Remy Cointreau has warned of a double-digit fall in full-year operating profits as a Cognac slowdown in China hit its half-year results. Net profits slipped 20% to 69.3M/Euros in the six months to the end of September, the French group said in a press release. Net sales fell 6% to 558M/Euros over the same period, while operating profits dropped 6% to 132.7M/Euros. The consolidated results included the profits declines. Remy said the second half of the financial year in China will be less favourable and will lead to a double-digit decline in full-year operating profits. However, the added Remy Martin's fundamentals in China remain unchanged and it has continued to invest in it. In Europe, the brand posted a 10% fall in sales and a 12% operating profit drop. Liqueurs and spirits did better, with a 3% operating profits growth and a 10% sales increase.
