By Aneil Lutchman [CC BY-SA 2.0] via Wikimedia Commons
Analysts expect that Diageo, an FTSE 100 drinks giant, will reveal a seven percent increase in earnings per share when the company releases full-year results this Thursday.
The owner of Smirnoff, Guinness, and Johnnie Walker is also expected to post a seven percent increase in its dividend per share for 2017.
The company will possibly continue to benefit from the trends of the global market, including premiumisation and a recovery in the demand of the Chinese following the corruption clampdown of the government.
George Salmon, a Hargreaves Lansdown equity analyst, stated: “Industry level indicators are good, with Scotch exports returning to growth in 2017 and Single Malt exports breaking the £1bn barrier for the first time. As the globally dominant player in Scotch, Diageo should be well placed to benefit.”
Stock watchers should observe for the delivery of Ivan Menezes, the chief executive of the company, regarding the £1.5bn share buyback programme, the target of mid-single digit growth, and the performance of Casamigos, the tequila brand which Diageo acquired from George Clooney for $700m (£505m) during the past summer.