C&C survives smoking ban
Food and drinks firm C&C Group today said profits had risen 6% despite bad weather and the public smoking ban.
C&C, formerly known as Cantrell & Cochrane, said operating profits had increased to €64.2m in the six months to August 31 – the first results since it floated.
The company said several adverse factors affected trading during the half including unseasonal summer weather, a mixed tourist season and the Government’s introduction of a smoking ban in public places at the end of March.
But it said the results showed its defensive growth characteristics, resilience and ability to generate cash flow.
Chairman Tony O’Brien said the group expected favourable prevailing economic conditions in Ireland to persist in the rest of the 2005 tax year.
“While the impact of the smoking ban, over the winter months, is unpredictable, the group believes it is on track to deliver earnings in line with current market expectations,” he said.
The Dublin-based firm’s biggest brand is Bulmers cider, with other brands include Ballygowan mineral water and Tayto crisps.
It listed on the Dublin and London stock exchanges in May with a value of €725m .
The group, established in 1968, was acquired by spirits giant Allied Domecq in 1998 and bought by BC Partners, co-investors and management in 1999.
The company, which employs around 2,000 staff, has its main manufacturing and distribution sites in Cork, Dublin, Clonmel and Newcastle West.
Its other brands include Tullamore Dew Irish whiskey, Carolans Irish Cream and Irish Mist liqueur.
C&C said volume for Bulmers grew by 4% while volumes of the group’s international spirits and liqueurs expanded by 17%.
The Carolans brand was successfully relaunched and the group said initial feedback from distributors and consumers had been positive.
It rolled out its international cider brand, Magners, to Scotland during the period and said the launch and introduction of the Tayto Honest range of healthier snacks and its Club Energise and Club Source drinks range had been successful.
