Nichols records double-digit profit growth on solid UK performance

27th Feb 2019 10:51

(Sharecast News) - Soft drinks maker Nichols turned in double-digit profit growth in 2018, boosted by a solid showing from its fruit-flavoured cordial Vimto.Pretax profits came to £31.8m, up 11% year-on-year, while revenues grew 7% to £142m.Nichols saw UK sales increase 13% to £114.6m, driven by the strength of the Vimto brand, now in its 110th year.International sales declined 12% to £27.4m as sales in the Middle East were down as a result of ongoing conflicts in Yemen and the timing of shipments to Saudi Arabia.Nichols recorded earnings per share of 69.23p, a 10.1% improvement on the prior year, and declared a full-year dividend of 26.8p per share - up 14.5% year-on-year.Looking forward, the AIM-listed outfit expects its UK business to extend its strong performance into 2019.Chairman John Nichols said: "As a result of the group's diversified business model, strong portfolio of brands and successful track record, the board remains confident of delivering continued profitable growth."As of 1050 GMT, Nichols shares had climbed 4.04% to 1,597p.