25th Jan 2019 08:25
LONDON (Alliance News) - AG Barr PLC on Friday reported a continued positive trading performance in its current financial year and said it expects to deliver year-on-year revenue and profit growth.
The Rubicon, Strathmore and Funkin soft drinks maker said it expects to generate revenue for the year to Saturday of GBP277 million, up 4.9% from GBP264.1 million reported the year prior. It also is confident of delivering profit ahead of the prior year and in line with expectations.
During the year, AG Barr said it remained committed to investing across its brands, assets and people which had a moderate impact on its operating margin. In addition, the company said it has maintained its tight control on costs.
The GBP30 million share repurchase programme has continued, AG Barr said; however, the company now expects it to be completed slightly later in 2019 than previously indicated. At the end of September, the company had said it planned to finish the buyback programme in May.
Looking ahead, AG Barr said it is confident that its flexible business model and portfolio of differentiated and growing brands will provide it with continued profitable growth in the financial year ahead.
"Strong trading execution across our core brands and the continued success of our key innovation have led to further market share volume gains in a UK soft drinks market which saw volume up 3.0% while value increased by 8.0%," the company said in the statement Friday.
"Having taken the opportunity to drive our volume growth during this period, we expect to return to a more value-led trading strategy in 2019," AG Barr added.
The stock was trading 1.3% lower on Friday at 790.50 pence a share.
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Barr (A.G.)