leadf
logo-loader
viewAG Barr

AG Barr expects 12-15% full-year revenue slip as hospitality sales recover slowly

Revenue for the six months to July 25, 2020, is expected to drop by 8% to £113mln, with a 12% slide in the second quarter

AG Barr - AG Barr expects 12-15% full-year revenue slip as hospitality sales recover slowly

AG Barr PLC (LON:BAG) said it expects revenue for the year to next January to fall by 12%-15% on the prior period assuming the UK does not enter another coronavirus pandemic lockdown.

Revenue for the six months to July 25, 2020, is expected to drop by 8% to £113mln, with a 12% slide in the second quarter, the fizzy drinks manufacturer said in an update.

READ: AG Barr warns on sales due to lockdown measures

The Irn Bru producer said it has seen a slow recovery in the hospitality and 'on the go' consumption segments as restrictions ease, also aided by good weather.

All staff will be brought back from furlough by the end of July, while the firm will not make use of the £1,000 job retention bonus offered by the government.

“In the face of the closure of the UK Food & Beverage channel and considerable disruption to convenience and mainstream grocery activity, we see Barr trading and our forecasts as underscoring the resilience, agility and high quality of this proprietary business with great heritage and, we believe, much brighter times to come,” analysts at Shore Capital commented in a note to clients.

 AG Barr shares rose 1% to 436.5p on Tuesday morning.

Quick facts: AG Barr

Price: 385 GBX

LSE:BAG
Market: LSE
Market Cap: £431.31 m
Follow

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events

NO INVESTMENT ADVICE

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...

FOR OUR FULL DISCLAIMER CLICK HERE

Luminex Resources CEO says stay tuned for drill results out of its Condor...

Luminex Resources Corp. (TSXV: LR) (OTCQX: LUMIF) CEO Marshall Koval tells Proactive the Vancouver-based mining company is making progress on its Condor Gold-Copper Project in Zamora-Chinchipe Province, southeast Ecuador. Koval says the group has advanced metallurgy at the site, continuing to...

20 hours, 57 minutes ago

2 min read