Soft drinks giant Britvic, which recently agreed a £1.4 billion merger with Irn-Bru maker AG Barr, today said this year’s recall of Fruit Shoot products held back sales growth by about 2 per cent.
The news came as the group, whose other brands include J2O and Tango, said revenues were down 0.8 per cent to £1.26 billion in the year to 30 September on a constant currency basis.
Despite an 18.8 per cent decline in pre-tax profits to £84.4 million, Britvic said it would hold its full-year dividend at 17.7p per share.
Chief executive Paul Moody, who will leave Britvic next year as AG Barr boss Roger White takes the helm of the enlarged group, said the Fruit Shoot recall “was regrettable, but necessary in order to protect the safety of our consumers”.
The group had to withdraw some of the soft drinks from sale amid safety concerns over a new cap design, and Moody said the move had cost £16.9m.
He added: “The business responded quickly and efficiently to manage the situation and refocused our priorities as required over the balance of the year.”