Statement re Pre-Close Trading Update

About this update from C&c Group Plc

[{"type":"text","content":"\n \n \n Statement re Pre-Close Trading Update\n \n \n\n \n C&C Group PLC\n \n \n\n \n \n \n C&C Group Plc(“C&C” or the “Group”)\n \n Pre-Close Trading Update\n \n \n Dublin, London | 10 March, 2017: C&C Group plc, the premium \n drinks company, issues its pre-close trading update for the 12 months to \n 28 February, 2017 (“FY17”). Preliminary results for FY17 will be \n announced on 17 May, 2017.\n \n \n Overview\n \n \n FY17 Group operating profit is expected to be in the region of €94-€96m. \n Second half profit was broadly level year on year, despite the adverse \n impact of currency movements.\n \n \n FY17 volume performance in the three principal brands of Bulmers, \n Magners and Tennent’s was resilient and a significant improvement on \n FY16. Bulmers is expected to post volume growth of +3% for the full year \n (FY16:-13%) and Magners +7% (FY16:-6%). Tennent’s volumes will be flat \n year on year (FY16:-4%) and growing share in the key independent free \n trade channel. Niche & Speciality volume, including Heverlee, Menebrea \n and Chaplin & Cork’s will be up 50%+ in the year and now constitutes 2% \n of Group owned brand volume.\n \n \n The major factor in the decline of Group operating profit was the \n devaluation of sterling. The cost reduction plans announced in October \n 2015 completed as planned in the second half. The benefits, however, \n were outweighed by incremental brand investment and price deflation \n attributable to changes in channel and pack mix across the Group. Our \n wholesale business stabilised in the second half of the year but did not \n recover the margin losses.\n \n \n Market Review\n \n \n Cider in Ireland continued to grow its share of long \n alcohol drinks as a generation of younger drinkers entered the category. \n Bulmers brand growth slowed slightly in the second half and volume is \n likely to be +3% for the full financial year. The brand ceded share of \n cider in draught but the volume loss was offset by growth in pint bottle \n and small pack. The first activity linked to the upweighted Bulmers \n plans for FY18 will be visible in March with the launch of Outcider, \n by Bulmers.\n \n \n In Scotland, Tennent’s grew volume and share in the IFT \n channel in the second half and across the full year, outperforming the \n overall UK beer...

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