AG Barr PLC's (LSE:BAG) results may have shown strength, but Peel Hunt said they lacked fizz... and the shares stayed flat.
First-half revenues rose 3% to £228 million, with Boost posting double-digit growth, Irn-Bru holding steady and Rubicon slowing after several buoyant years.
Margins improved to 15% from 13% on cost discipline and efficiencies, while the interim dividend was raised 11%.
A £15 million majority stake in Innate-Essence pushes the portfolio into functional health drinks, though no material impact is expected until 2026.
Peel Hunt noted that, while an upgrade might have been anticipated given the robust first half, higher marketing spend in the second half will hold guidance unchanged.
The broker reiterated its buy rating and 750p target price.