Fevertree drinks toasts 45% rise in first-half revenues on back of strong gin sales
Fevertree Drinks PLC announced that it reached a record valuation of £4.5bn ($5.93bn) as drinkers spent more money on its upscale tonic waters and fizzy drinks.
The British firm’s first-half revenues rose 45% to £104mn ($136.92mn), whilst its profit before tax climbed 36% to £32.7mn ($43.05mn).
Given the strong performance in the first half of the year, the board anticipates that the outcome for the full year will be comfortably ahead of its expectations,” Chief Executive Officer Tim Warrillow said in a statement on Tuesday.
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This year, Fevertree Drinks signed an agreement with North America’s largest liquor distributor, Southern Glazer’s Wine & Spirits, which helped to drive sales in bars and nightclubs.
It also signed another distribution deal with Spain’s Grupo Damm, the maker of popular Barcelona beer Estrella Damm.
In the UK, its sales rose 73% to £58mn ($76.3mn) in the six months to 20 June 2018 and, in the US sales climbed 15% to £15.1mn ($19.86mn). Meanwhile, sales in Europe climbed 17% to £25.8mn ($33.94mn).
Warrilow added: “The first half of 2018 has been one of major progress for Fever-Tree. The Group delivered a strong performance, most notably in the UK, as we continue to drive and lead the evolution of the wider mixer category.
“Furthermore, our relationships with key customers and spirits partners mean we are increasingly well positioned as the growing move to premiumisation and long mixed drinks continues to develop across the globe.