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Profits down at soft drinks giant Britvic despite revenue boost

29th Nov 2017 - 11:19
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Soft drinks firm Britvic plc saw its profits fall by 2.5% for the 12 months to 1 October 2017 due to what it said were one-off costs.

The maker of Robinsons, J20 and PepsiCo made a profit of £111.6 million over the 52 weeks, £2.9m down on the year before.

Planned costs of £24.7m related to its business capability programme was said to have hurt profits.

The drop in profits came despite growth in revenue and adjusted Ebita (earnings before interest, tax and amortisation) across the group.

Revenue went the opposite way of profits, rising 2.5% to £1.54 billion while adjusted Ebita increased by 5.6%, jumping from £186.1m to £195.5m over the last 12 months.

Simon Litherland, Britvic chief executive officer, said “We have again demonstrated the resilience of our business, delivering another strong set of results.

“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.”

Litherland also addressed the “uncertainty” surrounding the soft drinks industry levy being introduced in April 2018, saying Britvic was in a good position to deal with the new tax.

He said: “We are well placed to navigate it thanks to the strength and breadth of our brand portfolio and our exciting marketing and innovation plans. This, combined with our continued focus on revenue and cost management, means we remain confident of making further progress next year.”

 

 

 

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