Pepsi and Robinsons maker Britvic says sales are steady despite price hikes
The business said that the average price for a litre of its drinks rose 10.6% in Great Britain.
Your support helps us to tell the story
From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.
At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.
The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.
Your support makes all the difference.The company behind Pepsi and Robinsons has said the average price of its drinks rose by more than a 10th in the last year, but customers were still buying.
Britvic said it sold 1.75 billion litres of drinks in Great Britain in the year to the end of September.
The small drop – just 2.3% – came as the business faced wetter and windier weather in July and August.
Until then sales had held up well despite prices increasing during the year.
Britvic said that the average price per litre of its drinks had risen 10.6% to 67.9p during the year.
Other factors, such as the different brands bought by customers, can also increase or decrease the average price per litre.
It came as households faced the highest inflation rates in around 40 years.
Businesses hiked prices as their own costs rose.
“We have demonstrated that our portfolio of trusted brands has been able to take and hold significant price, with very limited volume impact,” the business said.
For Britvic, the costs of its sales grew by almost £100 million to £1.05 billion globally during the 12 months.
Revenue held up well as a result of price hikes, growing from £1.62 billion to £1.75 billion, while pre-tax profit fell from £175.1 million to £156.8 million.
Britvic makes own-brand products, including Tango, J2O, and Fruit Shoot, as well as PepsiCo brands including 7UP, Lipton Ice Tea and Pepsi in Great Britain and Ireland.
It is the biggest seller of branded still soft drinks and the second-biggest branded carbonated drinks company in the Great Britain.
“Our portfolio of family-favourite brands and focus on great tasting, healthier drinks offer both quality and value at affordable prices,” chief executive Simon Litherland said.
“We have continued to invest across our supply chain, adding capacity and upgrading technology, while also building our brands and portfolio, including the acquisitions of Extra Power in Brazil and Jimmy’s Iced Coffee in Great Britain.
“Looking ahead, we have clear strategic priorities for 2024 and an exciting programme of marketing and innovation launches coming to market.”