Diageo reported a net sales increase of 2.3% in its latest trading statement, with particularly strong performances across Europe, Latin America and the Caribbean and Africa. 

In Europe, net sales grew by 8.8%, led by the success of Guinness in Great Britain and Ireland. 

Meanwhile, spirits growth was driven by MENA, Central Europe and Turkey, particularly evident in sales of Johnnie Walker. 

Sales in Latin America and the Caribbean rose by 16.2%, with growth especially evident in Brazil thanks to the RTD market and Smirnoff Ice. 

Organic net sales in Africa also increased by 17.1%, accelerated by spirits such as Kenya Cane. Strong beer growth was driven by Serengeti, while RTDs like Smirnoff Ice also performed well. 

At the same time, however, the company said that net sales declined by 9.4% in North America, reflecting a broader pattern of weakness in the US spirits market. 

Zooming in on the category, spirits sales dropped by 15.4%, with tequila sales particularly affected by category softness and competitive pressure. 

In Asia Pacific, organic net sales also declined by 0.8%, driven by weakness in Greater China. The exception was Guinness, which recorded double-digit sales growth. 

On the changes, Sir Dave Lewis, CEO at Diageo, said: “We are pleased with the strong growth across Europe, LAC and Africa. North America remains our biggest challenge, where market conditions are soft and our offer needs to be more competitive. Actions are already underway to address this.”