- Alcoholic drinks maker Diageo reported a 'strong' start to its new fiscal year, owing to sales momentum amid a continued recovery in on-trade following the reopening of bars, restaurants.

The company's North American business was performing strongly, while Europe was recovering ahead of expectations, the company said.

Looking ahead, the company said it expected organic operating margin to benefit from a further recovery in sales volumes, positive channel mix and premiumisation trend, but flagged ongoing inflationary pressures.

'As previously indicated, we are managing rising inflationary pressures, which are partly due to supply chain constraints.' Story provided by