Irn-Bru firm hails strong growth in revenues

SOFT drinks firms AG Barr and Fever-Tree have revealed robust sales and pointed towards positive performances for 2024 despite pressure on consumers.

Shares in both companies moved higher yesterday as shareholders welcomed their latest updates. Irn-Bru and Rubicon maker AG Barr revealed that sales jumped over a quarter during the past year as it was boosted by acquisitions and resilient consumer demand.

It revealed that revenues grew by 25.9% to £400 million for the year to January 28, compared with a year earlier.

AG Barr said this was supported by “strong” growth across its brand portfolio, with an 8% rise in like-for-like revenues.

The firm also benefited from a first full year of ownership of the Boost energy drink business it bought in December 2022.

The Scottish company’s adjusted pre-tax profits rose by 16.1% to £50.5m for the year, surpassing industry expectations.

Chief executive Roger White, who will step down from the business next month, said that he was optimistic about the profit outlook amid steadier costs and reduced price increases for customers.

He said: “The outlook is certainly more settled from a price and cost point of view. Across our products, we are seeing price inflation of mid-to-low single digits, so coming towards much more normal levels and that ultimately helps volumes.

“There are still some parts of the market where consumer demand is weaker, like in the ontrade there is still some softness in the late-night trade where we have younger people, students, who still have tighter finances.”

Meanwhile, mixer specialist Fever-Tree also recorded a rise in revenues as it was boosted by higher demand in the US.

It told investors that revenues increased by 6% to £364.4m in 2023, compared with the previous year. It benefited from a 22% jump in US revenues, while UK revenues dropped by 1% to £114.8m.

SCOTTISH Ballet dancers Urara Takata, Seira Winning and Danila Marzilli on the banks of Loch Lomond ahead of the company’s Swan Lake tour, which opens in Glasgow next week and then tours to Aberdeen, Inverness and Edinburgh

Photograph: Jane Barlow/PA Wire