AG Barr, the soft drinks company, has reported a 5.2% rise in revenue for the 15 weeks to 11 May and announced that its chairman Ronnie Hanna will retire from the board on 31 December 2014.
The new chairman will be current senior non-executive director John Nicolson, who becomes deputy chairman will immediate effect before taking over as chair.
The Irn Bru producer, which is set to hold its AGM today, said it outperformed the overall soft drinks market, which grew by 1.9% by value and declined by 0.6% by volume over the period.
The company said: “Our core brands are responding well to increased marketing support and sustained consumer promotional investment, whilst our strategy of extending distribution continues to make good progress. In the period, the increase in revenue has been underpinned by a strong volume performance across all of our core brands. Margins are in line with management expectations.
“Our brand and sales programme associated with our sponsorship of the Glasgow 2014 Commonwealth Games is now fully underway. In addition, our innovation plans are well advanced and our ‘Fit for the Future’ change programme is making good progress.
“The balance sheet remains strong and there have been no significant changes in the financial position of the company since publication of the Report and Accounts for the year ending 26 January 2014.”
It said the macro economic climate has improved in recent months, “however the retail and consumer environment remains volatile and as competitive as ever”. “Our operating plans for 2014 are well established and we are confident in our ability to execute them well. Although it is early in the year and the comparative trading for last summer will be challenging, we remain confident in delivering our expectations for the balance of the year.”
Hanna has served on the board for 11 years with five as chairman. “During his tenure he has led the business through a significant period of business development and sustained growth in both revenue and profit,” said the company.
Nicolson has been on the board since January 2013.
The board will today declare a second interim dividend of 8.19p per ordinary share for the year ended 26 January 2014 in place of the proposed final dividend.
