Diageo reported double-digit organic net sales growth in its vodka and Scotch whisky businesses in India during the first quarter of fiscal year 2027, highlighting the country’s growing importance to the global spirits company. The performance was recorded in the three months ended September 30, 2026, according to the company’s trading statement released on November 5.
Although Diageo did not disclose exact growth percentages, sales values or shipment volumes for either category in India, it confirmed that both vodka and Scotch whisky achieved double-digit organic net sales growth compared with the corresponding quarter last year. The disclosure indicates stronger sales value but does not establish that volumes increased at the same rate.
India’s performance stood out against several other markets. In Latin America and the Caribbean, Diageo reported mid-single-digit organic net sales growth for spirits and high-single-digit growth for Scotch whisky. Across its broader geographical operations, Asia Pacific and Latin America and the Caribbean delivered mid-single-digit growth, while India and Europe, the Middle East and Africa recorded low-single-digit growth. North America remained under pressure, with organic net sales declining at a mid-single-digit rate.
At the group level, Diageo’s reported net sales increased 1.2% to US$4.931 billion from US$4.875 billion a year earlier. Organic net sales grew 1.4%, while growth was 0.6% excluding East African Breweries Ltd., whose contribution added 0.8 percentage points to the overall organic growth figure. Group volume declined 0.1%, while price and mix contributed 0.7%.
Varanasi Records Over Rs 32 Crore in Liquor Sales During Four-Day Diwali Festival
Heineken Promotes Kaushik Subramanian as Head of Trade & Customer MarketingChief Executive Dave Lewis described the quarter as a small step in the right direction amid challenging market conditions. He identified North America as the company’s biggest challenge and said efforts were underway to improve competitiveness in the region.
Diageo maintained its full-year fiscal 2027 guidance, expecting broadly flat organic net sales growth and low- to mid-single-digit organic operating profit growth. The company also forecast capital expenditure of approximately US$1.25 billion and free cash flow of around US$2 billion.
The latest results reinforce India’s importance in Diageo’s growth strategy, with vodka and Scotch emerging as particularly strong-performing categories during the quarter.
About the Author
