A.G. BARR p.l.c., the company behind beloved UK drinks like IRN-BRU, Rubicon, Boost, and FUNKIN, has shared exciting news about its financial performance for the year ending 25 January 2025. The company is on track to achieve impressive revenue growth and significant profit increases.
Financial Highlights
- Revenue Growth: A.G. BARR expects its revenue to hit around £420 million for 2024/25, up 5% from £400 million in the previous year.
- Profit Margins: The adjusted operating margin is projected to improve to about 13.5%, compared to 12.3% last year, leading to double-digit profit growth.
Soft Drinks
- IRN-BRU, Rubicon, and Boost have all performed exceptionally well.
- Rubicon has been a standout, achieving double-digit revenue growth once again.
- IRN-BRU continues to thrive, now ranking among the top five carbonated drinks in the UK.
- Boost has shifted its focus to value over volume, resulting in increased profitability as it integrates fully into A.G. BARR’s operations.
FUNKIN Growth
FUNKIN’s ready-to-drink range is also on the rise, thanks to new retail partnerships and innovative products. Despite some challenges in bars and restaurants, FUNKIN has managed to grow its market presence.
A.G. BARR has successfully completed two key projects:
- Strengthening its convenience channel for better market access.
- Integrating Boost into its Soft Drinks division for enhanced efficiency.
These initiatives have come with a one-off cost of about £5 million but are expected to yield significant benefits moving forward.
The company is committed to investing in its supply chain:
- Total capital expenditure for the year was around £19 million.
- Investments included new production lines at the Cumbernauld site, boosting capacity and efficiency.
A.G. BARR remains financially robust, ending the year with over £60 million in net cash, compared to £53.6 million the previous year.
The company is dedicated to developing its workforce with a refreshed employee development programme. It also welcomed a new Chief Commercial Officer, Dino Labbate, in January 2025.
Euan Sutherland, Chief Executive of A.G. BARR, expressed optimism about the company’s future:
“A.G. BARR is set for another year of strong growth and cash generation. We are making excellent progress towards our long-term financial goals.”
The full-year results will be announced on 25 March 2025, with analyst and investor visits planned for Cumbernauld on 23 April and Milton Keynes on 15 May.
With solid revenue growth and strategic investments in place, A.G. BARR is well-positioned to continue leading the UK beverage market.
