Monday 16 September 2019

Profits increase at Britvic despite shortage of fizz

CEO Simon Litherland
CEO Simon Litherland
Ellie Donnelly

Ellie Donnelly

Profit after tax at drinks giant Britvic increased 5pc to £117m (€132m) in the 12 months to 30 September.

Revenue also increased by 5pc to £1.5bn (€1.7bn).

The strong performance comes despite disruptions in the second half of the year from a shortage of carbon dioxide across Western Europe, and the impact of "multiple business failures" in its customer base, according to preliminary results from the company.

"Against this backdrop, our results are even more impressive and demonstrate the resilience of the business, the strength of our broad portfolio, the quality of our team and the strong relationships we have with our customers and partners," Simon Litherland, CEO of Britvic, said.

In Ireland, Britvic said its strong market position and broad portfolio of low and no sugar brands delivered a strong financial performance, despite a shortage of CO2 and the introduction of the Sugar Sweetened Drinks Tax (SSDT).

The performance in Ireland was driven by its squash brands and Ballygowan water.

Britvic added that the benefit of the East Coast wholesale acquisition was fully realised in the first half of the year, which has enabled it to accelerate the distribution of Britvic brands in the growing Dublin on-trade sector.

Describing the UK market as "turbulent", the group benefited from a strong second half of the year, with the good weather helping sales.

Earlier this year Britvic chief financial officer Mathew Dunn resigned from the group to take up the role of CFO at fashion giant Asos.

Online Editors

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