Delivered strong net sales growth, particularly in North America,
our largest market
|
|
|
-
|
Reported
net sales (£12.7 billion) increased 8.3%, with strong organic
growth, partially offset by an adverse foreign exchange
impact.
|
|
-
|
Organic
net sales growth of 16.0%, driven by growth across all regions and
a benefit from lapping a reduction of inventory levels by our
customers in fiscal 20.
|
|
-
|
North
America organic growth of 20.2%, reflecting resilient consumer
demand, spirits taking share of total beverage alcohol and the
replenishment of stock levels by distributors and
retailers.
|
|
Operating profit growth ahead of net sales growth
|
|
|
-
|
Reported
operating profit (£3.7 billion) increased 74.6%, and reported
operating margin increased by 1,112bps, primarily due to a
significant reduction in exceptional operating items.
|
|
-
|
Organic
operating profit growth of 17.7%, following decline in fiscal 20,
with growth in all regions except Europe and Turkey.
|
|
-
|
Organic
operating margin increased 46bps, driven by overhead efficiencies
and lapping one-off expenses, partially offset by gross margin
decline and upweighted marketing spend.
|
|
Responded to increased consumer demand in off-trade channel,
gaining market share
|
|
|
-
|
Broad-based
growth across categories, including tequila, scotch, Chinese white
spirits and Baileys.
|
|
-
|
Held or
grew off-trade market share in over 85%(i) of total net sales value
in measured markets.
|
|
-
|
On-trade
significantly restricted in many markets due to Covid-19,
particularly impacting beer in Europe.
|
|
Invested in long-term growth despite near-term uncertainty due to
Covid-19
|
|
|
-
|
Increased
investment in marketing by 23%, ahead of organic net sales
growth.
|
|
-
|
Continued
capex investment in capacity, digital capabilities, consumer
experiences and sustainability.
|
|
-
|
Expanded
gin and ready to drink portfolios with acquisitions, including
Aviation American Gin.
|
|
Maintained strong ESG and stakeholder focus
|
|
|
-
|
'Raising
the Bar,' our $100 million global on-trade recovery fund, has
already reached c.35,000 outlets in eleven countries.
|
|
-
|
In this
year's survey of our people, 89% of respondents(ii) said they were
proud to work for Diageo.
|
|
-
|
25
ambitious new goals in our 'Society 2030: Spirit of Progress',
10-year sustainability action plan, including net zero carbon
emissions across our direct operations by 2030.
|
|
Excellent cash flow generation
|
|
|
-
|
Increased
net cash from operating activities by £1.3 billion to
£3.7 billion, and free cash flow by £1.4 billion to
£3.0 billion, driven by growth in operating profit, working
capital management and a delayed 2019 dividend from associates,
partially offset by an adverse foreign exchange
impact.
|
|
-
|
Strong
balance sheet, with leverage ratio of 2.8x at 30 June 2021, back
within our target range.
|
|
Created long-term shareholder value
|
|
|
-
|
Increased
basic eps by 89.4% to 113.8 pence and pre-exceptional eps by 7.4%
to 117.5 pence.
|
|
-
|
Increased
recommended final dividend by 5% to 44.59 pence per
share.
|
|
-
|
Recommenced
return of capital programme of up to £4.5 billion by the end
of fiscal 24.
|
|
-
|
Delivered
10-year annualised total shareholder return of 13%.
|
|
Financial performance
|
|
|||||||||||||
Volume (equivalent units)
|
|
Operating profit
|
|
Earnings per share (EPS)
|
|
|||||||||
EU238.4m
|
|
|
|
£3,731m
|
|
|
|
113.8p
|
|
|
|
|||
(2020: EU 217.0 m)
|
|
|
|
(2020: £2,137m)
|
|
|
|
(2020: 60.1p)
|
|
|
|
|||
Reported movement
|
10
|
%
|
↑
|
|
Reported movement
|
75
|
%
|
↑
|
|
Reported movement
|
89
|
%
|
↑
|
|
Organic movement
|
11
|
%
|
↑
|
|
Organic movement
|
18
|
%
|
↑
|
|
EPS before exceptional
items movement
|
7
|
%
|
↑
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Net sales
|
|
Net cash from operating activities
|
|
Total recommended dividend
per share(iii)
|
|
|||||||||
£12,733m
|
|
|
|
£3,654m
|
|
|
|
72.55p
|
|
|
|
|||
(2020: £11,752m)
|
|
|
|
(2020: £2,320m)
|
|
|
|
(2020: 69.88p)
|
|
|
|
|||
Reported movement
|
8
|
%
|
↑
|
|
2021
increase of £1,334m
|
|
|
|
Increase
|
4
|
%
|
↑
|
|
|
Organic movement
|
16
|
%
|
↑
|
|
2021
free cash flow(ii) £3,037m
|
|
|
|
|
|
|
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2021
|
2020
|
Organic growth
%
|
Reported growth
%
|
||||
Volume
|
EUm
|
238.4
|
217.0
|
|
11
|
|
10
|
|
|
Net sales
|
£ million
|
12,733
|
|
11,752
|
|
16
|
|
8
|
|
Marketing
|
£ million
|
2,163
|
1,841
|
|
23
|
|
17
|
|
|
Operating profit before exceptional items
|
£ million
|
3,746
|
|
3,494
|
|
18
|
|
7
|
|
Exceptional
operating items(i)
|
£ million
|
(15)
|
|
(1,357)
|
|
|
|
||
Operating profit
|
£ million
|
3,731
|
|
2,137
|
|
|
75
|
|
|
Share of associate and joint venture profit after tax
|
£ million
|
334
|
|
282
|
|
|
18
|
|
|
Non-operating
exceptional items(i)
|
£ million
|
14
|
|
(23)
|
|
|
|
||
Net finance charges
|
£ million
|
(373)
|
|
(353)
|
|
|
|
||
Exceptional
taxation (charge)/credit(i)
|
£ million
|
(84)
|
|
154
|
|
|
|
||
Tax rate including exceptional items
|
%
|
24.5
|
|
28.8
|
|
(15)
|
|
||
Tax rate before exceptional items
|
%
|
22.2
|
|
21.7
|
|
|
2
|
|
|
Profit attributable to parent company's shareholders
|
£ million
|
2,660
|
|
1,409
|
|
|
89
|
|
|
Basic earnings per share
|
pence
|
113.8
|
|
60.1
|
|
|
89
|
|
|
Basic earnings per share before exceptional items
|
pence
|
117.5
|
|
109.4
|
|
|
7
|
|
|
Recommended full year dividend
|
pence
|
72.55
|
|
69.88
|
|
|
4
|
|
|
Volume
|
Net sales
|
Marketing
|
Operating
profit(i)
|
||||||||||||
|
%
|
EUm
|
%
|
£ million
|
%
|
£ million
|
%
|
£ million
|
||||||||
North America
|
10
|
|
4.8
|
|
13
|
|
586
|
|
29
|
|
209
|
|
10
|
|
203
|
|
Europe and Turkey
|
6
|
|
2.5
|
|
-
|
|
(9)
|
|
11
|
|
45
|
|
(16)
|
|
(122)
|
|
Africa
|
10
|
|
3.0
|
|
5
|
|
66
|
|
5
|
|
8
|
|
69
|
|
70
|
|
Latin America and Caribbean
|
22
|
|
4.1
|
|
15
|
|
138
|
|
4
|
|
6
|
|
22
|
|
55
|
|
Asia Pacific
|
9
|
|
7.0
|
|
10
|
|
218
|
|
15
|
|
53
|
|
21
|
|
107
|
|
Corporate
|
-
|
|
-
|
|
(47)
|
|
(18)
|
|
17
|
|
1
|
|
(41)
|
|
(61)
|
|
Diageo
|
10
|
|
21.4
|
|
8
|
|
981
|
|
17
|
|
322
|
|
7
|
|
252
|
|
|
Volume
|
Net sales
|
Marketing
|
Operating
profit(i)
|
||||||||||||
|
%
|
EUm
|
%
|
£ million
|
%
|
£ million
|
%
|
£ million
|
||||||||
North America
|
11
|
|
5.1
|
|
20
|
|
929
|
|
34
|
|
248
|
|
17
|
|
352
|
|
Europe and Turkey
|
7
|
|
2.9
|
|
4
|
|
108
|
|
13
|
|
56
|
|
(5)
|
|
(38)
|
|
Africa
|
18
|
|
4.8
|
|
20
|
|
258
|
|
14
|
|
22
|
|
101
|
|
113
|
|
Latin America and Caribbean
|
22
|
|
4.1
|
|
30
|
|
275
|
|
18
|
|
28
|
|
63
|
|
153
|
|
Asia Pacific
|
9
|
|
7.0
|
|
14
|
|
308
|
|
16
|
|
60
|
|
22
|
|
113
|
|
Corporate
|
-
|
|
-
|
|
(47)
|
|
(18)
|
|
100
|
|
3
|
|
(43)
|
|
(66)
|
|
Diageo
|
11
|
|
23.9
|
|
16
|
|
1,860
|
|
23
|
|
417
|
|
18
|
|
627
|
|
|
2019 to 2021
Reported growth %(ii)
|
2019 to 2021
Growth on a constant basis %(ii)
|
||
Net sales
|
|
|
||
North America
|
17
|
|
24
|
|
Europe and Turkey
|
(13)
|
|
(9)
|
|
Africa
|
(12)
|
|
4
|
|
Latin America and Caribbean
|
(7)
|
|
9
|
|
Asia Pacific
|
(7)
|
|
(4)
|
|
Corporate
|
(62)
|
|
(62)
|
|
Diageo
|
(1)
|
|
6
|
|
Net sales
|
£ million
|
|
2020
|
11,752
|
|
Exchange(i)
|
(800)
|
|
Acquisitions and disposals
|
(65)
|
|
Reclassification(ii)
|
(14)
|
|
Volume
|
1,296
|
|
Price/mix
|
564
|
|
2021
|
12,733
|
|
Operating profit
|
£ million
|
|
2020
|
2,137
|
|
Exceptional
operating items(ii)
|
1,342
|
|
Exchange
|
(306)
|
|
Acquisitions and disposals
|
(31)
|
|
FVA(iii)
|
(38)
|
|
Organic movement
|
627
|
|
2021
|
3,731
|
|
Operating margin
|
ppt
|
|
2020
|
18.2
|
|
Exceptional
operating items(i)
|
11.43
|
|
Exchange
|
(0.46)
|
|
Acquisitions and disposals
|
(0.07)
|
|
Other(ii)
|
(0.24)
|
|
Gross margin
|
(0.40)
|
|
Marketing
|
(0.91)
|
|
Other operating items
|
1.77
|
|
2021
|
29.3
|
|
Basic earnings per share
|
pence
|
|
2020
|
60.1
|
|
Exceptional
items after tax(i)
|
45.6
|
|
Exchange on operating profit
|
(13.1)
|
|
Acquisitions
and disposals(ii)
|
(1.4)
|
|
Organic operating profit
|
26.7
|
|
Associates and joint ventures
|
2.2
|
|
Finance
charges(iii)
|
0.1
|
|
Tax(iv)
|
(4.0)
|
|
Share
buyback(ii)
|
0.1
|
|
Non-controlling interests
|
(1.0)
|
|
FVA(v)
|
(1.5)
|
|
2021
|
113.8
|
|
Free cash flow
|
£ million
|
|
2020
|
1,634
|
|
Exchange(ii)
|
(306)
|
|
Operating
profit(iii)
|
655
|
|
Working
capital(iv)
|
659
|
|
Capex
|
73
|
|
Tax
|
49
|
|
Interest
|
(43)
|
|
Other(v)
|
316
|
|
2021
|
3,037
|
|
Return on average invested capital
|
ppt
|
|
2020
|
12.4
|
|
Exchange
|
(0.83)
|
|
Acquisitions and disposals
|
(0.33)
|
|
Organic operating profit
|
2.79
|
|
Associates and joint ventures
|
0.19
|
|
Tax
|
(0.87)
|
|
Other
|
0.17
|
|
2021
|
13.5
|
|
●
|
Net sales growth of 20%, following slower growth of 2% in fiscal
20, driven primarily by US Spirits.
|
●
|
Strong growth primarily reflects resilient consumer demand, spirits
category continuing to take share of total beverage alcohol and the
replenishment of stock levels by distributors and
retailers.
|
●
|
Spirits growth of 21% reflects particularly strong performance in
tequila and broad-based growth across all other spirits categories
supported by consumer led marketing and
innovation.
|
●
|
Beer growth of 10% primarily driven by flavoured malt
beverages.
|
●
|
Organic operating margin decreased 124bps, primarily reflecting
increased investment in marketing, adverse category mix and
inflationary impact of agave.
