AG Barr sees dip in revenue

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irn bru
REUTERS/Russell Cheyne/File Photo

Irn-Bru maker AG Barr said it expects an 8.6 percent drop in annual revenue for 2019.

In a trading update, the company said the revenue for the year ending on 25 January 2020 is expected to be around £255 million, down from £279 million in 2018.

Adjusted pre-tax profit is expected to be at the top end of current market expectations, at £37 million, it added.

The company attributed “a combination of challenging trading conditions” for the fall in revenue. Changes to promotional and pricing position in 2019 is also cited as a reason.

“Our focus remains the delivery of long-term value growth. We are taking action to reset our business and we enter the new financial year with confidence and a strong trading plan,” commented Roger White, chief executive.

The flagship brand Irn-Bru has returned to growth in the final quarter. Among other major brands, Funkin continues to perform strongly whilst Rockstar and Rubicon are seeing recovery plans being implemented, the company said.