Britvic revenues grow but profits lack fizz

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Soft drinks manufacturer Britvic (LON:BVIC) saw revenues for the 28 weeks ended 15th April climb by 4.5% to £733.2 million, with strong growth through the second quarter despite rough weather in Britain, Ireland, and France.

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Margins improved by 50 basis points, but profits dropped as the company spent £21.6 million on strategic restructuring and £6.2 million on acquisitions. CEO Simon Litherland said that the firm had “delivered a strong first half performance with solid revenue, margin and earnings growth. We have also made good progress in innovating to meet consumer needs, growing our international presence and transforming our supply chain. While it is too soon to guide on the ongoing consumer impact of the soft drinks levy, early indications of the competitor and customer response are broadly as we anticipated”.

Shares in the Britvic were at 812p at 13:20 BST, a 7.05% improvement over the opening price.

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