|
Key financials £ million:
|
||||||||||||||
|
2020
|
Exchange
|
Acquisitions
and
disposals
|
Organic movement
|
Other(i)
|
2021
|
Reported movement%
|
|||||||
Net sales
|
4,623
|
|
(353)
|
|
10
|
|
929
|
|
-
|
|
5,209
|
|
13
|
|
Marketing
|
727
|
|
(52)
|
|
12
|
|
248
|
|
1
|
|
936
|
|
29
|
|
Operating profit before exceptional items
|
2,034
|
|
(131)
|
|
(19)
|
|
352
|
|
1
|
|
2,237
|
|
10
|
|
Exceptional
operating items(ii)
|
54
|
|
|
|
|
|
-
|
|
|
|||||
Operating profit
|
2,088
|
|
|
|
|
|
2,237
|
|
7
|
Markets:
|
|
|
|
|
|
Global giants, local stars and reserve(v):
|
||||||||||
|
Organic
volume
movement
|
Reported
volume
movement
|
Organic
net sales
movement
|
Reported
net sales
movement
|
|
|
Organic
volume
movement(vi)
|
Organic
net sales
movement
|
Reported
net sales
movement
|
|||||||
|
%
|
%
|
%
|
%
|
|
|
%
|
%
|
%
|
|||||||
North
America(iii)
|
11
|
|
10
|
|
20
|
|
13
|
|
|
Crown Royal
|
10
|
|
12
|
|
5
|
|
|
|
|
|
|
|
Smirnoff
|
4
|
|
4
|
|
(2)
|
|
||||
US Spirits
|
13
|
|
14
|
|
24
|
|
16
|
|
|
Johnnie Walker
|
8
|
|
15
|
|
8
|
|
DBC USA
|
10
|
|
10
|
|
12
|
|
5
|
|
|
Captain Morgan
|
6
|
|
5
|
|
(1)
|
|
Canada
|
3
|
|
3
|
|
4
|
|
1
|
|
|
Don Julio
|
72
|
|
68
|
|
57
|
|
|
|
|
|
|
|
Ketel
One(vii)
|
9
|
|
1
|
|
(6)
|
|
||||
Spirits
|
11
|
|
10
|
|
21
|
|
13
|
|
|
Guinness
|
-
|
|
2
|
|
(4)
|
|
Beer(iv)
|
8
|
|
8
|
|
10
|
|
3
|
|
|
Baileys
|
16
|
|
28
|
|
21
|
|
Ready
to drink(iv)
|
55
|
|
48
|
|
101
|
|
89
|
|
|
Bulleit
|
8
|
|
9
|
|
2
|
|
|
|
|
|
|
|
Cîroc vodka
|
25
|
|
26
|
|
18
|
|
||||
|
|
|
|
|
|
Casamigos
|
115
|
|
125
|
|
110
|
|
||||
|
|
|
|
|
|
Tanqueray
|
5
|
|
5
|
|
(1)
|
|
|
|
|
North America contributed
|
|
North America organic net sales grew
|
41% of
Diageo reported net sales in fiscal 21
|
|
20% in fiscal 21
|
●
|
Net sales increased 4%, following a significant decline in fiscal
20, primarily reflecting strong consumer demand in the off-trade
channel and market share gains. The on-trade remained
impacted.
|
●
|
Growth was primarily driven by Northern Europe, Turkey and Great
Britain.
|
●
|
Southern Europe experienced slower growth, and Ireland declined
significantly, due to the higher exposure to the on-trade in those
markets.
|
●
|
Spirits net sales grew 11%, with broad-based growth across scotch,
Baileys, rum, gin and raki.
|
●
|
Beer net sales declined 21%, driven by Guinness in Ireland and
Great Britain, as a result of higher exposure to the
on-trade.
|
●
|
Travel Retail Europe declined 56%, reflecting the continued
restrictions on international travel.
|
●
|
Operating margin declined 265bps due to the adverse mix impact from
on-trade closures and growth in marketing investment ahead of net
sales.
|
Key financials £ million:
|
||||||||||||||
|
2020
|
Exchange
|
Acquisitions
and
disposals
|
Organic movement
|
Other(i)
|
2021
|
Reported movement
%
|
|||||||
Net sales
|
2,567
|
|
(85)
|
|
(32)
|
|
108
|
|
-
|
|
2,558
|
|
-
|
|
Marketing
|
428
|
|
(9)
|
|
(2)
|
|
56
|
|
-
|
|
473
|
|
11
|
|
Operating profit before exceptional items
|
757
|
|
(49)
|
|
(12)
|
|
(38)
|
|
(23)
|
|
635
|
|
(16)
|
|
Exceptional
operating items(ii)
|
(62)
|
|
|
|
|
|
(15)
|
|
|
|||||
Operating profit
|
695
|
|
|
|
|
|
620
|
|
(11)
|
Markets:
|
|
|
|
|
|
Global giants and local stars(v):
|
||||||||||
|
Organic
volume
movement
|
Reported
volume
movement
|
Organic
net sales
movement
|
Reported
net sales
movement
|
|
|
Organicvolumemovement(vi)
|
Organic
net sales
movement
|
Reported
net sales
movement
|
|||||||
|
%
|
%
|
%
|
%
|
|
|
%
|
%
|
%
|
|||||||
Europe
and Turkey(iii)
|
7
|
|
6
|
|
4
|
|
-
|
|
|
Guinness
|
(11)
|
|
(19)
|
|
(19)
|
|
|
|
|
|
|
|
Johnnie Walker
|
12
|
|
10
|
|
4
|
|
||||
Great Britain
|
13
|
|
12
|
|
7
|
|
7
|
|
|
Baileys
|
17
|
|
19
|
|
19
|
|
Northern Europe
|
17
|
|
17
|
|
22
|
|
23
|
|
|
Smirnoff
|
(4)
|
|
(2)
|
|
(3)
|
|
Southern Europe
|
1
|
|
2
|
|
1
|
|
3
|
|
|
Captain Morgan
|
18
|
|
17
|
|
16
|
|
Eastern Europe
|
13
|
|
12
|
|
6
|
|
(4)
|
|
|
Yenì Raki
|
2
|
|
(3)
|
|
(24)
|
|
Ireland
|
(8)
|
|
(17)
|
|
(23)
|
|
(30)
|
|
|
Tanqueray
|
13
|
|
16
|
|
17
|
|
Turkey
|
17
|
|
17
|
|
28
|
|
(3)
|
|
|
JeB
|
-
|
|
(1)
|
|
(3)
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Spirits
|
10
|
|
9
|
|
11
|
|
7
|
|
|
|
|
|
|
|||
Beer(iv)
|
(12)
|
|
(18)
|
|
(21)
|
|
(25)
|
|
|
|
|
|
|
|||
Ready
to drink(iv)
|
13
|
|
13
|
|
14
|
|
13
|
|
|
|
|
|
|
|
|
|
Europe and Turkey contributed
|
|
Europe and Turkey organic net sales grew
|
20% of
Diageo reported net sales in fiscal 21
|
|
4% in
fiscal 21
|
●
|
Net sales grew 20%, following a decline in fiscal 20, driven by
Nigeria, East Africa and Africa Regional Markets.
|
●
|
Strong performance reflects resilience in consumer demand in the
off-trade and partial recovery of the on-trade, despite ongoing
Covid-19 restrictions.
|
●
|
Slower growth in South Africa, due to trade restrictions and
periodic bans on alcohol sales.
|
●
|
Beer net sales grew 19% primarily driven by Guinness and Malta
Guinness.
|
●
|
Spirits net sales grew 21% mainly driven by growth in mainstream
spirits.
|
●
|
Operating margin improved 586bps, lapping a significant decline in
fiscal 20. Margin improvement was driven by net sales recovery,
positive price/mix and productivity initiatives, partially offset
by market mix.
|
Key financials £ million:
|
||||||||||||
|
2020
|
Exchange
|
Acquisitions
and
disposals
|
Organic movement
|
2021
|
Reported movement
%
|
||||||
Net sales
|
1,346
|
|
(150)
|
|
(42)
|
|
258
|
|
1,412
|
|
5
|
|
Marketing
|
160
|
|
(13)
|
|
(1)
|
|
22
|
|
168
|
|
5
|
|
Operating profit before exceptional items
|
101
|
|
(43)
|
|
-
|
|
113
|
|
171
|
|
69
|
|
Exceptional
operating items(i)
|
(145)
|
|
|
|
|
-
|
|
|
||||
Operating profit
|
(44)
|
|
|
|
|
171
|
|
489
|
Markets:
|
|
|
|
|
|
Global giants and local stars(iv):
|
||||||||||
|
Organic
volume
movement
|
Reported
volume
movement
|
Organic
net sales
movement
|
Reported
net sales
movement
|
|
|
Organicvolumemovement(v)
|
Organic
net sales
movement
|
Reported
net sales
movement
|
|||||||
|
%
|
%
|
%
|
%
|
|
|
%
|
%
|
%
|
|||||||
Africa(ii)
|
18
|
|
10
|
|
20
|
|
5
|
|
|
Guinness
|
30
|
|
32
|
|
22
|
|
|
|
|
|
|
|
Johnnie Walker
|
(5)
|
|
4
|
|
(2)
|
|
||||
East Africa
|
13
|
|
13
|
|
13
|
|
2
|
|
|
Smirnoff
|
28
|
|
20
|
|
9
|
|
Africa
Regional Markets(ii)
|
12
|
|
(12)
|
|
15
|
|
(2)
|
|
|
|
|
|
|
|||
Nigeria
|
39
|
|
39
|
|
57
|
|
35
|
|
|
Other beer:
|
||||||
South
Africa(ii)
|
13
|
|
8
|
|
11
|
|
(7)
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
Malta Guinness
|
38
|
|
35
|
|
19
|
|
||||
Spirits
|
20
|
|
20
|
|
21
|
|
10
|
|
|
Senator
|
2
|
|
4
|
|
(7)
|
|
Beer(iii)
|
15
|
|
15
|
|
19
|
|
7
|
|
|
Tusker
|
8
|
|
4
|
|
(6)
|
|
Ready
to drink(ii)(iii)
|
30
|
|
7
|
|
31
|
|
(2)
|
|
|
Serengeti
|
6
|
|
7
|
|
(1)
|
|
|
|
|
Africa contributed
|
|
Africa organic net sales grew
|
11% of
Diageo reported net sales in fiscal 21
|
|
20% in
fiscal 21
|
●
|
Net sales increased 30%, lapping a significant decline in fiscal
20, driven by growth in all markets.
|
●
|
Growth reflects resilient consumer demand in the off-trade channel
and price increases in key markets.
|
●
|
Spirits grew 30% with strong growth across key categories,
particularly scotch.
|
●
|
Travel Retail Latin America and Caribbean declined 63% due to
continued international travel restrictions.
|
●
|
Operating margin improved by 674bps driven by net sales recovery,
positive price interventions and productivity
initiatives.
|
Key financials £ million:
|
||||||||||||||
|
2020
|
Exchange
|
Acquisitions
and
disposals
|
Organic movement
|
Other(i)
|
2021
|
Reported movement
%
|
|||||||
Net sales
|
908
|
|
(137)
|
|
-
|
|
275
|
|
-
|
|
1,046
|
|
15
|
|
Marketing
|
155
|
|
(22)
|
|
-
|
|
28
|
|
-
|
|
161
|
|
4
|
|
Operating profit before exceptional items
|
248
|
|
(82)
|
|
-
|
|
153
|
|
(16)
|
|
303
|
|
22
|
|
Exceptional
operating items(ii)
|
(6)
|
|
|
|
|
|
-
|
|
|
|||||
Operating profit
|
242
|
|
|
|
|
|
303
|
|
25
|
Markets:
|
|
|
|
|
|
Global giants and local stars(iv):
|
||||||||||
|
Organic
volume
movement
|
Reported
volume
movement
|
Organic
net sales
movement
|
Reported
net sales
movement
|
|
|
Organicvolumemovement(v)
|
Organic
net sales
movement
|
Reported
net sales
movement
|
|||||||
|
%
|
%
|
%
|
%
|
|
|
%
|
%
|
%
|
|||||||
Latin America and Caribbean
|
|
|
|
|
|
Johnnie Walker
|
25
|
|
29
|
|
16
|
|
||||
22
|
|
22
|
|
30
|
|
15
|
|
|
Buchanan's
|
18
|
|
23
|
|
11
|
|
|
|
|
|
|
|
|
Old Parr
|
14
|
|
16
|
|
4
|
|
||||
PUB
|
24
|
|
24
|
|
50
|
|
20
|
|
|
Smirnoff
|
16
|
|
25
|
|
7
|
|
Mexico
|
10
|
|
10
|
|
24
|
|
11
|
|
|
Black & White
|
33
|
|
44
|
|
26
|
|
CCA
|
15
|
|
15
|
|
12
|
|
8
|
|
|
Tanqueray
|
27
|
|
34
|
|
11
|
|
Andean
|
27
|
|
27
|
|
33
|
|
19
|
|
|
Baileys
|
39
|
|
44
|
|
32
|
|
PEBAC
|
47
|
|
47
|
|
73
|
|
62
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|||||||
Spirits
|
22
|
|
22
|
|
30
|
|
15
|
|
|
|
|
|
|
|||
Beer(iii)
|
11
|
|
11
|
|
17
|
|
16
|
|
|
|
|
|
|
|||
Ready
to drink(iii)
|
24
|
|
24
|
|
38
|
|
17
|
|
|
|
|
|
|
|
|
|
Latin America and Caribbean contributed
|
|
Latin America and Caribbean organic net sales grew
|
8% of
Diageo reported net sales in fiscal 21
|
|
30% in
fiscal 21
|
●
|
Net sales grew 14%, following a significant decline in fiscal 20,
driven by Greater China, India and Australia, partially offset by a
continued significant decline in Travel Retail Asia and Middle
East.
|
●
|
Growth reflects strong recovery in China and off-trade momentum in
most markets.
|
●
|
Slower growth in North Asia and South East Asia reflects continuing
impact of Covid-19.
|
●
|
Spirits grew 12% driven mainly by Chinese white spirits, IMFL
whisky and scotch.
|
●
|
Operating margin grew 169bps driven primarily by positive market
mix, category mix and operating leverage driven by net sales
recovery.
