28th Jan 2021 10:15
(Alliance News) - Britvic PLC on Thursday reported a decline in revenue for the first quarter of its financial year, as new restrictions hurt trading, particularly in the UK.
For the three months ended December 31, the FTSE 250 soft drinks maker posted GBP328.1 million in revenue. On a comparable constant currency basis and excluding the disposal of the French private label juice business, this reflects a 5.8% decline year-on-year, while on a reported basis, the drop was 9.8%.
In GB, revenue dropped by 4.1%, as 12% growth in the At-Home business was more than offset by a 33% decline in Out-of-Home, leading to an adverse pack and channel mix. Revenue from Brazil rose by 26% on a constant currency basis, whereas revenue from the Rest of World region dropped by 19%.
Looking ahead, Britvic warned that the new national lockdown measures in the UK and Ireland have placed further pressure on sales in both the hospitality sector and on the go consumption.
The group expects the restrictions to remain in place at least over the second quarter of its financial year, significantly affecting Brtivic's performance due to similar adverse channel and pack mix.
"While the introduction of the latest restrictions will undoubtedly impact this year's results, we will continue to implement our strategy. We therefore intend to rebuild investment behind our brands, people and planet initiatives and stay focused on our medium and long-term potential," said Chief Executive Simon Litherland.
Shares in Britvic were down 3.1% at 737.50 pence on Thursday in London.
By Dayo Laniyan; [email protected]
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