Cheltenham sponsorship expected to help Bulmers owners C&C sustain earnings momentum
Drinks group C&C expects group earnings for the year to the end of February to grow by 20pc.
In its latest trading forecast, the company reports that EBIT for the 12 month period is expected to be near the upper end of market estimates.
C&C bought UK distributor Matthew Clark and the Bibendum wine business in 2018. The remainder of C&C's business includes major brands such as Bulmers and Magners.
The trading update said that operational delivery, customer service and the underlying cash contribution of both Matthew Clark and Bibendum in the second half have continued to improve.
As a result, year-end net debt at C&C is now expected to be well below market estimates, between €305m and €312m.
The company's sponsorship of next week’s Cheltenham Gold Cup by Magners and Bulmers is also expected to build on the positive trading momentum of its Irish branded businesses.
C&C is hosting a capital markets day with the announcement of its full year results on May 22.