|
Key financials £ million:
|
||||||||||||||
|
2020
|
Exchange
|
Reclassification(i)
|
Acquisitions
and
disposals
|
Organic movement
|
2021
|
Reported movement
%
|
|||||||
Net sales
|
2,270
|
|
(75)
|
|
(14)
|
|
(1)
|
|
308
|
|
2,488
|
|
10
|
|
Marketing
|
365
|
|
(7)
|
|
-
|
|
-
|
|
60
|
|
418
|
|
15
|
|
Operating profit before exceptional items
|
501
|
|
(6)
|
|
-
|
|
-
|
|
113
|
|
608
|
|
21
|
|
Exceptional
operating items(ii)
|
(1,198)
|
|
|
|
|
|
-
|
|
|
|||||
Operating profit
|
(697)
|
|
|
|
|
|
608
|
|
187
|
Markets:
|
|
|
|
|
|
Global giants, local stars and reserve(iv):
|
||||||||||
|
Organic
volume
movement
|
Reported
volume
movement
|
Organic
net sales
movement
|
Reported
net sales
movement
|
|
|
Organicvolumemovement(v)
|
Organic
net sales
movement
|
Reported
net sales
movement
|
|||||||
|
%
|
%
|
%
|
%
|
|
|
%
|
%
|
%
|
|||||||
Asia Pacific
|
9
|
|
9
|
|
14
|
|
10
|
|
|
Johnnie Walker
|
4
|
|
3
|
|
2
|
|
|
|
|
|
|
|
McDowell's
|
10
|
|
10
|
|
1
|
|
||||
India
|
9
|
|
9
|
|
13
|
|
4
|
|
|
Shui
Jing Fang(vi)
|
42
|
|
51
|
|
51
|
|
Greater China
|
24
|
|
24
|
|
38
|
|
37
|
|
|
Guinness
|
8
|
|
9
|
|
(8)
|
|
Australia
|
21
|
|
22
|
|
23
|
|
29
|
|
|
The Singleton
|
6
|
|
5
|
|
5
|
|
South East Asia
|
-
|
|
(1)
|
|
7
|
|
(3)
|
|
|
Smirnoff
|
-
|
|
(4)
|
|
(4)
|
|
North Asia
|
18
|
|
16
|
|
9
|
|
4
|
|
|
Windsor
|
(16)
|
|
(6)
|
|
(8)
|
|
Travel Retail Asia and Middle East
|
(57)
|
|
(57)
|
|
(63)
|
|
(63)
|
|
|
Bundaberg
|
6
|
|
4
|
|
9
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Spirits
|
9
|
|
9
|
|
12
|
|
8
|
|
|
|
|
|
|
|||
Beer(iii)
|
9
|
|
9
|
|
9
|
|
(7)
|
|
|
|
|
|
|
|||
Ready
to drink(iii)
|
13
|
|
13
|
|
16
|
|
20
|
|
|
|
|
|
|
|
|
|
Asia Pacific contributed
|
|
Asia Pacific organic net sales grew
|
20% of
Diageo reported net sales in fiscal 21
|
|
14% in
fiscal 21
|
●
|
Spirits grew 18%, lapping a softer fiscal 20, with particularly
strong growth in scotch and tequila and broad-based growth across
other key categories.
|
●
|
Scotch grew 15%, and Johnnie Walker grew 12%, despite the
category's relatively high exposure to
Travel Retail.
|
●
|
Tequila grew 79% with Don Julio and Casamigos growing share within
the fast growing tequila category in US Spirits.
|
●
|
Beer grew 4%, driven by growth in flavoured malt beverages and
Malta Guinness.
|
●
|
Ready to drink grew 30%, with very strong growth in North America
and Australia driven by increased consumer demand for
convenient formats.
|
Key categories:
|
||||||
|
Organicvolumemovement(i)%
|
Organic
net sales
movement
%
|
Reported
net sales
movement
%
|
|||
Spirits(ii)
|
11
|
|
18
|
|
11
|
|
Scotch
|
15
|
|
15
|
|
8
|
|
Vodka(iii)(iv)
|
7
|
|
7
|
|
1
|
|
Canadian whisky
|
8
|
|
12
|
|
4
|
|
Rum(iii)
|
-
|
|
7
|
|
1
|
|
Liqueurs
|
15
|
|
22
|
|
18
|
|
Indian-Made Foreign Liquor (IMFL) whisky
|
13
|
|
12
|
|
3
|
|
Tequila
|
70
|
|
79
|
|
67
|
|
Gin(iii)
|
14
|
|
14
|
|
12
|
|
US whiskey
|
3
|
|
7
|
|
1
|
|
Beer(v)
|
8
|
|
4
|
|
(4)
|
|
Ready
to drink(v)
|
24
|
|
30
|
|
21
|
|
Global giants, local stars and reserve(i):
|
||||||
|
Organicvolumemovement(ii)%
|
Organic
net sales
movement
%
|
Reported
net sales
movement
%
|
|||
Global giants
|
|
|
|
|||
Johnnie
Walker
|
11
|
|
12
|
|
6
|
|
Smirnoff
|
6
|
|
5
|
|
(1)
|
|
Baileys
|
18
|
|
24
|
|
20
|
|
Captain
Morgan
|
10
|
|
9
|
|
4
|
|
Tanqueray
|
10
|
|
12
|
|
6
|
|
Guinness
|
7
|
|
-
|
|
(6)
|
|
Local stars
|
|
|
|
|||
Crown
Royal
|
9
|
|
12
|
|
5
|
|
Yenì
Raki
|
2
|
|
(3)
|
|
(24)
|
|
Buchanan's
|
24
|
|
29
|
|
19
|
|
JƐB
|
3
|
|
3
|
|
(1)
|
|
Windsor
|
(16)
|
|
(6)
|
|
(8)
|
|
Old
Parr
|
14
|
|
16
|
|
5
|
|
Bundaberg
|
6
|
|
5
|
|
10
|
|
Black
& White
|
24
|
|
26
|
|
12
|
|
Ypióca
|
10
|
|
9
|
|
(15)
|
|
McDowell's
|
10
|
|
11
|
|
1
|
|
Shui
Jing Fang(iii)
|
42
|
|
51
|
|
51
|
|
Reserve
|
|
|
|
|||
Scotch
malts
|
10
|
|
11
|
|
9
|
|
Cîroc
vodka
|
23
|
|
26
|
|
19
|
|
Ketel
One(iv)
|
6
|
|
-
|
|
(6)
|
|
Don
Julio
|
50
|
|
62
|
|
51
|
|
Bulleit
|
9
|
|
10
|
|
3
|
|
Casamigos
|
114
|
|
125
|
|
110
|
|
Summary income statement
|
|
2020
|
|
Exchange
(a)
|
Acquisitions and disposals
(b)
|
Organic
movement(i)
|
Fair value remeasurement
(d)
|
Reclassification(ii)
|
2021
|
|
|||||
|
£ million
|
£ million
|
£ million
|
£ million
|
£ million
|
£ million
|
£ million
|
|||||||
Sales
|
17,697
|
|
(1,317)
|
|
(105)
|
|
2,878
|
|
-
|
|
-
|
|
19,153
|
|
Excise duties
|
(5,945)
|
|
517
|
|
40
|
|
(1,018)
|
|
-
|
|
(14)
|
|
(6,420)
|
|
Net sales
|
11,752
|
|
(800)
|
|
(65)
|
|
1,860
|
|
-
|
|
(14)
|
|
12,733
|
|
Cost of sales
|
(4,654)
|
|
325
|
|
59
|
|
(773)
|
|
(9)
|
|
14
|
|
(5,038)
|
|
Gross profit
|
7,098
|
|
(475)
|
|
(6)
|
|
1,087
|
|
(9)
|
|
-
|
|
7,695
|
|
Marketing
|
(1,841)
|
|
105
|
|
(9)
|
|
(417)
|
|
(1)
|
|
-
|
|
(2,163)
|
|
Other operating items
|
(1,763)
|
|
64
|
|
(16)
|
|
(43)
|
|
(28)
|
|
-
|
|
(1,786)
|
|
Operating profit before exceptional items
|
3,494
|
|
(306)
|
|
(31)
|
|
627
|
|
(38)
|
|
-
|
|
3,746
|
|
Exceptional operating items (c)
|
(1,357)
|
|
|
|
|
|
|
(15)
|
|
|||||
Operating profit
|
2,137
|
|
|
|
|
|
|
3,731
|
|
|||||
Non-operating items (c)
|
(23)
|
|
|
|
|
|
|
14
|
|
|||||
Net finance charges
|
(353)
|
|
|
|
|
|
|
(373)
|
|
|||||
Share of after tax results of associates and joint
ventures
|
282
|
|
|
|
|
|
|
334
|
|
|||||
Profit before taxation
|
2,043
|
|
|
|
|
|
|
3,706
|
|
|||||
Taxation (e)
|
(589)
|
|
|
|
|
|
|
(907)
|
|
|||||
Profit for the year
|
1,454
|
|
|
|
|
|
|
2,799
|
|
|
Gains/(losses)
|
|
|
£ million
|
|
Translation impact
|
(207)
|
|
Transaction impact
|
(99)
|
|
Operating profit before exceptional items
|
(306)
|
|
Net
finance charges - translation impact
|
15
|
|
Net
finance charges - transaction impact
|
(3)
|
|
Net finance charges
|
12
|
|
Associates - translation impact
|
4
|
|
Profit before exceptional items and taxation
|
(290)
|
|
|
Year
ended
30 June
2021
|
Year
ended
30 June
2020
|
||
Exchange rates
|
|
|
||
Translation
£1 =
|
$1.35
|
|
$1.26
|
|
Transaction
£1 =
|
$1.34
|
|
$1.35
|
|
Translation
£1 =
|
€1.13
|
|
€1.14
|
|
Transaction
£1 =
|
€1.14
|
|
€1.12
|
|
|
2021
|
2020
|
||
|
£ million
|
£ million
|
||
Net borrowings at the beginning of the year
|
(13,246)
|
|
(11,277)
|
|
Free cash flow (a)
|
3,037
|
|
1,634
|
|
Acquisitions (b)
|
(488)
|
|
(130)
|
|
Sale of businesses and brands
|
14
|
|
11
|
|
Share buyback programme
|
(109)
|
|
(1,282)
|
|
Proceeds from issue of share capital
|
-
|
|
1
|
|
Net sale of own shares for share schemes (c)
|
49
|
|
54
|
|
Dividends paid to non-controlling interests
|
(77)
|
|
(111)
|
|
Net movements in bonds (d)
|
(216)
|
|
4,368
|
|
Purchase of shares of non-controlling interests (e)
|
(42)
|
|
(62)
|
|
Net movements in other borrowings (f)
|
(753)
|
|
(285)
|
|
Equity dividends paid
|
(1,646)
|
|
(1,646)
|
|
Net
(decrease)/increase in cash and cash equivalents
|
(231)
|
|
2,552
|
|
Net
decrease/(increase) in bonds and other borrowings
|
967
|
|
(4,089)
|
|
Exchange differences (g)
|
598
|
|
(95)
|
|
Other non-cash items (h)
|
(197)
|
|
(86)
|
|
Adoption of IFRS 16
|
-
|
|
(251)
|
|
Net
borrowings at the end of the year
|
(12,109)
|
|
(13,246)
|
|
|
2021
|
2020
|
||
|
£ million
|
£ million
|
||
Equity at the beginning of the year
|
8,440
|
|
10,156
|
|
Profit
for the year
|
2,799
|
|
1,454
|
|
Exchange adjustments (a)
|
(836)
|
|
(282)
|
|
Remeasurement of post employment plans net of taxation
|
(27)
|
|
3
|
|
Purchase of shares of non-controlling interests (b)
|
(42)
|
|
(62)
|
|
Associates' transactions with non-controlling
interests
|
(91)
|
|
-
|
|
Dividends to non-controlling interests
|
(72)
|
|
(117)
|
|
Equity dividends paid
|
(1,646)
|
|
(1,646)
|
|
Share buyback programme
|
(200)
|
|
(1,256)
|
|
Other reserve movements
|
106
|
|
190
|
|
Equity at the end of the year
|
8,431
|
|
8,440
|
|
|
|
Year ended 30 June 2021
|
|
Year ended 30 June 2020
|
|||
|
Notes
|
£ million
|
|
£ million
|
|||
Sales
|
2
|
19,153
|
|
|
17,697
|
|
|
Excise duties
|
|
(6,420)
|
|
|
(5,945)
|
|
|
Net sales
|
2
|
12,733
|
|
|
11,752
|
|
|
Cost of sales
|
|
(5,038)
|
|
|
(4,654)
|
|
|
Gross profit
|
|
7,695
|
|
|
7,098
|
|
|
Marketing
|
|
(2,163)
|
|
|
(1,841)
|
|
|
Other operating items
|
|
(1,801)
|
|
|
(3,120)
|
|
|
Operating profit
|
2
|
3,731
|
|
|
2,137
|
|
|
Non-operating items
|
3
|
14
|
|
|
(23)
|
|
|
Finance income
|
4
|
278
|
|
|
366
|
|
|
Finance charges
|
4
|
(651)
|
|
|
(719)
|
|
|
Share of after tax results of associates and joint
ventures
|
|
334
|
|
|
282
|
|
|
Profit before taxation
|
|
3,706
|
|
|
2,043
|
|
|
Taxation
|
5
|
(907)
|
|
|
(589)
|
|
|
Profit for the year
|
|
2,799
|
|
|
1,454
|
|
|
|
|
|
|
|
|||
Attributable to:
|
|
|
|
|
|||
Equity shareholders of the parent company
|
|
2,660
|
|
|
1,409
|
|
|
Non-controlling interests
|
|
139
|
|
|
45
|
|
|
|
|
2,799
|
|
|
1,454
|
|
|
|
|
|
|
|
|||
Weighted average number of shares
|
|
million
|
|
million
|
|||
Shares in issue excluding own shares
|
|
2,337
|
|
|
2,346
|
|
|
Dilutive potential ordinary shares
|
|
8
|
|
|
8
|
|
|
|
|
2,345
|
|
|
2,354
|
|
|
|
|
|
|
|
|||
|
|
pence
|
|
pence
|
|||
Basic earnings per share
|
|
113.8
|
|
|
60.1
|
|
|
|
|
|
|
|
|||
Diluted earnings per share
|
|
113.4
|
|
|
59.9
|
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
Year
ended
30 June
2021
|
Year
ended
30 June
2020
|
||
|
£ million
|
£ million
|
||
Other comprehensive income
|
|
|
||
Items that will not be recycled subsequently to the income
statement
|
|
|
||
Net remeasurement of post employment plans
|
|
|
||
-
group
|
16
|
38
|
|
|
-
associates and joint ventures
|
3
|
|
(14)
|
|
Tax on post employment plans
|
(46)
|
|
(21)
|
|
|
(27)
|
|
3
|
|
Items that may be recycled subsequently to the income
statement
|
|
|
||
Exchange differences on translation of foreign
operations
|
|
|
||
-
group
|
(1,233)
|
|
(104)
|
|
-
associates and joint ventures
|
(240)
|
|
82
|
|
-
non-controlling interests
|
(173)
|
|
(37)
|
|
Net investment hedges
|
810
|
|
(227)
|
|
Exchange loss recycled to the income statement
|
|
|
||
-
on translation of foreign operations
|
-
|
|
4
|
|
Tax on exchange differences - group
|
(9)
|
|
4
