Nichols FY revenues up 14%

Soft drinks group Nichols said on Wednesday that revenues had risen in the 12 months ended 31 December, driven by a strong second-half performance.

Nichols said total group revenue during the year increased by 14% to £164.9m, with its second-half performance up 10% year-on-year, while adjusted pre-tax profits were pegged to be in line with expectations despite ongoing inflationary pressures, which accelerated during the second half.

The company's Vimto brand continued to "perform well" in 2022 as its brand value increased 3.4% in the UK, broadly in line with the performance of its UK packaged route to market.

Looking ahead, Nichols said: "The group has a proven, diversified, and international business model. However, it is not immune to the significant and accelerating inflationary pressures impacting the wider consumer and soft drinks markets. Whilst FY23 will be a challenging year as cost of living pressures impact consumer demand across all routes to market, the group will continue to seek to mitigate these pressures through both cost efficiency and revenue management.

"With a long-term track record of growth, a proven and diversified strategy, a quality range of brands, and a strong balance sheet, the board remains highly confident that the group is very well positioned to deliver its long-term growth plans."

Separately, Nichols named Elizabeth McMeikan as chairman-designate on Wednesday, with effect from the group's annual general meeting on 26 April.

As of 1035 GMT, Nichols shares were down 0.19% at 1,097.90p.

Reporting by Iain Gilbert at Sharecast.com