What does the company do?
Diageo plc (Diageo) is engaged in the drinks business with a collection of international brands. Diageo is a participant in the branded beverage alcohol industry and operates worldwide. Diageo produces and distributes a collection of branded premium spirits, beer and wine. The range of premium brands it produces and distributes includes Smirnoff vodka, Johnnie Walker scotch whisky, Baileys Original Irish Cream liqueur, Captain Morgan rum, JeB scotch whisky, Tanqueray gin and Guinness stout. In addition it also has the distribution rights for the Jose Cuervo tequila brands in North America and many other markets. Diageo’s beer brands include the global stout brand, Guinness. Diageo targets its geographical priorities in terms of the major regional economies in which it operates. These markets are managed under four business areas: North America, Europe, International and Asia Pacific. On June 16, 2009, the Company acquired the remaining 80% interest in Stirrings LLC.
How much does the company sell and earn?
Investors need to know how much stuff or services a company sells, and how much of that total it keeps as income (or profit) to grow its business or return to shareholders. The more of each, the better. In general, look for companies that sell and earn more than peers.
- Diageo one-year sales: 15.44 Bil.
Difference from the average for the Beverages - Wineries & Distillers group: -9.14% - Diageo one-year income: 2.68 Bil.
Difference from the average for the Beverages - Wineries & Distillers group: 79.42%| Sales & Income (past 12 months) | Company | Industry |
|---|
| Sales | 15.44 Bil | 16.99 Bil | | Income | 2.68 Bil | 1.50 Bil |
How fast is the company growing?
- Diageo one-year sales growth: 15.10%.
Difference from the average for the Beverages - Wineries & Distillers group: 6.60 pct. pts. - Diageo one-year income growth: 8.30%.
Difference from the average for the Beverages - Wineries & Distillers group: -11.10 pct. pts.| Sales & Income Growth (past 12 months) | Company | Industry |
|---|
| Sales Growth | 15.10% | 8.50% | | Income Growth | 8.30% | 19.40% |
How profitable is the company?
Investors prefer companies that increase profit margins -- the percentage of sales that they keep -- every year. This is accomplished either by lowering expenses or raising prices. Look for companies that consistently find ways to squeeze more profits out of sales than their peers.
- Diageo one-year net profit margin: 18.5%
Difference from the company's 5-year average net profit margin: -2.1 pct. pts.
Difference from the average for the Beverages - Wineries & Distillers group: 8.3 pct. pts.
| Net profit margins (%) |
|---|
| Company | 18.5% | | Company 5-Yr Avg. | 20.6% | | Industry | 10.2% |
How is the company's financial health?
The debt/equity ratio shows how much a firm has borrowed as a percentage of its stock equity. The lower, the better.
- Diageo debt/equity ratio: 2.73.
Difference from the average for the Beverages - Wineries & Distillers group: 39.29%.
| | Company | Industry |
|---|
| Debt/equity ratio | 2.73 | 1.96 |
|
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