Drinks group C&C has reported another drop in earnings on the back of what it described as "challenging period in core markets".

The company behind the Bulmers and Magners cider brands has been struggling in the face of increased competition from new entrants and the growth of craft beer.

C&C said its operating profits for the six-month period to the end of August fell by 9.5 per cent to €62.6 million, while revenues for period were down 2.6 per cent to €358.6 million.

The company said many of the factors contributing to the fall-off in earnings were "one-off or transitional", including poor weather; the transition to a brand led wholesale model; and legislative change in Scotland.

"In aggregate, the headwinds will adversely impact profitability by €10 million in the financial year," chief executive Stephen Glancey said.

C&C signalled it intended to “re-initiate” share buy backs with a view to returning up to €100 million to shareholders by next year’s AGM.

It also said it had commenced a new cost saving programme to deliver €15 million in annualised savings.