Britvic revenues fall at Irish unit

Britvic has reported an annualised decline of 2.5% in third-quarter revenues for its Irish operations, although sales volumes and market share rose during the period.

During the 12 weeks to July 6, the UK soft drinks group generated overall revenues of £329.5m (€415.3m) — up by more than 4% on the same period last year and driven by a near-5% revenue increase in Britain and a 5.6% sales jump in France.

In Ireland — which is the only one of Britvic’s geographical divisions to show a revenue decline — volumes actually increased by 1%, with market value share gains also being achieved in the carbonates and stills categories.

On a reported basis — as opposed to like-for-like — Britvic Ireland saw a 9.9% quarterly revenue rise, with sales volume up 14.4%.

This reflects the division’s seven extra trading days this year, as a result of the Irish unit moving to a weekly accounting system.

In the year to date, Britvic’s Irish sales are down 4.3%, on an annualised basis.

Britvic’s international distribution-led business — outside of its three main geographical bases — saw third-quarter sales rise by nearly 4%, largely boosted by continuing sales momentum for the group’s own Fruit Shoot product in the US.

Britvic’s management said yesterday that it expects full-year earnings, for the 12 months to the end of September, to come in at the top end of its £148m-£156m guidance range.

“Whilst we are now starting to lap particularly tough comparatives, as a result of the exceptionally warm weather last summer, early trading in the fourth quarter is in line with our expectations,” said group chief executive Simon Litherland.

“The business has continued to grow, despite the challenging retail trading and consumer environment in our European markets,” he added, noting the good performance of new product innovations and the “highly impactful” consumer marketing campaigns coinciding with the World Cup and the Tour de France.