The manufacturer of popular soft drink, Irn Bru, has seen a moderate growth in both profits and turnover, in the year that ended January 2012.
The results announced at the end of March showed that turnover at A.G.Barr (Barr’s) had increased by 6.6% to £237m, whilst profit increased by 16.4% to £35.4m.
Overall sales at the Cumbernauld-based company grew by 2.7% in the year, despite the company battling “substantial raw material cost headwinds” and further operational issues at its production plant in the town. The story of resilience shown by Barr’s is indicative of many companies in the area, with Glasgow factoring companies seeing higher levels of business to aid growth and expansion.
The drinks company are themselves expanding, with a new plant at Milton Keynes in England already at an advanced stage of discussions. When delivered, this will provide a far greater production capacity as well as significant warehousing. It is this growth which is key to the company’s future success according to chief executive Roger White, who explained that the company are beginning to see the benefits of investing in production, after the operation performance improved so much during the final quarter of last year.
The firm is in no doubt that 2012 will continue to see challenges to the economy. They are, however, confident that through further brand development, increased levels of innovation and a better execution in their production, they will continue to perform well.
No doubt these are sentiments which many companies would like to echo given the chance to take advantage of opportunities in their sector.