Austerity in the Eurozone takes the fizz out of Campari’s profits

 
City A.M. Reporter
GRUPPO Campari’s first-quarter pre-tax profit has slumped 25.4 per cent, hit by the “one-off destocking effect” of payment restrictions on Italian food and beverage companies.

The maker of the bitter red aperitif of the same name said yesterday consumption trends and potential bad weather in Italy and the wider Eurozone were the main challenges to recovery.

Group pre-tax profit was €39.4m (£33.4m) for the period, as weak business in Germany and Australia offset strong sales in the Americas, eastern Europe and Russia, Campari said.