AG Barr backs full-year expectations as H1 sales rise

(Sharecast News) - Irn-Bru maker AG Barr backed its expectations for the full year on Tuesday as it said revenue for the first half was set to rise versus the same period a year earlier. In an update on trading for the 26 weeks to 27 July, the drinks maker said revenue was expected to be around £221m, up from £210.4m.

AG Barr said the strong drinks brand performance was led by Rubicon, where successful marketing and further distribution gains drove double-digit revenue growth. Meanwhile, revenue from Irn-Bru was driven by a combination of volume and value growth and continued market share gains in England.

Chief executive Euan Sutherland said: "I am pleased to report overall H1 revenue growth of circa 5% with soft drinks growth of c.7%, against strong prior year comparatives. The strategic margin rebuild programmes are on plan, guidance on revenue and margin remains unchanged, and we are on track to meet FY expectations.

"Our four power brands - Irn-Bru, Rubicon, Boost and FUNKIN - have clear paths to long term growth, supported by strong innovation programmes across all of our portfolio and opportunities to work even more closely to add value to our customers, in all channels.

"We continue to invest in our supply chain which will deliver tangible benefits as we insource more of our volume, build capacity to support our growth plans, improve resilience and enhance our margins."

Analyst expectations are for FY24 net revenue of £421.2m and pre-tax profit of £56.9m.