Britvic has posted good third-quarter results and announced two acquisitions- one in the UK and another in Brazil.
According to figures released on Thursday (27), revenue grew 10.1 per cent vs the prior year in Great Britain with volume growth in both retail and hospitality channels. Robust Q3 performance, with volume growth and positive price-mix, resulted in revenue growth of +9.9 per cent vs the prior year.
Commenting on the figures, Chief Executive Officer Simon Litherland stated that trading in the quarter has been strong, with revenue increasing 9.9 per cent, driven by positive price/mix and volume growth.
"Consumer demand for our portfolio of leading family favourite brands remains buoyant ahead of the key summer trading period, as we continue to offer consumers great quality and value at affordable prices. We expect to deliver full year revenue and profit within the range of current market expectations.
Expanding its portfolio in the country, the Board of Britvic announced the acquisition of Jimmy’s Iced Coffee. Founded in 2010, Jimmy’s Iced Coffee is the fastest growing ready-to-drink iced coffee brand in the segment, thanks to its uplifting brand personality, refreshing range of products, differentiated packaging and multi-channel presence. In the year to June 2023, it generated a retail sales value of £17m, +43 per cent on the previous year. The UK ready-to-drink iced coffee category is both large and fast-growing, with a retail sales value (RSV) of £280m last year, an annual increase of 15.3 per cent.
Litherland stated that the focus on innovation, great taste with fewer calories, and fully recyclable packaging makes Jimmy’s a perfect fit for Britvic.
"Jimmy’s Iced Coffee is the fastest growing RTD iced coffee brand in the UK. With more than 10,000 distribution points, a Jimmy’s iced coffee is sold every 2.5 seconds 24-7. Started by Jim Cregan and his sister Suzie Owen in 2010, Jimmy’s was first sold in Selfridges in 2011 and has since grown into a much-loved and highly respected brand that cares about both people and the planet and has been certified as B Corporation," stated the announcement.
Britvic intends to further accelerate the growth of Jimmy’s through the utilisation of Britvic’s market-leading customer relationships to drive new listings and increase distribution, while increasing cost efficiency through Britvic’s supply chain expertise and procurement capability. Jimmy’s is well aligned to our Healthier People, Healthier Planet pillar, with lower calories per serve than the category average, fully recyclable packaging and compliance with HFSS legislation.
Jimmy’s Iced Coffee founders Jim and Suzie will continue to be involved in the business as ambassadors for the brand, helping to support the transition while providing advice on brand direction and future innovation, ensuring that Jimmy’s core values and ethos continue to drive the brand.
The transaction will be financed from existing internal resources and external debt facilities. The Jimmy’s team was advised by Piper Sandler on this transaction.
