Britvic confident despite dip in revenue

SOFT drinks group Britvic – which has operations in Solihull and Tamworth – has seen a slight decline in its revenue.

Announcing its preliminary results for the 52 weeks ended September 27, the firm revealed revenue slipped by 0.6% to £1,300.1m (2014: £1,344.4m).

But profit before tax was up 10.9% at £147m (2014: £132.9m).

The firm points out that the acquisition of Brazilian drinks company Empresa Brasileira de Bebidas e Alimentos SA (Ebba) for £120.8m completed post year end.
 
And it suggests continued disciplined cost management is enabling investment in long-term growth drivers.

Strategic highlights during the period covered include the completion of a business capability programme announced to drive further cost savings, commercial benefits and margin expansion.
 
The board is proposing a final dividend per share of 16.3p, up 10.1% on last year.

Simon Litherland, chief executive officer, said: “We have delivered another strong set of results, with margin growth and profit significantly ahead of last year, despite challenging market conditions.

“In all of our core markets, we continued to take volume and value share. I’m pleased to have completed the acquisition of Ebba in Brazil, which will create significant value for shareholders in the future.
 
“2016 will see significant developments and investment in the drivers of our future growth. We have established the route to market for Fruit Shoot multi-pack in the USA, which we will launch in the first half of calendar 2016. We are also planning a major investment programme in GB, which will deliver further efficiencies and flexibility in our supply chain. 
 
“We have seen a slow start to the year, reflecting the continued challenging market conditions. However, with our compelling marketing and innovation plans and our continued focus on disciplined cost management we are confident of increasing our profitability in 2016.”