Diageo: warns of coronavirus hit, shares down

(CercleFinance.com) - British drinks group Diageo on Wednesday warned of a hit from the coronavirus on its sales and profit this year, confirming concerns that the outbreak is affecting all the sectors of the economy.


With many bars and restaurants being closed in China, the company said that it has seen a "significant disruption" since the end of January, which it expects to last at least until March.

On this basis, Diageo estimates the negative impact in its fiscal year 2020 to be between 225 million pounds and 325 million pounds on the group's organic net sales and 140 million pounds to 200 million pounds on organic operating profit.

The Diageo shares were down 2% on the London Stock Exchange after this warning.

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