|
Irn-Bru maker A G Barr reports 20% growth and confirms factory closure
|
29/01/2010
|
| |
The soft drinks group A G Barr yesterday (28 January) announced an anticipated 20% growth in revenue, exceeding its own expectations in an environment of "continued volatility".
The Scottish firm said that sales over the final quarter had exceeded internal expectations following continued strong performance from its carbonate brands, including Irn-Bru - often said to be Scotland's second most famous drink - and an excellent overall performance from the Rubicon brand.
It is anticipated that total sales revenue will reach £200 million by the end of the financial year 2009/10 – annual growth of over 20%. "Despite continued volatility in input costs margins have held up well following significant efforts to control costs and improvements in product mix," the company said, adding that full year profit will be ahead of market expectations.
A G Barr also confirmed plans to expand operations at its Cumbernauld site and was proceding with its previously announced plans to close its Mansfield facility which employs close to 100 people. The £10 million capital investment at Cumbernauld would proceed with immediate effect, it said, with the closure of the Mansfield production site taking place in early 2011 and the outsourcing of some logistics functions proceeding over the course of 2010.
Chief executive Roger White said: "The business continues to outperform the market. We have successfully integrated the Rubicon business adding to the growth momentum while continuing to improve sales of our existing core business. It is our plan to continue to invest across our business in assets, brands and people while maintaining our focus on cost and efficiency. 2010 will be a challenging year with significant internal change to manage on top of a continued uncertain economic outlook. We remain confident in our approach and the capability of the business to deliver against these challenges."
|
| |
Author
Ken Hurst
|
| |
| Email this article |
| |
|
|
|
|