Britvic sales lift amid strong demand for Lipton and Pepsi
Shares in the company fizzed on Wednesday after it also reported stronger profits than expected.
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Your support makes all the difference.Britvic sales have jumped beyond expectations for the past half-year as the soft drinks giant was buoyed by strong demand for Pepsi Max and Lipton ice tea.
Shares in the company fizzed on Wednesday after it also reported stronger profits than expected.
The company, which also makes Robinsons and J20 branded drinks, said it expects to see growth continue for the rest of the year after the “excellent” first half.
Britvic told shareholders that revenues increased by 10.9% to £880.3 million for the six months to March 31, compared with the previous year.
This is encouraging as the company heads towards the key summer trading season
It said this included a 4.4% rise in sales volumes as it was also boosted by increased pricing.
Meanwhile, it said pre-tax profits increased by 10.1% to £59.9 million for the half-year.
The drinks firm said it saw “standout growth” from brands including Pepsi Max, Fruit Shoot and ice tea brand Lipton.
Simon Litherland, chief executive officer of Britvic, told the PA news agency that it benefited from customers looking for trusted brands in the face of tight household budgets.
“Most of our brands are the top one or two in their specific category, and when people’s wallets are challenged they are looking for those brands they know they like,” he said.
“We have also been successful with market investment for brands like Pepsi Max, while maintaining the quality of product.”
The company added that its strong sales momentum has continued into the current half-year, with April trading matching its expectations.
Edward Mundy, equity analyst at Jefferies, said: “Commentary on April trading suggests performance has remained robust, despite the unfavourable weather conditions.
“This is encouraging as the company heads towards the key summer trading season.”
Shares in the company climbed by 8.2%.