Headlines

Diageo Net Profit Hit by China Slowdown

Americans are drinking cheaper vodka and Chinese consumers are giving up high-end Scotch whisky. Both trends are bad news for Diageo PLC, the world's biggest liquor company by sales. The maker of Johnnie Walker Scotch and Smirnoff vodka on Thursday posted a sharp fall in full-year profit. Diageo blamed a dramatic collapse of demand in China—where sales of high-price Johnnie Walker Black Label fell nearly 30%—and problems in other emerging markets for the decline. (WSJ)