A.G. Barr, the Irn-bru soft drinks group, reported today (26 January) that trading in the final quarter trading of its financial year is well ahead of the prior year and that the consolidation of operations at its Cumbernauld site was progressing well.
It is anticipated that total sales in the final quarter will be around 5% ahead of the prior year, giving 10% full growth. The company said its performance in the final quarter was especially pleasing given the strong comparative period in the prior year, the significant operational challenges posed by weather in late November/December and the greater promotional intensity experienced in the market.
A.G. Barr's investment in its Cumbernauld operation was progressing well and the company now anticipates final production from its now redundant Mansfield site in March. The Mansfield site has now been sold and will be cleared during March and April and fully vacated in June 2011.
Looking ahead, Barr said that over the course of the next financial year it expects to see increased pressure on consumers as rising inflation and static household incomes impact purchasing power. Nevertheless, it anticipates further sales growth opportunities through its core brands. Improved efficiency together with tight cost control and price increases will continue to help offset rising commodity costs.