AG Barr expects to deliver full year growth despite high levels of competition

25th Jul 2014 12:44

AG Barr on Friday said it was expecting to deliver a year of good growth, despite the soft drinks market continuing to be highly competitive. In the six-month period to-date, the group said it had maintained "strong value and volume growth momentum", despite the increasingly tough prior year comparatives. Half year sales are expected to have risen 5.6% to around £135m, with growth "well ahead" of the total soft drinks market performance. Growth was well balanced across all core brands, which have benefitted from increased marketing activities, although promotional price competition remained "intense". Looking to the second half, the group said: "We are now in a period characterised by tough year-on-year comparative trading, however recent and current good weather, as well as the execution of a strong sales programme, continue to underpin our trading." The company also confirmed that it is progressing with its plan to invest further in carton packaging capability at its Milton Keynes site and that the Tredegar site in Wales will close in early 2015. Shares had risen 0.65% to 627.08p by 12:13.NR