|
|
Tax on exchange differences - non-controlling
interests
|
(1)
|
|
-
|
|
Effective portion of changes in fair value of cash flow
hedges
|
|
|
||
-
hedge of foreign currency debt of the group
|
(298)
|
|
221
|
|
-
transaction exposure hedging of the group
|
101
|
|
(43)
|
|
-
commodity price risk hedging of the group
|
41
|
|
(11)
|
|
-
hedges by associates and joint ventures
|
(1)
|
|
6
|
|
-
recycled to income statement - hedge of foreign currency debt of
the group
|
175
|
|
(75)
|
|
-
recycled to income statement - transaction exposure hedging of the
group
|
10
|
|
42
|
|
-
recycled to income statement - commodity price risk hedging of the
group
|
(2)
|
|
8
|
|
Tax on effective portion of changes in fair value of cash flow
hedges
|
(6)
|
|
(23)
|
|
Hyperinflation adjustment
|
(17)
|
|
(18)
|
|
Tax on hyperinflation adjustment
|
5
|
|
4
|
|
|
(838)
|
|
(167)
|
|
Other
comprehensive loss, net of tax, for the year
|
(865)
|
|
(164)
|
|
Profit
for the year
|
2,799
|
|
1,454
|
|
Total
comprehensive income for the year
|
1,934
|
|
1,290
|
|
|
|
|
||
Attributable to:
|
|
|
||
Equity shareholders of the parent company
|
1,969
|
|
1,282
|
|
Non-controlling interests
|
(35)
|
|
8
|
|
Total
comprehensive income for the year
|
1,934
|
|
1,290
|
|
|
|
30 June 2021
|
30 June 2020
|
||||||
|
Notes
|
£ million
|
£ million
|
£ million
|
£ million
|
||||
Non-current assets
|
|
|
|
|
|
||||
Intangible assets
|
12
|
10,764
|
|
|
11,300
|
|
|
||
Property, plant and equipment
|
|
4,849
|
|
|
4,926
|
|
|
||
Biological assets
|
|
66
|
|
|
51
|
|
|
||
Investments in associates and joint ventures
|
|
3,308
|
|
|
3,557
|
|
|
||
Other investments
|
|
40
|
|
|
41
|
|
|
||
Other receivables
|
|
36
|
|
|
46
|
|
|
||
Other financial assets
|
|
327
|
|
|
686
|
|
|
||
Deferred tax assets
|
|
100
|
|
|
119
|
|
|
||
Post employment benefit assets
|
|
1,018
|
|
|
1,111
|
|
|
||
|
|
|
20,508
|
|
|
21,837
|
|
||
Current assets
|
|
|
|
|
|
||||
Inventories
|
6
|
6,045
|
|
|
5,772
|
|
|
||
Trade and other receivables
|
|
2,385
|
|
|
2,111
|
|
|
||
Corporate tax receivables
|
5
|
145
|
|
|
190
|
|
|
||
Other financial assets
|
|
121
|
|
|
75
|
|
|
||
Cash and cash equivalents
|
7
|
2,749
|
|
|
3,323
|
|
|
||
|
|
|
11,445
|
|
|
11,471
|
|
||
Total assets
|
|
|
31,953
|
|
|
33,308
|
|
||
Current liabilities
|
|
|
|
|
|
||||
Borrowings and bank overdrafts
|
7
|
(1,862)
|
|
|
(1,995)
|
|
|
||
Other financial liabilities
|
|
(257)
|
|
|
(389)
|
|
|
||
Share buyback liability
|
|
(91)
|
|
|
-
|
|
|
||
Trade and other payables
|
|
(4,648)
|
|
|
(3,683)
|
|
|
||
Corporate tax payables
|
5
|
(146)
|
|
|
(246)
|
|
|
||
Provisions
|
|
(138)
|
|
|
(183)
|
|
|
||
|
|
|
(7,142)
|
|
|
(6,496)
|
|
||
Non-current liabilities
|
|
|
|
|
|
||||
Borrowings
|
7
|
(12,865)
|
|
|
(14,790)
|
|
|
||
Other financial liabilities
|
|
(384)
|
|
|
(393)
|
|
|
||
Other payables
|
|
(338)
|
|
|
(175)
|
|
|
||
Provisions
|
|
(274)
|
|
|
(293)
|
|
|
||
Deferred tax liabilities
|
|
(1,945)
|
|
|
(1,972)
|
|
|
||
Post employment benefit liabilities
|
|
(574)
|
|
|
(749)
|
|
|
||
|
|
|
(16,380)
|
|
|
(18,372)
|
|
||
Total liabilities
|
|
|
(23,522)
|
|
|
(24,868)
|
|
||
Net assets
|
|
|
8,431
|
|
|
8,440
|
|
||
|
|
|
|
|
|
||||
Equity
|
|
|
|
|
|
||||
Share capital
|
|
741
|
|
|
742
|
|
|
||
Share premium
|
|
1,351
|
|
|
1,351
|
|
|
||
Other reserves
|
|
1,621
|
|
|
2,272
|
|
|
||
Retained earnings
|
|
3,184
|
|
|
2,407
|
|
|
||
Equity attributable to equity shareholders of the parent
company
|
|
|
6,897
|
|
|
6,772
|
|
||
Non-controlling interests
|
|
|
1,534
|
|
|
1,668
|
|
||
Total equity
|
|
|
8,431
|
|
|
8,440
|
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
Retained earnings/(deficit)
|
|
|
|
|
|
|
|||||||||||||
|
Share
capital
|
|
Share
premium
|
|
Other reserves
|
|
Own shares
|
|
Other retained earnings
|
|
Total
|
|
Equity attributable to parent company shareholders
|
|
Non-controlling interests
|
|
Total equity
|
|||||||||
£ million
|
|
£ million
|
|
£ million
|
|
£ million
|
|
£ million
|
|
£ million
|
|
£ million
|
|
£ million
|
|
£ million
|
||||||||||
At 30 June 2019
|
753
|
|
|
1,350
|
|
|
2,372
|
|
|
(2,026)
|
|
|
5,912
|
|
|
3,886
|
|
|
8,361
|
|
|
1,795
|
|
|
10,156
|
|
Profit for the year
|
-
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
1,409
|
|
|
1,409
|
|
|
1,409
|
|
|
45
|
|
|
1,454
|
|
Other comprehensive loss
|
-
|
|
|
-
|
|
|
(116)
|
|
|
-
|
|
|
(11)
|
|
|
(11)
|
|
|
(127)
|
|
|
(37)
|
|
|
(164)
|
|
Total comprehensive (loss)/income
|
-
|
|
|
-
|
|
|
(116)
|
|
|
-
|
|
|
1,398
|
|
|
1,398
|
|
|
1,282
|
|
|
8
|
|
|
1,290
|
|
Employee share schemes
|
-
|
|
|
-
|
|
|
-
|
|
|
90
|
|
|
(36)
|
|
|
54
|
|
|
54
|
|
|
-
|
|
|
54
|
|
Share-based incentive plans
|
-
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
2
|
|
|
2
|
|
|
2
|
|
|
-
|
|
|
2
|
|
Share-based incentive plans in respect of associates
|
-
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
4
|
|
|
4
|
|
|
4
|
|
|
-
|
|
|
4
|
|
Tax on share-based incentive plans
|
-
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
1
|
|
|
1
|
|
|
1
|
|
|
-
|
|
|
1
|
|
Share based payments and purchase of treasury shares in respect of
subsidiaries
|
-
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
(1)
|
|
|
(1)
|
|
|
(1)
|
|
|
-
|
|
|
(1)
|
|
Shares issued
|
-
|
|
|
1
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
1
|
|
|
-
|
|
|
1
|
|
Transfers
|
-
|
|
|
-
|
|
|
5
|
|
|
-
|
|
|
(5)
|
|
|
(5)
|
|
|
-
|
|
|
-
|
|
|
-
|
|
Purchase of non-controlling interests
|
-
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
(39)
|
|
|
(39)
|
|
|
(39)
|
|
|
(23)
|
|
|
(62)
|
|
Non-controlling interest in respect of new subsidiary
|
-
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
5
|
|
|
5
|
|
Change in fair value of put option
|
-
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
9
|
|
|
9
|
|
|
9
|
|
|
-
|
|
|
9
|
|
Share buyback programme
|
(11)
|
|
|
-
|
|
|
11
|
|
|
-
|
|
|
(1,256)
|
|
|
(1,256)
|
|
|
(1,256)
|
|
|
-
|
|
|
(1,256)
|
|
Dividends paid
|
-
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
(1,646)
|
|
|
(1,646)
|
|
|
(1,646)
|
|
|
(117)
|
|
|
(1,763)
|
|
At 30 June 2020
|
742
|
|
|
1,351
|
|
|
2,272
|
|
|
(1,936)
|
|
|
4,343
|
|
|
2,407
|
|
|
6,772
|
|
|
1,668
|
|
|
8,440
|
|
Profit for the year
|
-
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
2,660
|
|
|
2,660
|
|
|
2,660
|
|
|
139
|
|
|
2,799
|
|
Other comprehensive loss
|
-
|
|
|
-
|
|
|
(652)
|
|
|
-
|
|
|
(39)
|
|
|
(39)
|
|
|
(691)
|
|
|
(174)
|
|
|
(865)
|
|
Total comprehensive (loss)/income
|
-
|
|
|
-
|
|
|
(652)
|
|
|
-
|
|
|
2,621
|
|
|
2,621
|
|
|
1,969
|
|
|
(35)
|
|
|
1,934
|
|
Employee share schemes
|
-
|
|
|
-
|
|
|
-
|
|
|
59
|
|
|
(10)
|
|
|
49
|
|
|
49
|
|
|
-
|
|
|
49
|
|
Share-based incentive plans
|
-
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
49
|
|
|
49
|
|
|
49
|
|
|
-
|
|
|
49
|
|
Share-based incentive plans in respect of associates
|
-
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
3
|
|
|
3
|
|
|
3
|
|
|
-
|
|
|
3
|
|
Tax on share-based incentive plans
|
-
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
9
|
|
|
9
|
|
|
9
|
|
|
-
|
|
|
9
|
|
Purchase of non-controlling interests
|
-
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
(15)
|
|
|
(15)
|
|
|
(15)
|
|
|
(27)
|
|
|
(42)
|
|
Associates' transactions with non-controlling
interests
|
-
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
(91)
|
|
|
(91)
|
|
|
(91)
|
|
|
-
|
|
|
(91)
|
|
Change in fair value of put option
|
-
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
(2)
|
|
|
(2)
|
|
|
(2)
|
|
|
-
|
|
|
(2)
|
|
Share buyback programme
|
(1)
|
|
|
-
|
|
|
1
|
|
|
-
|
|
|
(200)
|
|
|
(200)
|
|
|
(200)
|
|
|
-
|
|
|
(200)
|
|
Dividends declared
|
-
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
(1,646)
|
|
|
(1,646)
|
|
|
(1,646)
|
|
|
(72)
|
|
|
(1,718)
|
|
At 30 June 2021
|
741
|
|
|
1,351
|
|
|
1,621
|
|
|
(1,877)
|
|
|
5,061
|
|
|
3,184
|
|
|
6,897
|
|
|
1,534
|
|
|
8,431
|
|
|
Year
ended 30 June 2021
|
|
Year ended 30 June 2020
|
||||||||
|
£ million
|
|
£ million
|
|
£ million
|
|
£ million
|
||||
Cash flows from operating activities
|
|
|
|
|
|
|
|
||||
Profit for the year
|
2,799
|
|
|
|
|
1,454
|
|
|
|
||
Taxation
|
907
|
|
|
|
|
589
|
|
|
|
||
Share of after tax results of associates and joint
ventures
|
(334)
|
|
|
|
|
(282)
|
|
|
|
||
Net finance charges
|
373
|
|
|
|
|
353
|
|
|
|
||
Non-operating items
|
(14)
|
|
|
|
|
23
|
|
|
|
||
Operating profit
|
|
|
3,731
|
|
|
|
|
2,137
|
|
||
Increase in inventories
|
(443)
|
|
|
|
|
(366)
|
|
|
|
||
(Increase)/decrease in trade and other receivables
|
(446)
|
|
|
|
|
523
|
|
|
|
||
Increase/(decrease) in trade and other payables and
provisions
|
1,220
|
|
|
|
|
(485)
|
|
|
|
||
Net decrease/(increase) in working capital
|
|
|
331
|
|
|
|
|
(328)
|
|
||
Depreciation, amortisation and impairment
|
447
|
|
|
|
|
1,839
|
|
|
|
||
Dividends received
|
290
|
|
|
|
|
4
|
|
|
|
||
Post employment payments less amounts included in operating
profit
|
(30)
|
|
|
|
|
(109)
|
|
|
|
||
Other items
|
88
|
|
|
|
|
(14)
|
|
|
|
||
|
|
|
795
|
|
|
|
|
1,720
|
|
||
Cash generated from operations
|
|
|
4,857
|
|
|
|
|
3,529
|
|
||
Interest received
|
89
|
|
|
|
|
185
|
|
|
|
||
Interest paid
|
(440)
|
|
|
|
|
(493)
|
|
|
|
||
Taxation paid
|
(852)
|
|
|
|
|
(901)
|
|
|
|
||
|
|
|
(1,203)
|
|
|
|
|
(1,209)
|
|
||
Net cash inflow from operating activities
|
|
|
3,654
|
|
|
|
|
2,320
|
|
||
Cash flows from investing activities
|
|
|
|
|
|
|
|
||||
Disposal of property, plant and equipment and computer
software
|
13
|
|
|
|
|
14
|
|
|
|
||
Purchase of property, plant and equipment and computer
software
|
(626)
|
|
|
|
|
(700)
|
|
|
|
||
Movements in loans and other investments
|
(4)
|
|
|
|
|
-
|
|
|
|
||
Sale of businesses and brands
|
14
|
|
|
|
|
11
|
|
|
|
||
Acquisition of businesses
|
(488)
|
|
|
|
|
(130)
|
|
|
|
||
Net cash outflow from investing activities
|
|
|
(1,091)
|
|
|
|
|
(805)
|
|
||
Cash flows from financing activities
|
|
|
|
|
|
|
|
||||
Share buyback programme
