Remy going for a barbell strategy
My initial thoughts on the RC Forward transformation
The launch of the RC Forward transformation programme marks a decisive pivot for Rémy Cointreau as it navigates a period of significant macroeconomic volatility and shifting consumer preferences. Under the leadership of Chief Executive Officer Franck Marilly, who assumed his role in June 2025, the group has moved from a reactive stance to an offensive posture designed to insulate its operations from the cyclical nature of the global economy. The core of this transition is a nuanced barbell strategy, which seeks to maintain the group’s heritage of ultra-premiumisation while simultaneously introducing a more pragmatic approach to affordability and product accessibility.
The financial backdrop for this strategic shift is defined by a complex first half of the 2025-26 fiscal year. Global sales reached €489.6 million, down 4.2 per cent year on year. This contraction was primarily driven by the Cognac division, which faced headwinds in both the United States and China, exacerbated by incremental customs duties and an unfavourable price-mix. Current Operating Profit stood at €108.7 million, an organic decrease of 13.6 per cent, resulting in a margin of 22.2 per cent. Despite these pressures, the group maintained a robust gross margin of 68.0 per cent, which, while lower than the previous year, remains above pre-pandemic levels from 2019-20.
The narrative behind RC Forward is one of disciplined reinvestment. The group aims to sustainably improve profitability to generate the necessary resources to fuel future growth. This is achieved through a rigorous focus on operational efficiency and a redesign of the organisational structure to improve decision-making speed. The creation of a dedicated Prestige Division, encompassing flagship brands such as Louis XIII, Telmont, and Maison Psyché, signals a commitment to protecting the highest tier of the portfolio while the broader organisation refines its route-to-market for the core Liqueurs and Spirits brands.
