The slight slowdown of growth in China shouldn't last long and consumers should be back to spending heavily again in the first half of 2013, according to French drinks group Pernod Ricard SA (RI.FR).
"We see this as a temporary slowdown, in part linked to the political transition and lower GDP numbers this year," Chief Financial Officer Gilles Bogaert said in an interview.
Mr. Bogaert said he expects to see stronger growth again in the second half of the group's financial year ending June 30, 2013.
There have been concerns about slowing growth in Asia, which has become a key growth engine for global drinks companies like Pernod Ricard.
Last week, Diageo PLC (DGE.LN), the world's largest spirits group by revenue, said first-quarter organic sales in the Asian-Pacific region rose only 2% compared with 14% last year, hit by weakness in South Korea and India. And Remy Cointreau SA (RCO.FR) said it detected hesitation from consumers in Asian markets such as China and Vietnam.
Mr. Bogaert said he was still confident about long-term growth in China and other Asian markets.
He also said Pernod-Ricard doesn't intend to cut back on marketing spending this year, despite the tougher economic backdrop. In the 2011-12 financial year, the maker of Havana Club rum, Absolut vodka and Chivas Regal whisky spent around 1.6 billion euros ($2.07 billion), or 19.1% of sales.
