Campari Reports 4% Sales Decline, 17% Profit Drop in Q1

Campari, the Italian spirits group known for brands like Aperol and Courvoisier, reported a 4% organic decline in net sales for the first quarter, missing analysts' expectations. Adjusted operating profit also fell sharply by 17% organically, driven by tariff-related impacts, logistic delays, and timing issues such as Easter. The U.S. market, which accounts for nearly half of Campari's sales, declined 11% due to destocking ahead of U.S. tariffs and ongoing trade tensions with China, while Europe saw a smaller sales decline, with some growth in the U.K. Despite these challenges, CEO Simon Hunt reaffirmed the company’s financial guidance for 2025 but acknowledged that visibility remains low and emphasized ongoing cost containment and portfolio streamlining efforts without planned acquisitions. The company also noted an expected 25 million euro hit to 2025 operating profit from tariffs before any mitigation. Overall, Campari is navigating a difficult trade environment with the hope that the growing global spirits market could aid its medium-term recovery.