A.G. Barr (LSE:BAG), the maker of IRN-BRU, Rubicon and Boost, expects first-half revenue of approximately £246m for the 26 weeks to 1 August, up around 8% on last year's £228.1m.
The increase reflects continued growth in core brands and contributions from recent acquisitions, with operating margin expected to land in the middle of the company's guidance range.
Revenue was hit by around £10m during the second quarter as internal supply chain issues tied to the company's capability and capacity change programme, plus external problems at third-party manufacturers, curbed stock availability.
A.G. Barr said market share gains, strong innovation performance and supply chain fixes support confidence in an improved second-half revenue performance, and it is now anticipating double-digit percentage revenue growth for the full year.
IRN-BRU exited the first half growing ahead of the market in both England and Scotland, while Boost delivered double-digit growth as it expanded into grocery and launched Boost Water+ in the healthy hydration category. Growth across core brands was partly offset by weakness in Funkin and Barr Brands.
The integrations of Fentimans and Frobishers completed on schedule during the period, and Boost Sports production has been insourced to the Cumbernauld factory from the end of the first half.
"The supply constraints which impacted Q2 performance are being resolved and, with strengthening trading momentum driven by our refreshed core brands and new product development, we remain confident for the full year", said chief executive Euan Sutherland.
A.G. Barr will report interim results on 29 September.
News Intelligence what this means for the company
A.G. Barr absorbed a £10m revenue hit in Q2 from supply chain disruption but is maintaining full-year guidance for double-digit revenue growth, anchored on resolved supply issues, market share gains, and strong performance in core brands like IRN-BRU and Boost. First-half revenue of £246m represents 8% growth year-on-year, with the company signalling confidence in an improved second half as manufacturing fixes take hold.
The company has demonstrated pricing power and brand momentum despite operational friction—the £10m Q2 headwind was temporary and tied to a deliberate capacity upgrade, not demand weakness. Maintaining full-year guidance after a material mid-year disruption suggests management confidence in H2 recovery and the contribution from recent acquisitions (Fentimans, Frobishers) and product innovation (Boost Water+).
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