Shares fizz as AG Barr toasts strong year.


Shares in AG Barr fizzed on Tuesday, after the maker of Irn-Bru reported a jump in full-year sales and profits.

AG Barr

Source: Sharecast

Updating on trading, the soft drinks firm - which also owns Rubicon and Boost - said revenues in the year to 25 January were set to come in at around £420m, a 5% improvement year-on-year.

Adjusted operating margin, meanwhile, strengthened to around 13.5%, helping to fuel double-digit profit growth. Last year the adjusted operating margin was 12.3%.

As at 0930 GMT, shares in the Scottish business were trading 6% higher at 620p.

Euan Sutherland, chief executive, said: "AG Barr is in line to deliver another year of strong top line growth, margin improvement and cash generation.

"These headline metrics highlight excellent progress towards our long-term financial goal."

All three soft drinks brands performed strongly during the year, with Rubicon achieving double-digit revenues.

The pre-mixed cocktails brand Funkin also grew "at pace", AG Barr said, with a strong performance in the off-trade helping to offset on-going challenges within on-trade.

Sutherland concluded: "We are committed to consistent long-term revenue growth and have confidence in further margin improvements, as per our previous guidance. Our expectations for 2025/26 are unchanged and in line market expectations."

Shore Capital upgraded its 2024/25 profit forecast following the update, by around 2% to £58m.

It said: "AG Barr’s trading update is more than robust.

"With a further 100 basis point EBIT margin rebuild baked into forecasts, we look for the 2026 full-year to be another year of double digit growth, rising net case and a return on capital greater than 20%."

AG Barr is a Shore Capital house stock.

Full-year results are due to be published on 25 March.


ISIN: GB0000811801
Exchange: London Stock Exchange
Sell:
459.00 p
Buy:
459.20 p
Change: -1.40 ( -0.30 %)
Date:
Prices delayed by at least 15 minutes

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