Diageo H1 Profit Rise; Sales, Volume Down; Backs Sales Growth View - Quick Facts

(RTTNews) - Diageo plc (DGE.L, DEO) reported Thursday that its first-half profit attributable to parent company's shareholders increased 7 percent to 1.41 billion pounds from last year's 1.31 billion pounds. Basic earnings per share grew to 56.1 pence from 52.3 pence last year.

Earnings per share before exceptional items were 51.3 pence, compared to 53.7 pence a year ago.

Net sales declined 5 percent to 5.61 billion pounds from 5.90 billion pounds last year. On organic basis, net sales increased 1.8 percent.

Volume declined 3 percent on a reported basis, but increased 1 percent organically.

Further, the company announced that interim dividend increased 5% to 22.6 pence per share.

Looking ahead, for the full year, the company expects volume growth to drive stronger top line performance, margin to slightly improve and strong cash conversion to continue. This will set us up to deliver better momentum in F17, with productivity gains supporting margin expansion and investment in growth.

"We remain confident of achieving our objective of mid-single digit top line growth and 100bps of organic operating margin improvement in the three years ending fiscal 19," the company said in its statement.