‘Excellent progress in a challenging market’
Britvic plc Preliminary Results – 22 November 2023 for the year ended 30 September 2023
Group Financial Headlines:
- Revenue increased 6.6%1 to £1,748.6 million (statutory increased 8.1%), driven by price/mix
- Adjusted EBIT increased 5.9% to £218.4 million (actual exchange rate increased 6.0%), reported EBIT decreased 5.6%
- Adjusted EBIT margin decreased 10bps1 to 12.5% (statutory decreased 20bps)
- Adjusting EBIT items2 net charge of £36.9 million, of which £28.8m was non-cash
- Including a £20.5 million non-cash pension adjustment related to a mutually beneficial conclusion with the Trustees in respect of the rate of future pension increases
- Profit after tax decreased 11.6% to £124.0 million, mainly driven by the impact of adjusting items
- Adjusted earnings per share of 61.0p, increased 6.5%
- Free cash flow generation of £129.8 million, with adjusted net debt to EBITDA at 1.9x
- Full year dividend increased 6.2% at 30.8p, reflecting the Board’s confidence in our prospects and strong balance sheet
Operational Highlights:
- Demand remained strong, modest volume decline due to tough Q4 comparable of the hot summer in Europe in 2022 and poor weather in July and August 2023
- Successfully managing the inflationary environment
- Standout performances from Tango and Pepsi MAX
- Leveraging our brand building capability to scale Plenish, Aqua Libra and our Global Premium brands
- Bolt-on acquisitions in Great Britain and Brazil to access fast-growing categories
- Continued investment in growth capacity, with new lines operational in Great Britain and Brazil
- Healthier consumer choices (total portfolio average 22 calories per serve, 12.5 calories per serve in Great Britain), and Healthier Planet, through investment in decarbonisation and water stewardship programmes
- Share buyback ongoing, £75 million repurchased over the last 12 months
|
|
Year ended £m |
Year ended £m |
% change |
Adjusted |
|
Revenue |
1,748.6 |
1,618.3 |
8.1% |
6.6% |
|
Adjusted EBIT |
218.4 |
206.0 |
6.0% |
5.9% |
|
Adjusted EBIT margin |
12.5% |
12.7% |
(20)bps |
(10)bps |
|
Adjusting EBIT items 2 |
(36.9) |
(13.6) |
(171.3)% |
(171.3)% |
|
Reported EBIT |
181.5 |
192.4 |
(5.7)% |
(5.6)% |
|
Reported EBIT margin |
10.4% |
11.9% |
(150)bps |
(130)bps |
|
Profit after tax |
124.0 |
140.2 |
(11.6)% |
(11.4)% |
|
Basic EPS |
48.3p |
52.6p |
(8.2)% |
|
|
Adjusted basic EPS |
61.0p |
57.3p |
6.5% |
|
|
Full year dividend per share |
30.8p |
29.0p |
6.2% |
|
|
Adjusted net debt/EBITDA |
1.9x |
1.9x |
– |
|
|
ROIC |
17.9% |
16.4% |
150bps |
|
|
See glossary on page 31 of the preliminary results for definitions of performance measures and the appendix of non-GAAP reconciliations on page 27 for the reconciliation of alternative performance measures to IFRS measures. |
||||
- Adjusted for constant currency.
- Adjusting EBIT items of £36.9 million are detailed on page 27. Total adjusting items totalled £38.4 million, of which £36.9 million are EBIT-related (year ended 30 September 2022: £13.6 million).
Simon Litherland, Chief Executive Officer commented:
“We have delivered another set of excellent results, making strong progress across our People, Planet and Performance measures. Our portfolio of family favourite brands and focus on great tasting, healthier drinks offer both quality and value at affordable prices. We have continued to invest across our supply chain, adding capacity and upgrading technology, while also building our brands and portfolio, including the acquisitions of Extra Power in Brazil and Jimmy’s Iced Coffee in Great Britain. Looking ahead, we have clear strategic priorities for 2024 and an exciting programme of marketing and innovation launches coming to market. With our fantastic portfolio and talented, engaged team, I am confident Britvic will continue to make excellent progress next year and beyond, delivering growth and creating value for all our stakeholders.”
For further information please contact:
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Investors: |
|
|
Rebecca Napier (Chief Financial Officer) |
+44 (0) 1442 284330 |
|
Steve Nightingale (Director of Investor Relations) |
+44 (0) 7808 097784 |
|
Media: |
|
|
Steph Macduff-Duncan (Head of Corporate Communications) |
+44 (0) 7808 097680 |
|
Stephen Malthouse (Headland) |
+44 (0) 7734 956201 |
There will be a live webcast of the presentation today at 09:00am by Simon Litherland (Chief Executive Officer) and Rebecca Napier (Chief Financial Officer). The webcast will be available at www.britvic.com/investors with a transcript available in due course.
