UK: Britvic boosts H1 profits as UK CSDs thrive
- H1 net profits up 11% to GBP27.5m (US$46.4m)
- Net sales up 5% to GBP670.7m
- Operating profits up 6.6% to GBP50.3m
- GB carbonate volumes up 6%
Britvic has seen H1 sales and profits rise
Britvic has continued its turnaround as rising sales in the UK and France saw first-half profits jump.
Net profits were up 11% to GBP27.5m (US$46.4m) in the 28 weeks to 13 April, the group said today (21 May). Net sales climbed by 5% to GBP670.7m, while operating profits increased 6.6% to GBP50.3m.
Sales in the UK were up by 5% driven by a 7% sales jump in carbonates. UK carbonate volumes, meanwhile, were up by 6%, though UK stills volumes fell by 2%. France sales increased by 7%, Ireland was down 5%.
The healthy results come two years after the company lost an estimated GBP25m in a recall of Fruit Shoot caused by a faulty cap design. The recall coincided with falls in sales and profits, but the company has since rejected a merger with AG Barr and embarked on a GBP30m cost cutting programme.
Simon Litherland, Britvic's CEO, said today the programme is on-track, while plans to manufacturer Fruit Shoot in India are “imminent”. A Fruit Shoot roll out in the US now has nation-wide distribution, up from the 41 states covered previously.
“This has been another period of solid progress for our business, as we continue to implement the strategy we announced last year,” Litherland said. “We have delivered strong revenue, profit and margin growth in the first half of the year and our cost saving programme continues to gain traction across our business.”
The CEO added that Britvic expects to deliver EBIT in the range of GBP148m to GBP156m for the full year.
Britvic's share price had jumped 4.6% as of 9:50am today.
To read the company's full results, click here.
Britvic Ireland is expected to continue to grow through the renewal of its licence to distribute PepsiCo brands in the future. It is also expected to emphasise its own brands through marketing and dev...
Bottled Water in United Kingdom industry profile provides top-line qualitative and quantitative summary information including: market size (value and volume 2009-13, and forecast to 2018). The profile...
Carbonated Soft Drinks in Europe industry profile provides top-line qualitative and quantitative summary information including: market size (value and volume 2009-13, and forecast to 2018). The profil...
Functional Drinks in Ireland industry profile provides top-line qualitative and quantitative summary information including: market size (value and volume 2009-13, and forecast to 2018). The profile al...
- American whiskey does a vodka - Analysis
- Battle continues for Pernod Ricard in US and China
- Pernod Ricard's FY Performance by Region, Brand
- Concha y Toro's H1 performance - Focus
- Why consumers don't care about vodka's provenance
- Diageo strengthens Charmer Sunbelt distribution
- Heineken integrates cider and beer
- Pernod Ricard "in line" after full-year results
- Corby's FY suffers from US focus
- New whisky distillery set for Edinburgh
- Future growth opportunities for global spirits
- Global gin insights - market data, product innovation and consumer trends research
- Pernod Ricard SA - Mergers & Acquisitions (M&A), Partnerships & Alliances and Investment Report
- Global rum insights - market forecasts, product innovation and consumer trends research
- Global vodka insights - market forecasts, product innovation and consumer trends research