AG Barr PLC (LON:BAG) has upgraded its profit expectations for the current year but admitted that the coronavirus lockdowns implemented in January are now having an impact.
The Irn Bru producer said trading in the four months to November was at the upper end of its scenario plans, however the new restrictions are currently impacting the hospitality and "drink now" categories.
In the year to January 24, 2020, AG Barr said its revenue is estimated to come in at £227mln, 11% below the prior year’s levels.
The group's operating margin before exceptional items across the full financial year is forecast to be in line with the prior year, leading to a profit before tax and exceptional items performance ahead of market expectations.
The drinks manufacturer expects to end the year with £50mln net cash in the bank.
“We expect the months ahead to be challenging for everyone however I remain confident in our ability to navigate these very uncertain times,” said chief executive Roger White in the trading statement.
Shares rose 1% to 503.82p on Tuesday at the opening bell.
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