Fever-Tree full year revenue surges 71%

Carbonated drinks maker Fever-Tree posted a jump in full year profit as revenue surged thanks to a strong performance across its geographical regions.

In the year to the end of December, pre-tax profit rose to £16.8m compared with £2.5m the previous year as revenue grew 71% to £59.3m.

Adjusted earnings before interest, taxes, depreciation and amortisation were up 82% to £18.2m and the company declared a final dividend of 2.3p per share, taking the total dividend to 2.08p from 0.30p in 2014.

Chief executive officer Tim Warrillow said: “2015 was an exceptional first full year for Fever-Tree as a public company in which we continued to strengthen our reputation as the leading international premium mixer brand.

“Growth was strong across all of our four main geographical regions illustrating the global appeal of the brand. We have had an encouraging start to 2016 and look forward to the future with confidence."

In the UK, which is the group’s largest and longest established market, the company saw sales growth of 84% in 2015, capped by a “very strong” sales performance over the Christmas period.

In the US, meanwhile, it achieved growth of 65%, or 53% at constant currency, adjusting for the strengthening US dollar, while Europe saw sales growth of 66% or 82% at constant currency.

Rest of the World – which includes Canada, Australia and Colombia – achieved growth of 50%.

Investec, which rates the stock at ‘buy’, said: “A strong year for Fever-Tree, with the leading UK performance cemented by some good off-trade success but also growing on-trade penetration.

“Europe and the US also showed strong growth. However, there remain ample opportunities for further penetration gains in all geographies and in both on- and off-trade channels.”

At 0850 GMT, Fever-Tree shares were down 1% to 576.29p.