Britvic outperforms soft drinks market

In a trading update on its performance for the year to the end of September, the soft drinks maker announced revenue growth of 29.3% to £926.5m compared with the same period last year. The result demonstrated a resilient performance set against the backdrop of the downturn in consumer spending seen since early spring, the continued challenges in the licensed on-premise market and the impact of another poor summer, the company said, adding that its success was predominately driven by a strong innovation programme, in-store displays and increased advertising. In still drinks, Britvic saw volumes grow via its Fruit Shoot and Robinsons squash brands against a general market decline driven by economic pressures. Britvic also outperformed the fizzy drinks market with volumes driven by Pepsi and 7UP. For Britvic’s Irish arm, macro economic conditions resulted in very difficult trading conditions leading to a decline in pub sales, though the take-home market wasbetter but still flat. Chief executive Paul Moody said: "We have delivered a strong performance despite the disappointing weather, rising raw material and energy costs and the challenging market conditions. The business has achieved good revenue growth, increased market volume and value share with tight cost control helping to deliver our target of increasing GB & International operating profit margin by at least 10-15 basis points. Consequently, we expect to deliver earnings for the year in line with expectations."