Diageo weathers Guinness downturn

Drinks giant Diageo hailed its performance in emerging markets today after profits rose despite sales of Guinness falling again in Europe.

Sales of the famous stout declined 5% across the continent, with volumes in core markets of the UK and Ireland hit by economic conditions, pub closures and the rise in VAT, as well as other duty increases that shifted drinkers towards supermarkets and off-trade outlets.