Britvic Posts 7% Revenue Growth In 2017, But Profits Fall
Soft-drink maker Britvic has reported that revenue increased by 7.7%, to £1.54 billion, in 2017, with organic revenue up by 2.5%.
However, the company, which produces brands such as 7Up and Robinsons, reports that profit after tax decreased by 2.5%, to £111.6 million, as a result of increased costs and investment.
Overall, the group describes this as a "strong performance", with adjusted earnings per share growing by 7.3%, to £0.529.
"Britvic has again demonstrated the resilience of our business, delivering another strong set of results," said Simon Litherland, its CEO.
"We have grown both organic revenue and margins whilst continuing to progress our strategic priorities. I am particularly encouraged that we have increased the proportion of revenue generated from innovation and accelerated the returns from the business capability programme."
Britvic says that it has delivered its strategic priorities in the face of a "challenging external environment", but adds that the so-called 'sugar tax', which is set to be introduced in the UK and Ireland next year, will bring an additional challenge.
"While April 2018 brings uncertainty, with the introduction of the Soft Drinks Industry Levy in GB and Ireland, we are well placed to navigate it, thanks to the strength and breadth of our brand portfolio and our exciting marketing and innovation plans," added Litherland. "This, combined with our continued focus on revenue and cost management, means we remain confident of making further progress next year.”
Today, Britvic also announced the appointment of Suniti Chauhan and William Eccleshare as independent non-executive directors of the company with immediate effect.
© 2017 European Supermarket Magazine – your source for the latest retail news. Article by Sarah Harford. Click subscribe to sign up to ESM: The European Supermarket Magazine.