Q3 FY22 Sales

9 Month Sales

Sales for the first 9 months of FY22 totalled €8,407m, with an organic growth of +18%, with strong
price/mix:

• Very dynamic Must-win domestic markets, with USA at +13%, enhanced by phasing; India maintaining strong growth +19% and China +12% following softer CNY impacted by Covid and a high comparison basis
• Excellent growth in Europe with some deceleration in March notably due to impacts of conflict in Ukraine
• Rest of World sees very strong growth in LATAM, Africa-Middle East and Asia, notably Korea and Japan
• Travel Retail at +33% with increasing passenger traffic outside of China.

By category:

• Strategic International Brands: excellent performance +20% (Q3 +22%), driven by Jameson, Martell, Chivas Regal, Absolut, Ballantine’s and The Glenlivet
• Strategic Local Brands: +14% (Q3 +15%), delivering notably strong growth in Q3 of Blender’s Pride, Royal Stag and Passport
• Specialty Brands: +28% (Q3 +45%), with very dynamic performance across portfolio notably US Whiskeys, Malfy, Monkey 47, Avion, Lillet, Redbreast and Del Maguey
• Strategic Wines: -3% (Q3 +3%), overall soft in particular due to New Zealand lower harvest

Reported 9M Sales grew +21% with a favourable FX impact of €191m. For full-year FY22, a positive FX impact on Profit from Recurring Operations of c. €110m is expected¹.
Sales for the third quarter of FY22 totalled €2,447m, with an organic growth of +20% and a reported growth of +25%.

Dividend

An interim dividend of €1.56 per share will be detached on 6 July 2022 and paid on 8 July 2022. The final dividend will be subject to the AGM decision on 10 November 2022.

Alexandre Ricard, Chairman and Chief Executive Officer, stated,

Our Q3 was very strong and continues the broad-based performance we enjoyed in the first half, with all
our regions and Must-win markets showing very strong growth.
The global environment remains volatile with an increasingly challenging and inflationary context. We expect a softer Q4 impacted by Covid disruptions in China, phasing normalization in the US and conflict in Ukraine.
Overall we expect for FY22 a strong diversified Sales momentum across the Regions due to On-trade rebound, Off-trade resilience and a continuing recovery in Travel Retail.
We are increasing investments to fuel growth momentum. Accordingly we are providing full year guidance for FY22 of an organic growth in Profit from recurring Operations of c. +17% with some operating margin expansion.

Alexandre Ricard

Chairman and Chief Executive Officer

All growth data specified in this press release refers to organic growth, unless otherwise stated. Data may be subject to rounding.
A detailed presentation can be downloaded from our website: www.pernod-ricard.com

_{¹ Based on YTD average rate & projected spot rate on April 15th 2022, particularly EUR/USD = 1.13}

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 movement calculations. For acquisitions in the prior year, post-acquisition results are included in the prior year but are included 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 the prior 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 which represents 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.