|
(109)
|
|
|
|
|
(1,282)
|
|
|
|
||
Proceeds from issue of share capital
|
-
|
|
|
|
|
1
|
|
|
|
||
Net sale of own shares for share schemes
|
49
|
|
|
|
|
54
|
|
|
|
||
Dividends paid to non-controlling interests
|
(77)
|
|
|
|
|
(111)
|
|
|
|
||
Proceeds from bonds
|
1,031
|
|
|
|
|
5,188
|
|
|
|
||
Repayment of bonds
|
(1,247)
|
|
|
|
|
(820)
|
|
|
|
||
Purchase of shares of non-controlling interests
|
(42)
|
|
|
|
|
(62)
|
|
|
|
||
Net movements in other borrowings
|
(753)
|
|
|
|
|
(285)
|
|
|
|
||
Equity dividends paid
|
(1,646)
|
|
|
|
|
(1,646)
|
|
|
|
||
Net cash (outflow)/inflow from financing activities
|
|
|
(2,794)
|
|
|
|
|
1,037
|
|
||
|
|
|
|
|
|
|
|
||||
Net (decrease)/increase in net cash and cash
equivalents
|
|
|
(231)
|
|
|
|
|
2,552
|
|
||
Exchange differences
|
|
|
(285)
|
|
|
|
|
(120)
|
|
||
Net cash and cash equivalents at beginning of the year
|
|
|
3,153
|
|
|
|
|
721
|
|
||
Net cash and cash equivalents at end of the year
|
|
|
2,637
|
|
|
|
|
3,153
|
|
||
|
|
|
|
|
|
|
|
||||
Net cash and cash equivalents consist of:
|
|
|
|
|
|
|
|
||||
Cash and cash equivalents
|
|
|
2,749
|
|
|
|
|
3,323
|
|
||
Bank overdrafts
|
|
|
(112)
|
|
|
|
|
(170)
|
|
||
|
|
|
2,637
|
|
|
|
|
3,153
|
|
Year
ended
|
North America
|
Europe
and
Turkey
|
Africa
|
Latin America and Caribbean
|
Asia
Pacific
|
SC&P
|
Eliminate
inter-
segment
sales
|
Total
operating
segments
|
Corporate
and other
|
Total
|
||||||||||
30 June 2021
|
£ million
|
£ million
|
£ million
|
£ million
|
£ million
|
£ million
|
£ million
|
£ million
|
£ million
|
£ million
|
||||||||||
Sales
|
5,803
|
|
4,795
|
|
2,020
|
|
1,369
|
|
5,146
|
|
1,537
|
|
(1,537)
|
|
19,133
|
|
20
|
|
19,153
|
|
Net sales
|
|
|
|
|
|
|
|
|
|
|
||||||||||
At
budgeted exchange rates(i)
|
5,527
|
|
2,579
|
|
1,541
|
|
1,176
|
|
2,561
|
|
1,627
|
|
(1,548)
|
|
13,463
|
|
20
|
|
13,483
|
|
Acquisitions and disposals
|
28
|
|
2
|
|
5
|
|
-
|
|
-
|
|
-
|
|
-
|
|
35
|
|
-
|
|
35
|
|
SC&P allocation
|
9
|
|
45
|
|
3
|
|
13
|
|
9
|
|
(79)
|
|
-
|
|
-
|
|
-
|
|
-
|
|
Retranslation to actual exchange rates
|
(355)
|
|
(68)
|
|
(137)
|
|
(143)
|
|
(82)
|
|
(11)
|
|
11
|
|
(785)
|
|
-
|
|
(785)
|
|
Net sales
|
5,209
|
|
2,558
|
|
1,412
|
|
1,046
|
|
2,488
|
|
1,537
|
|
(1,537)
|
|
12,713
|
|
20
|
|
12,733
|
|
Operating profit/(loss)
|
|
|
|
|
|
|
|
|
|
|
||||||||||
At
budgeted exchange rates(i)
|
2,469
|
|
728
|
|
228
|
|
422
|
|
628
|
|
(97)
|
|
-
|
|
4,378
|
|
(218)
|
|
4,160
|
|
Acquisitions and disposals
|
(18)
|
|
(3)
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
(21)
|
|
-
|
|
(21)
|
|
SC&P allocation
|
(30)
|
|
(32)
|
|
(3)
|
|
(27)
|
|
(5)
|
|
97
|
|
-
|
|
-
|
|
-
|
|
-
|
|
Fair value remeasurement of contingent considerations, equity
option and earn out arrangements
|
(9)
|
|
(27)
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
(36)
|
|
-
|
|
(36)
|
|
Retranslation to actual exchange rates
|
(175)
|
|
(31)
|
|
(54)
|
|
(92)
|
|
(15)
|
|
-
|
|
-
|
|
(367)
|
|
10
|
|
(357)
|
|
Operating profit/(loss) before exceptional items
|
2,237
|
|
635
|
|
171
|
|
303
|
|
608
|
|
-
|
|
-
|
|
3,954
|
|
(208)
|
|
3,746
|
|
Exceptional items
|
-
|
|
(15)
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
(15)
|
|
-
|
|
(15)
|
|
Operating profit/(loss)
|
2,237
|
|
620
|
|
171
|
|
303
|
|
608
|
|
-
|
|
-
|
|
3,939
|
|
(208)
|
|
3,731
|
|
Non-operating items
|
|
|
|
|
|
|
|
|
|
14
|
|
|||||||||
Net finance charges
|
|
|
|
|
|
|
|
|
|
(373)
|
|
|||||||||
Share of after tax results of associates and joint
ventures
|
|
|
|
|
|
|
|
|
|
334
|
|
|||||||||
Profit before taxation
|
|
|
|
|
|
|
|
|
|
3,706
|
|
Year
ended
|
North America
|
Europe
and
Turkey
|
Africa
|
Latin America and Caribbean
|
Asia
Pacific
|
SC&P
|
Eliminate
inter-
segment
sales
|
Total
operating
segments
|
Corporate
and other
|
Total
|
||||||||||
30 June 2020
|
£ million
|
£ million
|
£ million
|
£ million
|
£ million
|
£ million
|
£ million
|
£ million
|
£ million
|
£ million
|
||||||||||
Sales
|
5,222
|
|
4,697
|
|
1,911
|
|
1,184
|
|
4,645
|
|
1,343
|
|
(1,343)
|
|
17,659
|
|
38
|
|
17,697
|
|
Net sales
|
|
|
|
|
|
|
|
|
|
|
||||||||||
At
budgeted exchange rates(i)
|
4,445
|
|
2,501
|
|
1,300
|
|
944
|
|
2,253
|
|
1,439
|
|
(1,341)
|
|
11,541
|
|
38
|
|
11,579
|
|
Acquisitions and disposals
|
32
|
|
10
|
|
50
|
|
-
|
|
1
|
|
-
|
|
-
|
|
93
|
|
-
|
|
93
|
|
SC&P allocation
|
11
|
|
60
|
|
4
|
|
10
|
|
12
|
|
(98)
|
|
-
|
|
(1)
|
|
1
|
|
-
|
|
Retranslation to actual exchange rates
|
135
|
|
(4)
|
|
(8)
|
|
(46)
|
|
4
|
|
2
|
|
(2)
|
|
81
|
|
(1)
|
|
80
|
|
Net sales
|
4,623
|
|
2,567
|
|
1,346
|
|
908
|
|
2,270
|
|
1,343
|
|
(1,343)
|
|
11,714
|
|
38
|
|
11,752
|
|
Operating profit/(loss)
|
|
|
|
|
|
|
|
|
|
|
||||||||||
At
budgeted exchange rates(i)
|
2,007
|
|
730
|
|
116
|
|
254
|
|
498
|
|
45
|
|
-
|
|
3,650
|
|
(152)
|
|
3,498
|
|
Acquisitions and disposals
|
(1)
|
|
(4)
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
(5)
|
|
-
|
|
(5)
|
|
SC&P allocation
|
6
|
|
26
|
|
2
|
|
5
|
|
6
|
|
(45)
|
|
-
|
|
-
|
|
-
|
|
-
|
|
Fair value remeasurement of contingent consideration
|
(10)
|
|
(4)
|
|
-
|
|
7
|
|
-
|
|
-
|
|
-
|
|
(7)
|
|
-
|
|
(7)
|
|
Fair value remeasurement of biological assets
|
-
|
|
-
|
|
-
|
|
9
|
|
-
|
|
-
|
|
-
|
|
9
|
|
-
|
|
9
|
|
Retranslation to actual exchange rates
|
32
|
|
9
|
|
(17)
|
|
(27)
|
|
(3)
|
|
-
|
|
-
|
|
(6)
|
|
5
|
|
(1)
|
|
Operating profit/(loss) before exceptional items
|
2,034
|
|
757
|
|
101
|
|
248
|
|
501
|
|
-
|
|
-
|
|
3,641
|
|
(147)
|
|
3,494
|
|
Exceptional items
|
54
|
|
(62)
|
|
(145)
|
|
(6)
|
|
(1,198)
|
|
-
|
|
-
|
|
(1,357)
|
|
-
|
|
(1,357)
|
|
Operating profit/(loss)
|
2,088
|
|
695
|
|
(44)
|
|
242
|
|
(697)
|
|
-
|
|
-
|
|
2,284
|
|
(147)
|
|
2,137
|
|
Non-operating items
|
|
|
|
|
|
|
|
|
|
(23)
|
|
|||||||||
Net finance charges
|
|
|
|
|
|
|
|
|
|
(353)
|
|
|||||||||
Share of after tax results of associates and joint
ventures
|
|
|
|
|
|
|
|
|
|
282
|
|
|||||||||
Profit before taxation
|
|
|
|
|
|
|
|
|
|
2,043
|
|
|
Category analysis
|
Geographical analysis
|
||||||||||||||||||||
Year ended
|
Spirits
£ million
|
Beer(ii)
£ million
|
Ready
to
drink(ii)
£
million
|
Other
£ million
|
Total
£ million
|
Great
Britain
£ million
|
United
States
£ million
|
Nether-
lands
£ million
|
India
£ million
|
Rest of
World
£ million
|
Total
£ million
|
|||||||||||
30 June 2021
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Sales(i)
|
15,634
|
2,562
|
741
|
216
|
19,153
|
1,822
|
5,441
|
70
|
3,011
|
8,809
|
19,153
|
|||||||||||
Year ended
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
30 June 2020 (Restated)
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Sales(i)
|
14,158
|
|
2,687
|
|
621
|
|
231
|
|
17,697
|
|
1,684
|
|
4,839
|
|
62
|
|
2,783
|
|
8,329
|
|
17,697
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year
ended
30 June
2021
|
Year
ended
30 June
2020
|
||
|
£ million
|
£ million
|
||
Exceptional operating items
|
|
|
||
Ongoing litigation in Turkey
|
(15)
|
|
-
|
|
Guaranteed minimum pension equalisation
|
(5)
|
|
-
|
|
Donations
|
(5)
|
|
(89)
|
|
Obsolete inventories
|
7
|
|
(30)
|
|
Substitution drawback
|
3
|
|
83
|
|
Brand, goodwill, tangible and other assets impairment
|
-
|
|
(1,345)
|
|
Indirect tax in Korea
|
-
|
|
24
|
|
|
(15)
|
|
(1,357)
|
|
Non-operating items
|
|
|
||
Sale of businesses and brands
|
|
|
||
United
National Breweries
|
10
|
|
(32)
|
|
USL
businesses
|
3
|
|
-
|
|
Portfolio
of 19 brands
|
1
|
|
2
|
|
Loss
on disposal of associate
|
-
|
|
(1)
|
|
Step acquisitions
|
-
|
|
8
|
|
|
14
|
|
(23)
|
|
|
|
|
||
Exceptional items before taxation
|
(1)
|
|
(1,380)
|
|
|
|
|
||
Items included in taxation
|
|
|
||
Tax on exceptional operating items
|
4
|
|
154
|
|
Exceptional taxation
|
(88)
|
|
-
|
|
|
(84)
|
|
154
|
|
|
|
|
||
Total exceptional items
|
(85)
|
|
(1,226)
|
|
|
|
|
||
Attributable to:
|
|
|
||
Equity shareholders of the parent company
|
(86)
|
|
(1,157)
|
|
Non-controlling interests
|
1
|
|
(69)
|
|
Total exceptional items
|
(85)
|
|
(1,226)
|
|
|
Year
ended
30 June
2021
|
|
Year
ended
30 June
2020
|
||
|
£ million
|
|
£ million
|
||
Interest income
|
119
|
|
|
192
|
|
Fair value gain on financial instruments
|
124
|
|
|
123
|
|
Total interest income
|
243
|
|
|
315
|
|
Interest charge on bank loans, bonds and overdrafts
|
(365)
|
|
|
(390)
|
|
Interest charge on leases
|
(16)
|
|
|
(15)
|
|
Fair value loss on financial instruments
|
(126)
|
|
|
(123)
|
|
Interest charge on other borrowings
|
(84)
|
|
|
(120)
|
|
Total interest charges
|
(591)
|
|
|
(648)
|
|
Net interest charges
|
(348)
|
|
|
(333)
|
|
|
|
|
|
||
Net finance income in respect of post employment plans in
surplus
|
18
|
|
|
26
|
|
Hyperinflation adjustment in respect of Venezuela (a)
|
2
|
|
|
6
|
|
Interest income in respect of direct and indirect tax
|
15
|
|
|
16
|
|
Other
finance income
|
-
|
|
|
3
|
|
Total other finance income
|
35
|
|
|
51
|
|
Hyperinflation adjustment and foreign exchange revaluation of
monetary items in respect of Lebanon (a)
|
(8)
|
|
|
-
|
|
Net finance charge in respect of post employment plans in
deficit
|
(13)
|
|
|
(17)
|
|
Unwinding of discounts
|
(20)
|
|
|
(24)
|
|
Interest charge in respect of direct and indirect tax
|
(11)
|
|
|
(22)
|
|
Change in financial liability (Level 3)
|
(7)
|
|
|
(6)
|
|
Guarantee
fees
|
(1)
|
|
|
(1)
|
|
Other finance charges
|
-
|
|
|
(1)
|
|
Total other finance charges
|
(60)
|
|
|
(71)
|
|
Net other finance charges
|
(25)
|
|
|
(20)
|
|
|
Year ended 30 June 2021
|
|
Year ended 30 June 2020
|
||
|
At estimated exchange rate
|
At DICOM exchange rate
|
|
At estimated
exchange rate
|
At DICOM
exchange rate
|
|
236,878,083
VES/£
|
4,449,579
VES/£
|
|
10,024,865
VES/£
|
252,558
VES/£
|
|
£ million
|
£ million
|
|
£ million
|
£ million
|
Net sales
|
-
|
|
4
|
|
|
-
|
|
3
|
|
Operating (loss)/profit
|
(1)
|
|
11
|
|
|
-
|
|
10
|
|
Other finance income - hyperinflation adjustment
|
2
|
|
122
|
|
|
6
|
|
222
|
|
Net cash inflow from operating activities
|
-
|
|
9
|
|
|
-
|
|
6
|
|
Net assets
|
38
|
|
2,016
