Pernod Ricard, the French spirits company known for brands such as Absolut Vodka and Havana Club rum, reported a smaller-than-expected decline in sales during the first quarter of the year. The company’s organic net sales decreased by 0.9 percent to €2.2 billion, outperforming analyst projections that had anticipated a 1.7 percent drop.

The mixed regional performance played a significant role in the results. Sales in the United States declined by 10 percent, while the company experienced a sharper 25 percent decrease in China. These downturns were largely offset by a robust 19 percent increase in sales in India, highlighting the country’s growing importance for the group.

Based in Paris, Pernod Ricard is the world’s second-largest spirits maker after Diageo. Despite the challenges in key markets such as the US and China, the company remains cautiously optimistic and expects sales growth to fall at the lower end of its previously stated target range of 3 to 6 percent for the year.

The company’s performance reflects varying consumer dynamics across different regions, with strong demand in India helping to mitigate broader sector pressures in other major markets. Pernod Ricard’s results underscore the continued importance of emerging markets in the global spirits industry.