Britvic hammered by recall and weather
Britvic said the recall of its Robinsons Fruit Shoot and Fruit Shoot Hydro drinks could cost the company up to 25 million pounds.
Britvic said the recall of its Robinsons Fruit Shoot and Fruit Shoot Hydro drinks could cost the company up to 25 million pounds.
Added to this, poor weather conditions and weak consumer sentiment means the group now expects to deliver a full year results at the bottom end of market expectations - before taking account of the impact of the recall.
Britvic said it had been unable to quickly resolve issues around a newly designed cap on Fruit Shoot, a popular children's drink.
MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
The bottles were recalled last week "as a precautionary measure...due to a packaging safety issue" the company said at the time.
It will now take Britvic six weeks to start re-supplying customers and up to six months to get distribution back to full speed.
"We believe this will now have an impact on the group profit before tax in the region of £15m to £25m across the current and next financial year," the company said.
"This includes an anticipated impact in 2013 financial year of between £5m and £7m."
-
Premium Bonds quiz: How much do you know about the NS&I savings product?Quiz Many savers choose Premium Bonds in the hopes of winning a prize in the monthly draws. How much do you know about the savings product?
-
UK dividends rose in final quarter of 2025, but share buybacks ate into investor payoutsLast year saw dividend growth continue to fall below pre-pandemic averages, against a backdrop of increasing share buybacks.
