The maker of Johnnie Walker and Crown Royal saw top-line sales rise 4.4% for the six months ended Dec. 31, 2016 on volume growth of 1.8%.
Diageo stock gained 4.2% to 2,228 pence in the first hour of trading in London, up 1.27% on the session, trimming the three-month loss to just under 1.6%
The world's largest producer of spirits saw pre-exceptional earnings per share at 62 pence, up 21% from the same period last year, "as higher operating profit and associate income along with favorable exchange more than offset the impact of disposals and a higher tax rate."
Diageo CEO Ivan Menezes told CNBC that the company "clearly benefited" by the 18% fall in the pound since the U.K. voted to leave the European Union in June 2016. "We are confident of achieving our medium term objective of consistent mid-single digit top line growth and 100bps of organic operating margin improvement in the three years ending 30 June 2019," Menezes added.
North America saw growth of 3% on an organic basis, the majority of growth came from U.S. spirits, which saw new sales up 4%. North America represents a third of the company's earnings.
"North American whiskey net sales grew 15% as Crown Royal and Bulleit continued to gain share in a vibrant category," the company said. Growth was driven by reserve variants, which were up by 11%.
"The conditions in the U.S. right now points to higher consumer confidence," Menezes told CNBC.