Company Reports

Rémy Cointreau’s first-quarter fiscal 2027 trading update included organic sales growth of 1.3%, with cognac up 7.7% and the liqueurs and spirits division down 6.6%. Shares fell around 5% on July 29.

Rémy Cointreau has a strong position in the cognac category, which is dominated by the top four producers. Natural supply constraints and aging requirements result in high barriers to entry and pricing power for the leading cognac makers. We estimate the majority of Rémy’s revenue stems from its luxury cognac offerings, with the XO label retailing at nearly EUR 200 per bottle and Louis XIII retailing for around EUR 3,000, depending on the region. The rest of Rémy’s portfolio skews premium across scotch, gin, liqueur, and champagne.

Remy Cointreau’s full-year fiscal 2026 results included an organic current operating profit, or COP, decline of 11.5%, in line with its target. Gross profit pressures from customs duties and negative price/mix were partially mitigated by cost control. Shares were up 10% in early trading on June 4.

Rémy Cointreau has a strong position in the cognac category, which is dominated by the top four producers. Natural supply constraints and aging requirements stipulate high barriers to entry and pricing power for the leading cognac makers. We estimate the majority of Rémy’s revenue stems from its luxury cognac offerings, with the XO label retailing at nearly EUR 200 per bottle, and Louis XIII retailing for around EUR 3,000, depending on the region. The rest of Rémy’s portfolio skews premium across scotch, gin, liqueur, and champagne categories.

Remy Cointreau’s fourth-quarter trading update included organic sales growth of 8.9%, leading to a full-year fiscal 2026 sales increase of 0.2%, in line with its target. Results were slightly short of market expectations, leading to shares falling around 2% in early trading on April 30.

Rémy Cointreau has a strong position in the cognac category, which is dominated by the top four producers. Natural supply constraints and aging requirements stipulate high barriers to entry and pricing power for the leading cognac makers. We estimate the majority of Rémy’s revenue stems from its luxury cognac offerings, with the XO label retailing at nearly EUR 200 per bottle, and Louis XIII retailing for around EUR 3,000, depending on the geography. The rest of Rémy’s portfolio skews premium across scotch, gin, liqueur, and champagne categories.

Rémy Cointreau’s third-quarter fiscal 2026 trading update included a 2.8% organic revenue increase, with cognac sales up 3.2% and liqueurs and spirits sales up 2.8%. Shares rose around 9% at the market open on Jan. 29.

Remy Cointreau reported its first-half fiscal 2026 results, with current operating profit of 22.2%, down from 27.6% in the prior-year period. The company confirmed its full-year targets and expects a total net impact from tariffs of EUR 25 million. Shares rose 6% at the market open on Nov. 27.

Remy Cointreau’s second-quarter trading update included an 11.0% year-over-year organic revenue decline, with a 13.5% drop in cognac sales and a 5.3% decline in liqueurs and spirits sales. Shares fell around 6% intraday on Oct. 30, 2025.

Rémy Cointreau reported its first-quarter trading update, with 5.7% organic revenue growth, ahead of company-complied consensus. The market reacted positively, with shares up 6% intraday.

Rémy Cointreau has a strong position in the cognac category, which is dominated by the top four producers. Natural supply constraints and aging requirements stipulate high barriers to entry and pricing power for the leading cognac makers. We estimate the majority of Rémy’s revenue stems from its luxury cognac offerings, with the XO label retailing at nearly EUR 200 per bottle, and Louis XIII retailing for around EUR 3,000, depending on the geography. The rest of Rémy’s portfolio skews premium across scotch, gin, liqueur, and champagne categories.

We're transferring coverage of Rémy Cointreau, the world’s third-largest distiller of cognac by volume. Outside of cognac, 38% of Rémy’s sales stem from smaller brands, including Cointreau liqueur, Mount Gay rum, Bruichladdich scotch, The Botanist gin, and Hautes Glaces French whiskey.

Remy Cointreau reported its fiscal 2025 results. Full-year organic sales were down 18% year over year, at the low end of guidance. Group current operating margin was 22%, down 390 basis points. Shares were up around 3% at the market opening on June 4.

