French distiller Pernod Ricard experienced a slow start to its fiscal year, citing sharp sales declines in the key markets of China and the U.S. as the spirits industry faces a slowdown in consumption.

Pernod Ricard SA reported weaker-than-expected sales for its latest quarter as lackluster demand in its top markets of China and the US persisted and consumers resisted shelling out on pricey booze.

Pernod - which owns Martell cognac, Mumm champagne and Absolut vodka - reported sales of 2.783 billion euros ($3.02 billion) from July to September, a like-for-like decline of 5.9%, worse than an analyst consensus for a decline of 4.8%.

Pernod Ricard Q1 Sales Decline Amid Weak Demand Pernod Ricard, the worlds second-largest spirits company, reported a 5.9% drop in first-quarter sales, citing challenges in China and the U.S. Despite this setback,

French spirits maker Pernod Ricard said it still expected to return to sales growth in the 2024/25 fiscal year despite reporting a worse-than-expected 5.9% fall in first quarter sales, caused partly by weakness in China.

French spirits major Pernod Ricard has forecast a greater dip in its performance in China for its full-year fiscal 2025 than the year prior. Following the release of its first quarter results today (17 October),