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The Markets
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The Markets
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Food & drink

Irn-Bru maker AG Barr drops after results lack fizz

Irn Bru and Rubicon drinks maker AG Barr PLC (LSE:BAG) shares dropped 1.8% after its interim results showed sales volumes were flat in the first half.

New chief executive Euan Sutherland was able to report growth in both first-half revenue and profit for his first set of results thanks to price increases of its soft drinks.

Sutherland, the former Co-op Group, Superdry and Saga boss who joined in May, said his first months at the business "cemented my view that AG Barr is an excellent business with exciting, tangible and deliverable growth opportunities".

The company announced revenue of £221 million for the first half of the year, growth of 5.2% from a year earlier based on price increases as volumes were down 0.4%, which the company blamed partly on disappointing early summer weather.

Levels of price inflation in the market have "reduced significantly" versus the peak in 2023, the company said, with its performance in soft drinks ahead of the market across both volume and price.

Adjusted profit before tax bubbled up 8.5% to £29.3 million as margins improved.

The company declared an interim dividend of 3.1p, up 17%.

Shares fell 1.8% to 650p.

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