Magners key to growth at C&C, say analysts

SALES of Magners cider, rather than overseas acquisitions, could be the key to Irish drinks group C&C substantially increasing international presence, according to analysts.

C&C — whose chief assets are twin cider brands Bulmers and Magners — is due to publish full-year financial results next week, when earnings of €104m are expected to be reported. A driving force behind the group’s good trading has been sales of Magners, and not just in its home market Britain.

“We estimate Magners International grew volumes by 37% for the year to the end of February. A double-digit growth rate looks achievable in the medium term, given a number of favourable factors. This division could significantly accelerate the group’s underlying medium-term growth prospects,” said Barry Gallagher of Davy Stockbrokers in a pre-results research note &yesterday.