Britvic revenue falls excluding ‘sugar tax’

Britvic PLC (BVIC.LN) said Tuesday that its third-quarter revenue rose 3.4% on year and it is confident it will achieve market expectations for the full year.

The supplier of soft drinks said revenue in the three months ended in early July was 366.9 million pounds ($481.5 million), while revenue in the year to date was GBP1.10 billion.

Excluding the Soft Drinks Industry Levy, third-quarter revenue declined 0.6% on year, the company said. The levy, known as the "sugar tax," went into effect in April. Consumers pay steeper taxes on beverages with higher levels of sugar.

Revenue growth was driven by increases of 8% in the U.K. and 11.3% in Ireland, despite the industry-wide shortage of carbon dioxide in those countries during the period, the company said.

The company said supply has now normalized, enabling it to start rebuilding stock levels and gradually reintroduce promotions.

Revenue in France declined 15% for the period, reflecting both a very strong comparative base last year and exceptionally poor weather in June, the company said.

Britvic will release its results on Nov. 29, it said.

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