Drinks maker A.G. Barr expects to post a 17% rise in full-year revenue, ahead of market expectations, helped by price hikes and steady demand for its cocktail mixes and beverages.
In a trading update, the maker of Irn-Bru said it expects revenue of £315 million (€358.76 million) for the year ended January 28.
'Continued Brand Investment'
"Thanks to the contribution from all our teams, we have performed strongly across the year," commented Roger White, chief executive. "This positive performance has been supported by continued brand investment and great sales execution."
The Scottish company, which is home to four separate business units, Barr Soft Drinks, Boost, Funkin and MOMA, said that it expects its year end cash position to be 'robust' following the recent acquisitions of Boost and MOMA.
"We have accelerated the development of the business, further building our portfolio of differentiated brands with the acquisition of Boost and taking full ownership of MOMA," said White.
"As we enter a new financial year, we are well placed to continue to develop and grow through our clear and consistent value-driven strategy."
The Year Ahead
Looking ahead to the 2023/24 financial year, the group side that it expects 'further revenue growth' and 'continued brand momentum', while also continuing the need to take actions to mitigate inflation.
'While we expect there to be an impact on operating margin as a result of inflationary cost pressures, and a short term dilutive impact from the Boost acquisition, we will continue to invest in the long term growth of our brands,' it said. 'At this early stage in the year we remain confident of delivering further profit growth in the year ahead in line with management expectations.'
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