Profits at Diageo increase following price rises and higher premium sales

Diageo increased prices on a pint of Guinness by 12c back in February. 

Despite a drop in sales volumes, Guinness-owner Diageo has posted strong growth in operating profit as it increased sales of premium drinks and increased prices, new financial results show.

According to the company’s preliminary results for the year-ending June, reported net sales increased by 10.7% to £17.1bn (€20bn) despite volume declining by 7.4%. The company said the growth in net sales was driven by strong organic growth and favourable foreign exchange impacts.