|
|
|
48
|
|
1,893
|
|
|
30 June 2021
|
|
30 June 2020
|
||
|
£ million
|
|
£ million
|
||
Raw materials and consumables
|
348
|
|
|
363
|
|
Work in progress
|
60
|
|
|
48
|
|
Maturing inventories
|
4,668
|
|
|
4,562
|
|
Finished goods and goods for resale
|
969
|
|
|
799
|
|
|
6,045
|
|
|
5,772
|
|
|
30 June 2021
|
|
30 June 2020
|
||
|
£ million
|
|
£ million
|
||
Borrowings due within one year and bank overdrafts
|
(1,862)
|
|
|
(1,995)
|
|
Borrowings due after one year
|
(12,865)
|
|
|
(14,790)
|
|
Fair value of foreign currency forwards and swaps
|
169
|
|
|
497
|
|
Fair value of interest rate hedging instruments
|
63
|
|
|
189
|
|
Lease liabilities
|
(363)
|
|
|
(470)
|
|
|
(14,858)
|
|
|
(16,569)
|
|
Cash and cash equivalents
|
2,749
|
|
|
3,323
|
|
|
(12,109)
|
|
|
(13,246)
|
|
|
Year
ended
30 June
2021
|
|
Year
ended
30 June
2020
|
||
|
£ million
|
|
£ million
|
||
Net
(decrease)/increase in cash and cash equivalents before
exchange
|
(231)
|
|
|
2,552
|
|
Net
decrease/(increase) in bonds and other borrowings(i)
|
967
|
|
|
(4,089)
|
|
Net
decrease/(increase) in net borrowings from cash flows
|
736
|
|
|
(1,537)
|
|
Exchange differences on net borrowings
|
598
|
|
|
(95)
|
|
Other
non-cash items(ii)
|
(197)
|
|
|
(86)
|
|
Adoption of IFRS 16
|
-
|
|
|
(251)
|
|
Net
borrowings at beginning of the year
|
(13,246)
|
|
|
(11,277)
|
|
Net
borrowings at end of the year
|
(12,109)
|
|
|
(13,246)
|
|
|
30 June 2021
|
|
30 June 2020
|
||
|
£ million
|
|
£ million
|
||
Derivative assets
|
443
|
|
|
758
|
|
Derivative liabilities
|
(129)
|
|
|
(145)
|
|
Valuation techniques based on observable market input (Level
2)
|
314
|
|
|
613
|
|
Financial assets - other
|
138
|
|
|
116
|
|
Financial liabilities - other
|
(578)
|
|
|
(416)
|
|
Valuation techniques based on unobservable market input (Level
3)
|
(440)
|
|
|
(300)
|
|
|
Zacapafinancialliability
|
|
Contingent
consideration recognised on acquisition of businesses(i)
|
|
Zacapafinancialliability
|
|
Contingent consideration recognised on acquisition of
businesses
|
||||
|
Year
ended
30 June
2021
|
|
Year
ended
30 June
2021
|
|
Year
ended
30 June
2020
|
|
Year
ended
30 June
2020
|
||||
|
£ million
|
|
£ million
|
|
£ million
|
|
£ million
|
||||
At the beginning of the year
|
(167)
|
|
|
(249)
|
|
|
(174)
|
|
|
(227)
|
|
Net losses included in the income statement
|
(7)
|
|
|
(47)
|
|
|
(6)
|
|
|
(24)
|
|
Net gains/(losses) included in exchange in other comprehensive
income
|
21
|
|
|
31
|
|
|
(5)
|
|
|
(5)
|
|
Net (losses)/gains included in retained earnings
|
(2)
|
|
|
-
|
|
|
9
|
|
|
-
|
|
Acquisitions
|
-
|
|
|
(253)
|
|
|
-
|
|
|
(42)
|
|
Settlement of liabilities
|
6
|
|
|
89
|
|
|
9
|
|
|
49
|
|
At the end of the year
|
(149)
|
|
|
(429)
|
|
|
(167)
|
|
|
(249)
|
|
|
Year
ended
30 June
2021
|
|
Year
ended
30 June
2020
|
||
|
£ million
|
|
£ million
|
||
Amounts recognised as distributions to equity shareholders in the
year
|
|
|
|
||
Final
dividend for the year ended 30 June 2020 of
42.47 pence per share (2019 - 42.47 pence)
|
992
|
|
|
1,006
|
|
Interim
dividend for the year ended 30 June 2021 of
27.96 pence per share (2020 - 27.41 pence)
|
654
|
|
|
640
|
|
|
1,646
|
|
|
1,646
|
|
|
Aviation Gin and Davos Brands
|
Other
|
Total
|
|||
|
£ million
|
£ million
|
£ million
|
|||
Brands
|
206
|
|
128
|
|
334
|
|
Property, plant and equipment
|
11
|
|
4
|
|
15
|
|
Inventories
|
7
|
|
5
|
|
12
|
|
Other working capital
|
-
|
|
(3)
|
|
(3)
|
|
Deferred tax
|
-
|
|
(15)
|
|
(15)
|
|
Borrowings
|
(6)
|
|
(2)
|
|
(8)
|
|
Cash
|
2
|
|
2
|
|
4
|
|
Fair value of assets and liabilities
|
220
|
|
119
|
|
339
|
|
Goodwill arising on acquisition
|
228
|
|
46
|
|
274
|
|
Consideration payable
|
448
|
|
165
|
|
613
|
|
Satisfied by:
|
|
|
|
|||
Cash
consideration paid
|
(263)
|
|
(95)
|
|
(358)
|
|
Contingent
consideration payable
|
(185)
|
|
(68)
|
|
(253)
|
|
Deferred
consideration payable
|
-
|
|
(2)
|
|
(2)
|
|
|
(448)
|
|
(165)
|
|
(613)
|
|
|
Consideration
|
|
|
£ million
|
|
Cash consideration paid for subsidiaries
|
(358)
|
|
Deferred consideration paid for subsidiaries
|
(1)
|
|
Cash consideration paid for Casamigos
|
(89)
|
|
Cash consideration paid in respect of other prior year
acquisitions
|
(6)
|
|
Capital injection in associates
|
(38)
|
|
Cash acquired
|
4
|
|
Net cash outflow on acquisition of businesses
|
(488)
|
|
Purchase of shares of non-controlling interests
|
(42)
|
|
Total net cash outflow
|
(530)
|
|
|
Carrying value of CGU
£ million
|
Headroom
£ million
|
1ppt
increase in discount rate
£
million
|
2ppt
decrease in annual growth rate in forecast period
2022-2029
£
million
|
Category growth scenario
£ million
|
|||||
India(i)
|
2,997
|
|
170
|
|
(116)
|
|
(114)
|
|
n/a
|
|
Antiquity
brand(i)
|
148
|
|
-
|
|
(20)
|
|
(17)
|
|
n/a
|
|
USL
Popular brands(i)
|
448
|
|
23
|
|
(28)
|
|
(35)
|
|
n/a
|
|
Windsor
Premier brand(ii)
|
152
|
|
45
|
|
-
|
|
n/a
|
(13)
|
|
|
North America
million
|
Europe and
Turkey
million
|
Africa
million
|
Latin America
and Caribbean
million
|
Asia
Pacific
million
|
Corporate
million
|
Total
million
|
|||||||
Volume (equivalent units)
|
|
|
|
|
|
|
|
|||||||
2019 reported
|
49.4
|
|
45.4
|
|
33.6
|
|
22.4
|
|
95.1
|
|
-
|
|
245.9
|
|
Disposals(vii)
|
(2.1)
|
|
(0.1)
|
|
(2.7)
|
|
-
|
|
-
|
|
-
|
|
(4.9)
|
|
2019 adjusted
|
47.3
|
|
45.3
|
|
30.9
|
|
22.4
|
|
95.1
|
|
-
|
|
241.0
|
|
memo:
2019 Travel Retail and Guinness
|
2.1
|
|
6.6
|
|
3.9
|
|
0.7
|
|
3.8
|
|
-
|
|
17.1
|
|
memo:
2019 adjusted excluding Travel Retail and Guinness
|
45.2
|
|
38.7
|
|
27.0
|
|
21.7
|
|
91.3
|
|
-
|
|
223.9
|
|
Organic movement
|
0.1
|
|
(5.2)
|
|
(4.0)
|
|
(3.4)
|
|
(14.5)
|
|
-
|
|
(27.0)
|
|
memo:
2020 Travel Retail and Guinness movement
|
(0.3)
|
|
(1.5)
|
|
(0.7)
|
|
(0.1)
|
|
(1.5)
|
|
-
|
|
(4.1)
|
|
memo:
2020 Movement excluding Travel Retail and Guinness
|
0.4
|
|
(3.7)
|
|
(3.3)
|
|
(3.3)
|
|
(13.0)
|
|
-
|
|
(22.9)
|
|
Acquisitions
and disposals(vii)
|
1.0
|
|
0.1
|
|
1.9
|
|
-
|
|
-
|
|
-
|
|
3.0
|
|
2020 reported
|
48.4
|
|
40.2
|
|
28.8
|
|
19.0
|
|
80.6
|
|
-
|
|
217.0
|
|
Organic movement %
|
-
|
|
(11)
|
|
(13)
|
|
(15)
|
|
(15)
|
|
-
|
|
(11)
|
|
memo:
Organic movement % excluding Travel Retail and
Guinness
|
1
|
|
(10)
|
|
(12)
|
|
(15)
|
|
(14)
|
|
-
|
|
(10)
|
|
|
|
|
|
|
|
|
|
|||||||
Volume (equivalent units)
|
|
|
|
|
|
|
|
|||||||
2020 reported
|
48.4
|
|
40.2
|
|
28.8
|
|
19.0
|
|
80.6
|
|
-
|
|
217.0
|
|
Disposals(viii)
|
(0.4)
|
|
(0.4)
|
|
(1.9)
|
|
-
|
|
-
|
|
-
|
|
(2.7)
|
|
2020 adjusted
|
48.0
|
|
39.8
|
|
26.9
|
|
19.0
|
|
80.6
|
|
-
|
|
214.3
|
|
memo:
2020 Travel Retail and Guinness
|
1.8
|
|
5.1
|
|
3.2
|
|
0.6
|
|
2.3
|
|
-
|
|
13.0
|
|
memo:
2020 adjusted excluding Travel Retail and Guinness
|
46.2
|
|
34.7
|
|
23.7
|
|
18.4
|
|
78.3
|
|
-
|
|
201.3
|
|
Organic movement
|
5.1
|
|
2.9
|
|
4.8
|
|
4.1
|
|
7.0
|
|
-
|
|
23.9
|
|
memo:
2021 Travel Retail and Guinness movement
|
(0.4)
|
|
(1.4)
|
|
0.9
|
|
(0.1)
|
|
(0.7)
|
|
-
|
|
(1.7)
|
|
memo:
2021 Movement excluding Travel Retail and Guinness
|
5.5
|
|
4.3
|
|
3.9
|
|
4.2
|
|
7.7
|
|
-
|
|
25.6
|
|
Acquisitions
and disposals(viii)
|
0.1
|
|
-
|
|
0.1
|
|
-
|
|
-
|
|
-
|
|
0.2
|
|
2021 reported
|
53.2
|
|
42.7
|
|
31.8
|
|
23.1
|
|
87.6
|
|
-
|
|
238.4
|
|
Organic movement %
|
11
|
|
7
|
|
18
|
|
22
|
|
9
|
|
-
|
|
11
|
|
memo:
Organic movement % excluding Travel Retail and
Guinness
|
12
|
|
12
|
|
16
|
|
23
|
|
10
|
|
-
|
|
13
|
|
|
|
|
|
|
|
|
|
|||||||
2019 to 2021 reported growth %
|
8
|
|
(6)
|
|
(5)
|
|
3
|
|
(8)
|
|
-
|
|
(3)
|
|
2019 to 2021 growth on a constant basis %
|
11
|
|
(5)
|
|
3
|
|
3
|
|
(8)
|
|
-
|
|
(1)
|
|
|
North America
£ million
|
Europe and
Turkey
£ million
|
Africa
£ million
|
Latin America
and Caribbean
£ million
|
Asia
Pacific
£ million
|
Corporate
£ million
|
Total
£ million
|
|||||||
Sales
|
|
|
|
|
|
|
|
|||||||
2020 reported
|
5,222
|
|
4,697
|
|
1,911
|
|
1,184
|
|
4,645
|
|
38
|
|
17,697
|
|
Exchange
|
3
|
|
(32)
|
|
(22)
|
|
1
|
|
(5)
|
|
-
|
|
(55)
|
|
Disposals(viii)
|
(26)
|
|
(59)
|
|
(60)
|
|
-
|
|
(1)
|
|
-
|
|
(146)
|
|
2020 adjusted
|
5,199
|
|
4,606
|
|
1,829
|
|
1,185
|
|
4,639
|
|
38
|
|
17,496
|
|
memo:
2020 Travel Retail and Guinness
|
270
|
|
673
|
|
319
|
|
42
|
|
267
|
|
26
|
|
1,597
|
|
memo:
2020 adjusted excluding Travel Retail and Guinness
|
4,929
|
|
3,933
|
|
1,510
|
|
1,143
|
|
4,372
|
|
12
|
|
15,899
|
|
Organic movement
|
970
|
|
436
|
|
368
|
|
366
|
|
756
|
|
(18)
|
|
2,878
|
|
memo:
2021 Travel Retail and Guinness movement
|
(22)
|
|
(150)
|
|
88
|
|
(13)
|
|
(78)
|
|
(22)
|
|
(197)
|
|
memo:
2021 Movement excluding Travel Retail and Guinness
|
992
|
|
586
|
|
280
|
|
379
|
|
834
|
|
4
|
|
3,075
|
|
Acquisitions
and disposals(viii)
|
30
|
|
3
|
|
8
|
|
-
|
|
-
|
|
-
|
|
41
|
|
Exchange
|
(396)
|
|
(250)
|
|
(185)
|
|
(182)
|
|
(249)
|
|
-
|
|
(1,262)
|
|
2021 reported
|
5,803
|
|
4,795
|
|
2,020
|
|
1,369
|
|
5,146
|
|
20
|
|
19,153
|
|
Organic movement %
|
19
|
|
9
|
|
20
|
|
31
|
|
16
|
|
(47)
|
|
16
|
|
memo:
Organic movement % excluding Travel Retail and
Guinness
|
20
|
|
15
|
|
19
|
|
33
|
|
19
|
|
33
|
|
19
|
|
|
North America
£ million
|
Europe and
Turkey
£ million
|
Africa
£ million
|
Latin America
and Caribbean
£ million
|
Asia
Pacific
£ million
|
Corporate
£ million
|
Total
£ million
|
Net sales
|
|
|
|
|
|
|
|
2019 reported
|
4,460
|
2,939
|
1,597
|
1,130
|
2,688
|
53
|
12,867
|
Exchange(i)
|
(34)
|
(19)
|
(2)
|
4
|
1
|
2
|
(48)
|
Reclassification(iii)
|
-
|
-
|
-
|
(10)
|
-
|
-
|
(10)
|
Disposals(vii)
|
(75)
|
(1)
|
(91)
|
(1)
|
(1)
|
-
|
(169)
|
2019 adjusted
|
4,351
|
2,919
|
1,504
|
1,123
|
2,688
|
55
|
12,640
|
memo:
2019 Travel Retail and Guinness
|
283
|
622
|
296
|
52
|
386
|
42
|
1,681
|
memo:
2019 adjusted excluding Travel Retail and Guinness
|
4,068
|
2,297
|
1,208
|
1,071
|
2,302
|
13
|
10,959
|
Organic movement
|
105
|
(358)
|
(200)
|
(169)
|
(423)
|
(16)
|
(1,061)
|
memo:
2020 Travel Retail and Guinness movement
|
(33)
|
(150)
|
(50)
|
(11)
|
(135)
|
(16)
|
(395)
|
memo:
2020 Movement excluding Travel Retail and Guinness
