Profits at Britvic Ireland surged last year, as the drinks company increased turnover and its profit margins grew.
The company, which was acquired by Danish brewer Carlsberg earlier this year in a €3.9 billion deal, said pretax profit for the year ended September 30th, 2024, was €16.7 million, more than double the profit recorded in 2023.
That was enabled by increased turnover of €192.98 million, which was a 9 per cent rise, or €15.4 million, compared to the same period in 2023 as both volumes and average selling prices rose.
Britvic’s portfolio has a number of Irish brands, including Ballygowan water and the Club range of soft drinks.
RM Block
Britvic said brand growth in the period was largely due to Pepsi, 7Up, Ballygowan and MiWadi, while its flavoured water product, Ballygowan Hint of Fruit, also contributed significantly.
Turnover was also boosted by the merger of Britvic Americas Limited, adding €2.4 million, while an additional €2.9 million of revenue was attributable to price increases as a result of the Deposit and Return Scheme.
[ Britvic keeps growing in advance of Carlsberg takeoverOpens in new window ]
That came into effect in February, requiring consumers to pay a refundable deposit for plastic bottles and aluminium cans.
At the same time, Britvic cut its administrative expenses by €1.65 million, with the return scheme contributing to elevated costs in 2023.
The drinks company paid €2.9 million in tax, up from €1.78 million a year earlier.
Why is Ireland not considered a truly rich country?
Britvic Ireland had a total of €207.5 million in assets at the end of the period, with total liabilities of €95.7 million.
However, the company did not pay a dividend to shareholders.
The company also increased staff numbers over the 12 months, rising from 375 to 430. That pushed its wages and salaries bill higher, to €29 million, and total remuneration to just under €35 million for the year.
Organic operating profit is expected to grow between 3 and 5 per cent this year, compared with a previous estimate for 1 to 5 per cent growth.
