A.G. Barr, the London-listed drinks company known for its popular brands IRN-BRU, Rubicon, and Funkin, announced impressive financial results for the first half of the year. Despite a higher tax rate leading to a decline in earnings per share, the company reported growth in both pretax profit and revenue.
Financial Highlights
- Pretax profit rose to £27.8 million compared to £24.7 million in the previous year.
- Earnings per share decreased slightly to 18.87 pence from 18.98 pence.
- Excluding the impact of the tax rate, EPS actually increased by 12%.
- Revenue saw significant growth, reaching £210.4 million from £157.9 million.
- The strong performance in the soft drinks category was driven by volume, price, and mix, supported by effective sales strategies and consumer marketing activities.
- Notably, IRN-BRU revenue grew by 8% and Rubicon revenue increased by 17%.
Dividend
In recognition of the positive results, the board declared an interim dividend of 2.65 pence per share, representing a 6% increase compared to the previous year.
Outlook
Chief Executive Roger White expressed confidence in the company’s future prospects, stating, “Our portfolio of leading brands, clear business strategy, talented teams, and the quality of our infrastructure all ensure we are well-positioned to deliver strong shareholder returns for the long-term.”
As A.G. Barr continues to make strides in the competitive beverage market, these financial results demonstrate the company’s ability to capitalize on market opportunities and navigate challenges successfully.
