Diageo's Plan Looks Appetizing

Dow Jones
08/06

1225 GMT - Diageo boss Dave Lewis's plan to boost sales and earnings looks robust, but now the company must deliver, Jefferies writes in a note. The spirits giant said in a strategy update it is aiming for medium-term growth in its sales and operating profit, the latter in part thanks to a cost-cutting program including layoffs. "Clarity that savings will allow for reinvestment without a reset will be taken well as no rebase required," Jefferies says. Shares are up 6.5% at 1,748 pence.

 

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