Ukraine war hitting everything from car tyres to tonic water 

Fevertree, the premium tonic and drink mixers producer said it expected core profit of £63m-£66m (€75m-€78m) this year, lower than analysts' consensus of £71.7m.

The negative impact on western companies of Russia’s invasion of Ukraine and the resulting war in the country has continued with businesses as diverse as tonic water maker Fevertree and tyre maker Michelin flagging concerns over rising costs and additional supply chain disruption.

Fevertree said dramatic rises in commodity prices following Russia's invasion had led to uncertainty around costs for the company and would hurt its 2022 profit.

Sanctions against Moscow for invading its neighbour have sent prices soaring amid uncertainties over commodity supplies from both nations and added to worries of inflation. Fevertree and others in the industry were already facing logistical snags.

The premium tonic and drink mixers producer said it expected core profit of £63m-£66m (€75m-€78m) this year, lower than analysts' consensus of £71.7m. Fevertree reported a profit of £63m for 2021 and had previously forecast 2022 profit in the range of £69m-£72m.

Meanwhile, BMW has cut its car division's 2022 profit margin forecast. It is the latest car maker to warn of problems from ongoing chip shortages and new supply chain disruptions as a result of Russia's invasion of Ukraine.

The conflict and Covid-related disruptions in China have forced car makers, from Toyota to Tesla, to shutter plants and raise prices, with many warning of further changes if circumstances do not stabilise.

Michelin, which was the first international tyre maker to start manufacturing in Russia in 2004, has suspended production at its plant in Davydovo, which employs about 750 people.

"There is a lot of supply difficulties, which means we have disruption of financial flows and there's a problem of currency instability," it said.

• Additional reporting Reuters