Fever-Tree Sales Set To Soar Following Strong UK Performance
Fever-Tree, the maker of premium tonic water and mixers, says that it is anticipating revenue of around £169 million for 2017, which would represent growth of 66% compared to the previous year.
In a trading update released this week, the company said that full-year revenue in the UK is expected to be 96% higher than 2016, having gained 'significant' market share.
Sales in Europe are expected to be up by 42%, while US revenue is set to rise 39%, bolstered by improved performance in the second half of the year and the establishment of a North American office.
"I am very proud of our performance in 2017, which has seen Fever-Tree end the year as the number one mixer brand at UK retail," said Tim Warrillow, co-founder and CEO of Fever-Tree.
"While we have seen strong growth across all regions, our performance in the UK over the Christmas period was once again exceptional."
Fever-Tree is set to announce its preliminary results on 13 March, but the company says that it expects these to be 'comfortably ahead' of market expectations, reflecting the continued strong performance through to the end of the year.
It added that the mixer category is now the fastest-growing in the UK's soft drinks sector, with Fever-Tree responsible for large proportion of this continued growth.
"There is clear evidence that the same trends of premiumisation and mixability that we've previously highlighted are accelerating," added Warrillow. "We are increasingly excited by the global opportunity this presents particularly as we transition to our own operations in the US."
Shares in Fever-Tree spiked last week following the appointment of Unilever's Kevin Havelock as a non-executive director, sparking speculation of a potential takeover by the consumer goods giant.
© 2018 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.