Diageo raises full-year earnings 13 pct, ups target

(Rewrites with finance director interview, analyst, shares)

By David Jones

LONDON, Aug 30 (Reuters) - The world's biggest alcoholic drinks group, Diageo Plc (DGE.L: Quote, Profile, Research, Stock Buzz), matched forecasts with a 13 percent rise in annual earnings on Thursday and raised its target for future profit growth.

The London-based maker of Johnnie Walker whisky, Smirnoff vodka and Guinness beer said it saw no signs of a North American slowdown and growth returning to Europe, while emerging markets such as Russia, China and Latin America grew strongly.

Chief Executive Paul Walsh said the strong results prompted him to raise his underlying operating profit growth target to 9 percent in the current year, after beating an 8 percent target in the year to June 2007 with a 9 percent increase.

"Therefore, we currently expect increased organic operating profits growth in 2008 of 9 percent," Walsh added.

The group, which also makes Captain Morgan rum, Baileys liqueur and Jose Cuervo tequila, reported earnings per share of 55.4 pence for the year to June 30, in line with the average forecast of 55.5p in a Reuters poll of 12 analysts whose forecasts ranged from 54.6p to 56.6p.

"We feel robust about North America right now, while there is great momentum in the business with the second half better than the first," Finance Director Nick Rose told Reuters.