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American Focus > Blog > Economy > The challenges facing Rémy Cointreau’s new CEO
Economy

The challenges facing Rémy Cointreau’s new CEO

Last updated: June 5, 2025 7:15 am
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The challenges facing Rémy Cointreau’s new CEO
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Former Shiseido and Chanel executive Franck Marilly is set to take on the role of CEO at Rémy Cointreau in less than three weeks. This transition comes at a challenging time for the spirits group, as sales and profits have declined over the past year, particularly in the Cognac category, which makes up around 70% of the company’s sales.

The last financial year was tough for Rémy Cointreau, with net profit decreasing by 34.4% and operating profit down by 27.6%. Sales also saw an 18% decline, marking the second consecutive year of decreases. The decline in Cognac sales was attributed to challenges in the US and China, the two largest markets for the spirit.

Despite these challenges, there are positive signs for the Cognac business, with fourth-quarter sales rebounding in the Americas and market share gains in China. The company expects sales to return to mid-single-digit growth, driven by a strong rebound in the US market. However, uncertainties around tariffs could impact current operating profit growth.

As Marilly steps into his new role, there is optimism around Rémy Cointreau’s more premium Cognac portfolio and the growth of its Liqueurs & Spirits division. However, there is a need to diversify the business away from its heavy reliance on Cognac and the US and China markets. This may require strategic M&A activity to achieve a more balanced structure.

The new CEO will need to navigate challenges in the spirits sector, including geopolitical uncertainties and changing market conditions. Finding the right premium assets to diversify the business will be key, potentially in categories like Tequila or whisk(e)y. Bold moves may be necessary to accelerate the shift away from Cognac and towards a more diversified portfolio.

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In conclusion, Marilly faces significant challenges as he takes the helm at Rémy Cointreau. Strategic decisions around diversification and growth will be crucial in shaping the company’s future success. The challenges ahead for Rémy Cointreau’s new CEO are complex and multifaceted, requiring a thoughtful and strategic approach to navigate the changing landscape of the spirits industry.

TAGGED:CEOchallengesCointreausFacingRemy
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