Britvic will close two factories and a warehouse in the UK and roll out the Fruit Shoot brand in India as part of a new strategy announced with its interim results. Proposals to deliver annual savings of £30 million include closing two factories in Britain and a warehouse in Northern Ireland, as well as creating a combined British and Irish business unit under a single leadership team. The company also reached an agreement with Narang Group for the national sales and distribution of Fruit Shoot in India, commencing mid-2014.

Britvic Plc, H1 2013 Earnings Call, May 22, 2013

Britvic Plc reported unaudited consolidated earnings results for the six months ended April 14, 2013. For the period, the company’s revenue was £639.2 million against £641.1 million a year ago. Operating profit was £47.2 million against £40.8 million a year ago. Profit before tax was £32.8 million against £24.1 million a year ago. Profit for the period attributable to the equity shareholders was £24.7 million or 10.1 pence diluted per share against £18.7 million or 7.3 pence diluted per share a year ago. Adjusted diluted earnings were 12.2 pence against 8.1 pence per share a year ago. Net cash flows from operating activities were £2.3 million against net cash flows used in operating activities of £9.8 million a year ago. Purchase of property, plant and equipment was £15.1 million against £19.1 million a year ago. Purchase of intangible assets was £2.0 million against £3.0 million a year ago. Group EBITA was £53.6 million against £41.9 million a year ago. Group adjusted net debt was £503.7 million against £534.4 million a year ago. EBIT growth of 28% delivers an absolute EBIT of GBP 52 million for the first half year, reflecting tight cost management. Underlying free cash flow was a GBP 24 million outflow, an improvement of nearly 50% versus last year with a net debt reduction of over GBP 30 million. This is driven by a 21.5% improvement in EBITDA and a planned lower CapEx spend in the period. For the full year of 2013, the company expects EBIT towards the upper end of the previously communicated range of GBP 125 million to GBP 131 million. Interest and tax guidance remains unchanged. The company expects capital spend in the range of GBP 40 million to GBP 50 million. Continue to expect a minimum preexceptional free cash flow of GBP 70 million.