|
138
|
(208)
|
(150)
|
(158)
|
(288)
|
-
|
(666)
|
Acquisitions and disposals(vii)
|
32
|
10
|
50
|
-
|
1
|
-
|
93
|
Exchange(i)
|
135
|
(4)
|
(8)
|
(46)
|
4
|
(1)
|
80
|
2020 reported
|
4,623
|
2,567
|
1,346
|
908
|
2,270
|
38
|
11,752
|
Organic movement %
|
2
|
(12)
|
(13)
|
(15)
|
(16)
|
(29)
|
(8)
|
memo:
Organic movement % excluding Travel Retail and
Guinness
|
3
|
(9)
|
(12)
|
(15)
|
(13)
|
-
|
(6)
|
|
|
|
|
|
|
|
|
Net sales
|
|
|
|
|
|
|
|
2020 reported
|
4,623
|
2,567
|
1,346
|
908
|
2,270
|
38
|
11,752
|
Exchange(v)
|
2
|
(17)
|
(13)
|
6
|
7
|
-
|
(15)
|
Reclassification(vi)
|
-
|
-
|
-
|
-
|
(14)
|
-
|
(14)
|
Disposals(viii)
|
(18)
|
(34)
|
(47)
|
-
|
(1)
|
-
|
(100)
|
2020 adjusted
|
4,607
|
2,516
|
1,286
|
914
|
2,262
|
38
|
11,623
|
memo:
2020 Travel Retail and Guinness
|
258
|
471
|
245
|
42
|
241
|
26
|
1,283
|
memo:
2020 adjusted excluding Travel Retail and Guinness
|
4,349
|
2,045
|
1,041
|
872
|
2,021
|
12
|
10,340
|
Organic movement
|
929
|
108
|
258
|
275
|
308
|
(18)
|
1,860
|
memo:
2021 Travel Retail and Guinness movement
|
(23)
|
(119)
|
73
|
(13)
|
(83)
|
(22)
|
(187)
|
memo:
2021 Movement excluding Travel Retail and Guinness
|
952
|
227
|
185
|
288
|
391
|
4
|
2,047
|
Acquisitions
and disposals(viii)
|
28
|
2
|
5
|
-
|
-
|
-
|
35
|
Exchange(v)
|
(355)
|
(68)
|
(137)
|
(143)
|
(82)
|
-
|
(785)
|
2021 reported
|
5,209
|
2,558
|
1,412
|
1,046
|
2,488
|
20
|
12,733
|
Organic movement %
|
20
|
4
|
20
|
30
|
14
|
(47)
|
16
|
memo:
Organic movement % excluding Travel Retail and
Guinness
|
22
|
11
|
18
|
33
|
19
|
33
|
20
|
|
|
|
|
|
|
|
|
2019 to 2021 reported growth %
|
17
|
(13)
|
(12)
|
(7)
|
(7)
|
(62)
|
(1)
|
2019 to 2021 growth on constant basis %
|
24
|
(9)
|
4
|
9
|
(4)
|
(62)
|
6
|
|
|
North America
£ million
|
|
Europe and
Turkey
£ million
|
|
Africa
£ million
|
|
Latin America
and Caribbean
£ million
|
|
Asia
Pacific
£ million
|
|
Corporate
£ million
|
|
Total
£ million
|
Marketing
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2020 reported
|
|
727
|
|
428
|
|
160
|
|
155
|
|
365
|
|
6
|
|
1,841
|
Exchange
|
|
10
|
|
(5)
|
|
(3)
|
|
-
|
|
1
|
|
(3)
|
|
-
|
Disposals(viii)
|
|
-
|
|
(2)
|
|
(1)
|
|
-
|
|
-
|
|
-
|
|
(3)
|
2020 adjusted
|
|
737
|
|
421
|
|
156
|
|
155
|
|
366
|
|
3
|
|
1,838
|
memo:
2020 Travel Retail and Guinness
|
|
58
|
|
94
|
|
33
|
|
4
|
|
40
|
|
-
|
|
229
|
memo:
2020 adjusted excluding Travel Retail and Guinness
|
|
679
|
|
327
|
|
123
|
|
151
|
|
326
|
|
3
|
|
1,609
|
Organic movement
|
|
248
|
|
56
|
|
22
|
|
28
|
|
60
|
|
3
|
|
417
|
memo:
2021 Travel Retail and Guinness movement
|
|
11
|
|
(17)
|
|
9
|
|
(1)
|
|
(15)
|
|
-
|
|
(13)
|
memo:
2021 Movement excluding Travel Retail and Guinness
|
|
237
|
|
73
|
|
13
|
|
29
|
|
75
|
|
3
|
|
430
|
Acquisitions(viii)
|
|
12
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
12
|
Fair value remeasurement of contingent considerations, equity
option and earn out arrangements
|
|
1
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
1
|
Exchange
|
|
(62)
|
|
(4)
|
|
(10)
|
|
(22)
|
|
(8)
|
|
1
|
|
(105)
|
2021 reported
|
|
936
|
|
473
|
|
168
|
|
161
|
|
418
|
|
7
|
|
2,163
|
Organic movement %
|
|
34
|
|
13
|
|
14
|
|
18
|
|
16
|
|
100
|
|
23
|
memo:
Organic movement % excluding Travel Retail and
Guinness
|
|
35
|
|
22
|
|
11
|
|
19
|
|
23
|
|
100
|
|
27
|
|
|
North America
£ million
|
|
Europe and
Turkey
£ million
|
|
Africa
£ million
|
|
Latin America
and Caribbean
£ million
|
|
Asia
Pacific
£ million
|
|
Corporate
£ million
|
|
Total
£ million
|
|||||||
Operating profit before exceptional items
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
2019 reported
|
|
|
|
|
|
|
|
|
|
|
|
|
|
4,116
|
|
||||||
Exchange(ii)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
-
|
|
||||||
Acquisition
and disposal(vii)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(29)
|
|
||||||
2019 adjusted
|
|
|
|
|
|
|
|
|
|
|
|
|
|
4,087
|
|
||||||
memo:
2019 Travel Retail and Guinness
|
|
|
|
|
|
|
|
|
|
|
|
|
|
759
|
|
||||||
memo:
2019 adjusted excluding Travel Retail and Guinness
|
|
|
|
|
|
|
|
|
|
|
|
|
|
3,328
|
|
||||||
Organic movement
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(589)
|
|
||||||
memo:
2020 Travel Retail and Guinness movement
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(289)
|
|
||||||
memo:
2020 Movement excluding Travel Retail and Guinness
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(300)
|
|
||||||
Acquisitions
and disposals(vii)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(5)
|
|
||||||
Fair
value remeasurement of contingent considerations and equity
option(iv)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(7)
|
|
||||||
Fair value remeasurement of biological assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
9
|
|
||||||
Exchange(ii)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
|
||||||
2020 reported
|
|
|
|
|
|
|
|
|
|
|
|
|
|
3,494
|
|
||||||
Organic movement %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(14)
|
|
||||||
memo:
Organic movement % excluding Travel Retail and
Guinness
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(9)
|
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Operating profit before exceptional items
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
2020 reported
|
|
2,034
|
|
|
757
|
|
|
101
|
|
|
248
|
|
|
501
|
|
|
(147)
|
|
|
3,494
|
|
Exchange(v)
|
|
44
|
|
|
(18)
|
|
|
11
|
|
|
10
|
|
|
9
|
|
|
(5)
|
|
|
51
|
|
Fair value remeasurement of contingent considerations and equity
option
|
|
10
|
|
|
4
|
|
|
-
|
|
|
(7)
|
|
|
-
|
|
|
-
|
|
|
7
|
|
Fair value remeasurement of biological assets
|
|
-
|
|
|
-
|
|
|
-
|
|
|
(9)
|
|
|
-
|
|
|
-
|
|
|
(9)
|
|
Disposals(viii)
|
|
(1)
|
|
|
(9)
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
(10)
|
|
2020 adjusted
|
|
2,087
|
|
|
734
|
|
|
112
|
|
|
242
|
|
|
510
|
|
|
(152)
|
|
|
3,533
|
|
memo:
2020 Travel Retail and Guinness
|
|
80
|
|
|
185
|
|
|
56
|
|
|
24
|
|
|
113
|
|
|
20
|
|
|
478
|
|
memo:
2020 adjusted excluding Travel Retail and Guinness
|
|
2,007
|
|
|
549
|
|
|
56
|
|
|
218
|
|
|
397
|
|
|
(172)
|
|
|
3,055
|
|
Organic movement
|
|
352
|
|
|
(38)
|
|
|
113
|
|
|
153
|
|
|
113
|
|
|
(66)
|
|
|
627
|
|
memo:
2021 Travel Retail and Guinness movement
|
|
(27)
|
|
|
(76)
|
|
|
24
|
|
|
(8)
|
|
|
(47)
|
|
|
(13)
|
|
|
(147)
|
|
memo:
2021 Movement excluding Travel Retail and Guinness
|
|
379
|
|
|
38
|
|
|
89
|
|
|
161
|
|
|
160
|
|
|
(53)
|
|
|
774
|
|
Acquisitions(viii)
|
|
(18)
|
|
|
(3)
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
(21)
|
|
Fair value remeasurement of contingent considerations, equity
option and earn out arrangements
|
|
(9)
|
|
|
(27)
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
(36)
|
|
Exchange(v)
|
|
(175)
|
|
|
(31)
|
|
|
(54)
|
|
|
(92)
|
|
|
(15)
|
|
|
10
|
|
|
(357)
|
|
2021 reported
|
|
2,237
|
|
|
635
|
|
|
171
|
|
|
303
|
|
|
608
|
|
|
(208)
|
|
|
3,746
|
|
Organic movement %
|
|
17
|
|
|
(5)
|
|
|
101
|
|
|
63
|
|
|
22
|
|
|
(43)
|
|
|
18
|
|
memo:
Organic movement % excluding Travel Retail and
Guinness
|
|
19
|
|
|
7
|
|
|
159
|
|
|
74
|
|
|
40
|
|
|
(31)
|
|
|
25
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Organic operating margin %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
2021
|
|
44.1
|
|
|
26.5
|
|
|
14.6
|
|
|
33.2
|
|
|
24.2
|
|
|
n/a
|
|
30.9
|
|
|
2020
|
|
45.3
|
|
|
29.2
|
|
|
8.7
|
|
|
26.5
|
|
|
22.5
|
|
|
n/a
|
|
30.4
|
|
|
Margin movement (bps)
|
|
(124)
|
|
|
(265)
|
|
|
586
|
|
|
674
|
|
|
169
|
|
|
n/a
|
|
46
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
2019 to 2021 reported growth %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(9)
|
|
||||||
2019 to 2021 growth on constant basis %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1
|
|
|
Volume
equ. units million
|
Net sales
£ million
|
|
Operating
profit
£ million
|
|||
Year ended 30 June 2019
|
|
|
|
|
|||
Acquisition
|
|
|
|
|
|||
Change
in contingent consideration re Casamigos
|
-
|
|
-
|
|
|
15
|
|
|
-
|
|
-
|
|
|
15
|
|
Disposals
|
|
|
|
|
|||
Portfolio
of 19 brands
|
(2.2)
|
|
(79)
|
|
|
(42)
|
|
South
African ready to drink
|
(0.5)
|
|
(43)
|
|
|
-
|
|
South
African cider
|
-
|
|
(4)
|
|
|
(1)
|
|
UNB
|
(2.2)
|
|
(43)
|
|
|
(1)
|
|
|
(4.9)
|
|
(169)
|
|
|
(44)
|
|
|
|
|
|
|
|||
Acquisitions and disposals
|
(4.9)
|
|
(169)
|
|
|
(29)
|
|
|
|
|
|
|
|||
Year ended 30 June 2020
|
|
|
|
|
|||
Acquisition
|
|
|
|
|
|||
Seedlip
and Aecorn
|
0.1
|
|
12
|
|
|
(8)
|
|
|
0.1
|
|
12
|
|
|
(8)
|
|
Disposals
|
|
|
|
|
|||
Supply
contracts in respect of the 19 brands sold to Sazerac
|
1.1
|
|
31
|
|
|
3
|
|
South
African ready to drink
|
0.3
|
|
19
|
|
|
-
|
|
UNB
|
1.5
|
|
31
|
|
|
-
|
|
|
2.9
|
|
81
|
|
|
3
|
|
|
|
|
|
|
|||
Acquisitions and disposals
|
3.0
|
|
93
|
|
|
(5)
|
|
|
Volume
|
|
Sales
|
|
Net sales
|
|
Marketing
|
|
Operating
profit
|
|||||
|
equ. units million
|
|
£ million
|
|
£ million
|
|
£ million
|
|
£ million
|
|||||
Year ended 30 June 2020
|
|
|
|
|
|
|
|
|
|
|||||
Disposals
|
|
|
|
|
|
|
|
|
|
|||||
UNB
|
(1.5)
|
|
|
(29)
|
|
|
(29)
|
|
|
(1)
|
|
|
-
|
|
Budweiser
distribution license termination
|
(0.3)
|
|
|
(57)
|
|
|
(32)
|
|
|
(2)
|
|
|
(9)
|
|
Supply
contracts in respect of the 19 brands sold to Sazerac
|
(0.6)
|
|
|
(29)
|
|
|
(21)
|
|
|
-
|
|
|
(1)
|
|
South
African ready to drink
|
(0.3)
|
|
|
(31)
|
|
|
(18)
|
|
|
-
|
|
|
-
|
|
|
(2.7)
|
|
|
(146)
|
|
|
(100)
|
|
|
(3)
|
|
|
(10)
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Year ended 30 June 2021
|
|
|
|
|
|
|
|
|
|
|||||
Acquisitions
|
|
|
|
|
|
|
|
|
|
|||||
Aviation
Gin and Davos Brands
|
0.1
|
|
|
26
|
|
|
24
|
|
|
(9)
|
|
|
(14)
|
|
Chase
Distillery
|
-
|
|
|
3
|
|
|
2
|
|
|
-
|
|
|
(3)
|
|
Lone
River
|
-
|
|
|
3
|
|
|
3
|
|
|
(2)
|
|
|
(3)
|
|
Loyal
9 Cocktails
|
-
|
|
|
1
|
|
|
1
|
|
|
(1)
|
|
|
(1)
|
|
|
0.1
|
|
|
33
|
|
|
30
|
|
|
(12)
|
|
|
(21)
|
|
Disposal
|
|
|
|
|
|
|
|
|
|
|||||
South
African ready to drink
|
0.1
|
|
|
8
|
|
|
5
|
|
|
-
|
|
|
-
|
|
|
0.1
|
|
|
8
|
|
|
5
|
|
|
-
|
|
|
-
