US/CANADA: Cott Corp swings to full-year profits

Soft drinks firm Cott Corporation swung to full-year profits in 2009 and has said it expects to win more new business in 2010.

Profits for the 12 months to 2 January amounted to US$81.5m, from a loss of $122.8m in 2008, Cott said today (24 February).

Sales for the period declined 3.1%, but increased 2.4% excluding the impact of foreign exchange.

Lower volumes in North America, Mexico and Royal Crown International offset gains from higher volumes in the UK/Europe operating segment and improved pricing and product mix, the firm said.

Operating income swung to profits of $97.4m, compared to an operating loss of $113m in the prior year.

"As we begin 2010, we are focusing on the operational objectives that worked so well for us in 2009 and on pursuing our goals for smart new business wins," said CEO Jerry Fowden.

North America filled beverage case volume for the year declined 1.2% to 574.2m cases. Revenue decreased 0.3% for the region, but increased 0.9% excluding the impact  of foreign exchange.

UK filled beverage case volume increased 2% to 174.6m cases, driven by volume growth in segments such as energy drinks and sport drinks. Revenue decreased 6.7%, but increased 11.2% excluding the impact of foreign exchange.

In the fourth quarter, revenue increased 3.9%, while operating income reached $13.9m, compared to an operating loss of $15.6m in the prior year.

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