Rémy Cointreau reported its fourth-quarter and full-year fiscal 2025 trading update. Full-year organic sales were down 18% year over year, at the low end of guidance. In the fourth quarter, sales were down 19%. Shares were up 5% at the market open on April 30.

Shares of Diageo, Pernod Ricard, Rémy Cointreau, and Davide Campari-Milano fell on March 13 after US President Donald Trump threatened to impose a 200% tariff on several alcohol products from the European Union. This followed the EU’s retaliation against Trump’s 25% steel and aluminum tariffs in which the EU plans to impose a tariff on US whiskey, along with other industrial and farm products. On March 6, Trump postponed a majority of the 25% tariffs on imports from Mexico and Canada for a month. The situation is dynamic, with uncertainty about the magnitude of the hit to the spirits being exported to the US.

Narrow-moat Remy Cointreau reported its third-quarter trading update for fiscal 2025, which aligned with our estimates. The environment remains challenging, with inventory destocking in the US and persistent weakness in China. Management confirmed its fiscal 2025 outlook, which is in line with our model. Despite the slowdown, we continue to hold our thesis that Remy has an attractive runway for growth as key markets undergo premiumization. The firm reiterated its 2030 targets of 72% gross margin and 33% operating margin. With this, we maintain our EUR 119 fair value estimate and view shares as undervalued. We expect a recovery in the second half of fiscal 2026 followed by mid-single-digit growth in fiscal 2027 and beyond.

Narrow-moat Remy Cointreau reported its sales update for first-half fiscal 2025, which was below our expectations. Headwinds persisted across territories, including inventory destocking in the US along with unfavorable consumer trends in the Asia-Pacific. Following this, management adjusted its fiscal 2025 outlook and no longer expects a recovery in sales over the year. Despite the slowdown, we continue to hold our thesis that Remy has an attractive runway for growth as key markets undergo premiumization. The firm reiterated its 2030 targets, and in line with this, our long-term estimates remain unchanged. We maintain our EUR 119 fair value estimate, which assumes a recovery over fiscal 2026 followed by mid-single-digit growth in fiscal 2027 and beyond.

Narrow-moat Remy Cointreau reported its first fiscal quarter trading update with results that missed our forecasts. The firm continues to face headwinds across territories, including inventory destocking in the United States along with unfavorable consumer trends in Southeast Asia. Still, we hold our long-term thesis that Remy has an attractive runway for growth as key markets undergo premiumization, and we thereby view the current slowdown as transitory. With this, we maintain our EUR 119 fair value estimate, which assumes a recovery in the second half of the fiscal year followed by mid-single-digit revenue growth in fiscal 2026 and beyond.

Outside of the Chinese baijiu makers, we think Remy Cointreau possesses the most premium portfolio among our global beverages coverage. In particular, Louis XIII, the firm’s ultrapremium cognac brand, can sell at retail prices well into four figures, while Remy Martin XO retails at around $200 per 75 centiliter bottle. Together, these two brands accounted for 72% of Remy's 2022 revenue. Other parts of the portfolio also sell in premium price segments, including The Botanist gin and some of the line extensions of Bruichladdich, Remy's Islay whisky.

Remy Cointreau reported disappointing results for its December-ended third quarter of fiscal 2024, with a steep decline in cognac sales that missed our forecasts. The stock, however, responded positively, jumping by 15% in trading on Jan. 26, likely because management made positive comments about its expectations for a volume recovery in the fourth quarter. While investors may be relieved that cognac appears to be rebounding, the risk of a longer-term impairment of demand in China remains. We are reiterating our narrow moat rating and our EUR 119 fair value estimate, which assumes a recovery in the fourth fiscal quarter followed by mid-single-digit revenue growth in fiscal 2026 and beyond. The uncertain outcome of China's policy review relating to imported brandy limits our conviction in these forecasts. As such, we believe the remaining 15% upside to our valuation does not compensate investors sufficiently for the risk of a ban on cognac in China, although noise relating to the review may create attractive opportunities to build a position in the future.