Diageo Posts Higher Profit, Raises Dividend

Diageo (NYSE:DEO) announced on Thursday that it earned £1.94 billion ($3.08 billion) during fiscal 2012, up from £1.9 billion in fiscal 2011.

Adjusted operating income, which excludes certain charges, rose to £3.2 billion, up 11% from last year. That also topped the £3.18 billion that analysts had predicted, Dow Jones noted.

During the year, the company said sales increased to £10.76 billion, up 8.3%, and narrowly beating analysts, who forecast sales of £10.75 billion..

Controlling for currency exchange rate fluctuations, new asset purchases and disposals, sales rose 6%.

Company officials have proposed a dividend for the year of 43.5 pence, which represents an 8% increase over last year.

Shares of Diageo rose fractionally in Thursday morning trading in New York.

The company noted that sales premium liquors in Asia and Latin America were up sharply. Fully 40% of Diageo’s revenue currently comes from emerging markets. Those markets are expected to account for half of revenue in three years. The company has pursued recent acquisitions in China, Turkey and Brazil.

Article printed from InvestorPlace Media, https://investorplace.com/2012/08/diageo-posts-higher-profit-raises-dividend/.

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