced plans to work with suppliers to remove a further 2,000 tonnes of cardboard in the next fiscal year - equivalent of 780 tonnes of CO2 emissions - beginning with the phase out of Chivas 12 cartons this autumn.
Chivas Brothers chair and chief executive Jean-Etienne Gourgues commented: “These positive results demonstrate that our strategy for growth, with investment across innovation and sustainability, is on track.
“We are well set up to continue this trajectory in 2023 to shape the future of Scotch by opening up the category to new audiences across the globe.”
Pernod Ricard's full-year results also showed rising sales growth, up by 17% in 2022 to €10.7bn, delivering a record €3bn profit from recurring operations at a record operating margin of 28.3% - with double digit growth across all regions and spirit categories.
This led to a proposed dividend of €4.12, up 32% on the previous year, along with a share buyback worth between €500m to €750m.
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