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Acquisitions and disposals
|
0.2
|
|
|
41
|
|
|
35
|
|
|
(12)
|
|
|
(21)
|
|
|
2021
|
2020
|
||
|
£ million
|
£ million
|
||
Profit attributable to equity shareholders of the parent
company
|
2,660
|
|
1,409
|
|
Exceptional operating and non-operating items
|
1
|
|
1,380
|
|
Exceptional taxation charges/(benefits)
|
88
|
|
-
|
|
Tax in respect of exceptional operating and non-operating
items
|
(4)
|
|
(154)
|
|
Exceptional items attributable to non-controlling
interests
|
1
|
|
(69)
|
|
|
2,746
|
|
2,566
|
|
|
|
|
||
Weighted average number of shares
|
million
|
million
|
||
Shares in issue excluding own shares
|
2,337
|
|
2,346
|
|
Dilutive potential ordinary shares
|
8
|
|
8
|
|
|
2,345
|
|
2,354
|
|
|
|
|
||
|
pence
|
pence
|
||
Basic earnings per share before exceptional items
|
117.5
|
109.4
|
||
|
|
|
||
Diluted earnings per share before exceptional items
|
117.1
|
109.0
|
|
2021
|
2020
|
||
|
£ million
|
£ million
|
||
Net cash inflow from operating activities
|
3,654
|
|
2,320
|
|
Disposal of property, plant and equipment and computer
software
|
13
|
|
14
|
|
Purchase of property, plant and equipment and computer
software
|
(626)
|
|
(700)
|
|
Movements in loans and other investments
|
(4)
|
|
-
|
|
Free cash flow
|
3,037
|
|
1,634
|
|
|
2021
|
2020
|
||
|
£ million
|
£ million
|
||
Operating profit
|
3,731
|
2,137
|
||
Exceptional operating items
|
15
|
1,357
|
||
Fair value remeasurement
|
36
|
(2)
|
||
Depreciation
and amortisation(i)
|
447
|
494
|
||
Retranslation to budgeted exchange rates
|
375
|
(2)
|
||
|
4,604
|
3,984
|
||
|
|
|
||
Cash generated from operations
|
4,857
|
3,529
|
||
Net
exceptional cash received(ii)
|
(49)
|
(1)
|
||
Post
employment payments less amounts included in operating
profit(i)
|
35
|
109
|
||
Net
movement in maturing inventories(iii)
|
174
|
262
|
||
Provision
movement
|
60
|
(22)
|
||
Dividends received from associates
|
(290)
|
(4)
|
||
Other
items(i)
|
(88)
|
14
|
||
Retranslation to budgeted exchange rates
|
387
|
12
|
||
|
5,086
|
3,899
|
||
|
|
|
||
Operating
cash conversion
|
110.5
|
%
|
97.9
|
%
|
|
|
|
|
|
|
2021
|
2020
|
|
£ million
|
£ million
|
Operating profit
|
3,731
|
2,137
|
Exceptional operating items
|
15
|
1,357
|
Profit before exceptional operating items attributable to
non-controlling interests
|
(138)
|
(114)
|
Share of after tax results of associates and joint
ventures
|
334
|
282
|
Tax at the tax rate before exceptional items of 22.2% (2020 -
21.7%)
|
(906)
|
(795)
|
|
3,036
|
2,867
|
|
|
|
Average net assets (excluding net post employment
assets/liabilities)
|
8,146
|
9,063
|
Average non-controlling interests
|
(1,587)
|
(1,723)
|
Average net borrowings
|
12,672
|
12,551
|
Average integration and restructuring costs (net of
tax)
|
1,639
|
1,639
|
Goodwill at 1 July 2004
|
1,562
|
1,562
|
Average total invested capital
|
22,432
|
23,092
|
|
|
|
Return on average total invested capital
|
13.5%
|
12.4%
|
|
2021
|
2020
|
||
|
£ million
|
£ million
|
||
Borrowings due within one year
|
1,862
|
|
1,995
|
|
Borrowings due after one year
|
12,865
|
|
14,790
|
|
Fair value of foreign currency derivatives and interest rate
hedging instruments
|
(232)
|
|
(686)
|
|
Lease liabilities
|
363
|
|
470
|
|
Less: Cash and cash equivalents
|
(2,749)
|
|
(3,323)
|
|
Net borrowings
|
12,109
|
|
13,246
|
|
Post employment benefit liabilities before tax
|
574
|
|
749
|
|
Adjusted net borrowings
|
12,683
|
|
13,995
|
|
|
|
|
||
Operating profit
|
3,731
|
|
2,137
|
|
Depreciation, amortisation and impairment (excluding exceptional
items)
|
447
|
|
494
|
|
Share of after tax results of associates and joint
ventures
|
334
|
|
282
|
|
Exceptional impairment
|
-
|
|
1,345
|
|
Non-operating items
|
14
|
|
(23)
|
|
EBITDA
|
4,526
|
|
4,235
|
|
Exceptional operating items (excluding impairment)
|
15
|
|
12
|
|
Non-operating items
|
(14)
|
|
23
|
|
Adjusted EBITDA
|
4,527
|
|
4,270
|
|
|
|
|
||
Adjusted net borrowings to adjusted EBITDA
|
2.8
|
|
3.3
|
|
|
2021
|
2020
|
||
|
£ million
|
£ million
|
||
Tax before exceptional items (a)
|
823
|
|
743
|
|
Tax in respect of exceptional items
|
(4)
|
|
(154)
|
|
Exceptional tax charge
|
88
|
|
-
|
|
Taxation on profit (b)
|
907
|
|
589
|
|
|
|
|
||
Profit before taxation and exceptional items (c)
|
3,707
|
|
3,423
|
|
Non-operating items
|
14
|
|
(23)
|
|
Exceptional operating items
|
(15)
|
|
(1,357)
|
|
Profit before taxation (d)
|
3,706
|
|
2,043
|
|
|
|
|
||
Tax rate before exceptional items (a/c)
|
22.2
|
%
|
21.7
|
%
|
Tax rate after exceptional items (b/d)
|
24.5
|
%
|
28.8
|
%
|
-
|
economic,
political, social or other developments in countries and markets in
which Diageo operates (including as a result of the Covid-19
pandemic), which may contribute to a reduction in demand for
Diageo's products, adverse impacts on Diageo's customer, supplier
and/or financial counterparties, or the imposition of import,
investment or currency restrictions (including the potential impact
of any global, regional or local trade wars or any tariffs, duties
or other restrictions or barriers imposed on the import or export
of goods between territories; including but not limited to, imports
into and exports from the United States and the European Union
and/or the United Kingdom, as well as the United Kingdom's recent
departure from the European Union);
|
-
|
the
impact of the Covid-19 pandemic, or any other global or regional
public health threats, on Diageo's business, financial condition,
cash flows and results of operation;
|
-
|
the
effects of climate change, or legal, regulatory or market measures
intended to address climate change, on Diageo's business or
operations, including on the cost and supply of water;
|
-
|
changes in consumer preferences and tastes, including as a result
of disruptive market forces, changes
in demographics, evolving social trends (including any shifts in
consumer tastes towards at-home occasions, premiumisation,
small-batch craft alcohol, lower or no alcohol, or other
alternative products), changes in travel, holiday or leisure
activity patterns, weather conditions, health concerns, pandemics
and/or a downturn in economic conditions;
|
-
|
changes
in the domestic and international tax environment, including as a
result of the OECD Base Erosion and Profit Shifting Initiative and
EU anti-tax abuse measures, leading to uncertainty around the
application of existing and new tax laws and unexpected tax
exposures;
|
-
|
changes
in the cost of production, including as a result of increases in
the cost of commodities, labour and/or energy or as a result of
inflation;
|
-
|
any
litigation or other similar proceedings (including with tax,
customs, competition, environmental, anti-corruption or other
regulatory authorities), including litigation directed at the
beverage alcohol industry generally or at Diageo in
particular;
|
-
|
legal
and regulatory developments, including changes in regulations
relating to production, distribution, importation, marketing,
advertising, sales, pricing, labelling, packaging, product
liability, antitrust, labour, compliance and control systems,
environmental issues and/or data
privacy;
|
-
|
the
consequences of any failure of internal controls, including those
affecting compliance with existing or new accounting and/or
disclosure requirements;
|
-
|
the
consequences of any failure by Diageo or its associates to comply
with anti-corruption, sanctions, trade restrictions or similar laws
and regulations, or any failure of Diageo's related internal
policies and procedures to comply with applicable law or
regulation;
|
-
|
cyber-attacks
or any other disruptions to core business operations including
manufacturing and supply, business service centres and/or
information systems;
|
-
|
contamination,
counterfeiting or other circumstances which could harm the level of
customer support for Diageo's brands and adversely impact its
sales;
|
-
|
Diageo's
ability to maintain its brand image and corporate reputation or to
adapt to a changing media environment;
|
-
|
increased
competitive product and pricing pressures, including as a result of
actions by increasingly consolidated competitors or increased
competition from regional and local companies, that could
negatively impact Diageo's market share, distribution network,
costs and/or pricing;
|
-
|
increased
costs for, or shortages of, talent, as well as labour strikes or
disputes;
|
-
|
Diageo's
ability to derive the expected benefits from its business
strategies, including in relation to expansion in emerging markets,
acquisitions and/or disposals, cost savings and productivity
initiatives or inventory
forecasting;
|
-
|
fluctuations
in exchange rates and/or interest rates, which may impact the value
of transactions and assets denominated in other currencies,
increase Diageo's financing costs or otherwise adversely affect
Diageo's financial results;
|
-
|
movements
in the value of the assets and liabilities related to Diageo's
pension plans;
|
-
|
Diageo's
ability to renew supply, distribution, manufacturing or licence
agreements (or related rights) and licences on favourable terms, or
at all, when they expire; or
|
-
|
any
failure by Diageo to protect its intellectual property
rights.
|
From the UK:
|
+44 (0)330 336 9105
|
From the UK (free call):
|
0800 358 6377
|
From the USA:
|
+1 323 794 2093
|
From the USA (free call):
|
866 548 4713
|
From the UK:
|
+44 (0)20 7660 0134
|
From the UK (free call):
|
0808 101 1153
|
From the USA:
|
+1 719 457 0820
|
From the USA (free call):
|
888 203 1112
|
Investor enquiries to:
|
Durga Doraisamy
|
+44 (0) 7902 126906
|
|
Vinod Rao
|
+44 (0) 7834 805733
|
|
Lucinda Baker
|
+44 (0) 7974 375550
|
|
Belinda Brown
|
+44 (0) 7590 810246
|
|
|
|
|
|
|
Media enquiries to:
|
Jessica Rouleau
|
+44 (0) 7925 642 561
|
|
Dominic Redfearn
|
+44 (0) 7971 977 759
|
|
Francesca Olivieri
|
+44 (0) 7523 930 130
|
|
|
|
|
Diageo plc
|
|
(Registrant)
|
|
|
Date:
29 July 2021
|
|
|
|
|
By:___/s/
James Edmunds
|
|
|
|
James Edmunds
|
|
Deputy Company Secretary
|