Tennent’s contributes to 2.4% rise in C&C profits.

C&C Group, owners of Tennent’s, has said that Scotland’s biggest selling lager brand continues to impress despite a 5.9% drop in sales. This however was not replicated by a revenue drop – instead net revenue for Tennent’s rose by 6.8% to £91m. The news was revealed with the publication of the company’s annual results which showed that C&C had seen a rise in group profit of 2.4% to £96m and an 0.8% fall in net revenue.
Magners sales, however were disappointing. The brand suffered a volume decline of 15%. C&C said the cider market remained “challenging”.
The company said pricing pressure on the core cider brands was offset by a 12.7% increase in “achieved pricing for Tennent’s in the UK” this is despite a three year price freeze for its Scottish on-trade customers. The price increases came on the back of renegotiated supply contracts with supermarkets. C&C Group chief executive Stephen Glancey said “We have had an excellent contribution from the Tennent’s brand both in domestic and international markets, providing some balance to the increased competition within UK cider.” He also said that C&C’s international business saw volumes increasing by over 55% in the year. C&C said it had invested to sustain growth in its Caledonia Best beer brand in Scotland during the year with the brand now the No 2 smooth draught ale. It is also the fastest growing beer brand in the Scottish on-trade.

Category: News
Tags: annual results, C&C Group, Caledonian Best, cider, Magners, profit, Stephen Glancey, Tennents