2nd Mar 2006 07:02
Britvic plc02 March 2006 2 March 2006 Britvic plc ("Britvic") Trading Update Context InterContinental Hotels Group plc, ("IHG") the controlling shareholder inBritvic prior to its flotation, has today released its 2005 Preliminary Results.IHG's announcement contains Britvic's revenue and operating profitpre-exceptionals figures for the 50 week period to 14 December 2005 whichreflects the period up until Britvic's flotation. These figures are set againstthe non-comparable 53 week period to 25 December 2004. As a result Britvic todayreleases a trading update in advance of its normal financial calendar to putinto context the figures disclosed by IHG. Trading For the twelve weeks to 25 December 2005, revenue increased by 1% and operatingprofit pre-exceptionals increased by 5% compared to the same period last year. Since Christmas, there has been a weakening in the total soft drinks market inthe UK. The consumer trend towards "better for you" is accelerating and as aconsequence sales in the carbonates category, except those with no added sugar,have slowed. In contrast stills have shown growth. Against this marketbackground Britvic is performing well, growing market share in key categories inthe year to date; especially adult, cola and juice drinks. In line with its plans outlined at the IPO Britvic has successfully launched aprogramme of new product innovations, including three new products within thefast growing water segment, which will further strengthen its stills offer. Itanticipates that new products will boost top line growth in the second half ofthe year. Britvic is also making strong progress in its overhead reduction programme,which is on course to deliver at least a further £4 million in addition to the£6 million target for 2006 announced at the time of flotation. The benefit ofthis additional reduction will be principally seen in the second half of thecurrent financial year, with further improvement on our 2007 target alsoexpected. Paul Moody, CEO of Britvic plc commented: "Despite the current challenging market conditions, the growth of stills and noadded sugar carbonates continues to play to the strength of Britvic's existingportfolio and NPD pipeline. If the soft drinks market shows recovery over thebalance of the year as we anticipate, we remain confident of delivering earningswithin market expectations, albeit at the lower end" For further information please contact: Investors:John Gibney/ Jo Guano 01245 504 330 Media:Mike Smith/ Conor McClafferty (Brunswick) 0207 404 5959 Notes to editors In line with its planned future reporting timetable Britvic will release apre-half year close Trading Update on 4 April, which will include the H1 2005IFRS pro- forma adjusted numbers. Britvic is one of the two leading soft drinks businesses in Great Britain. TheCompany is the largest supplier of still soft drinks, the faster growingcategory in the soft drinks market, and the number two supplier of carbonates. Britvic plc's broad portfolio of leading brands includes established names withhigh brand recognition such as Robinsons and Tango and highly successfulinnovations such as J20 and Fruit Shoot. Included within the portfolio are thePepsi and 7UP brands, which Britvic produces, markets, sells and distributesunder its exclusive appointment from PepsiCo which runs until December 2023.This brand and product portfolio enables Britvic to target and satisfy a widerange of consumer demands in all major soft drinks categories, via all availableroutes to market. Cautionary note regarding forward-looking statements This announcement includes statements that are forward-looking in nature.Forward-looking statements involve known and unknown risks, uncertainties andother factors which may cause the actual results, performance or achievements ofthe Company to be materially different from any future results, performance orachievements expressed or implied by such forward-looking statements. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
Britvic