C&C Group PLC on Tuesday swung to an annual profit as trading restrictions eased and demand for its drinks rose.
For its financial year ended February 28, pretax profit stood at £45.7 million, swinging from a loss of £121.3 million a year ago. Revenue rose to £1.79 billion from £1.02 billion.
C&C shares were 6.3% higher at 218.00 pence each in London on Tuesday morning.
‘We are pleased with how trading has recovered and the subsequent strength of customer and consumer demand, which we believe reflects the enduring importance of the on-trade and the role that it plays in our society,’ the Dublin-based manufacturer, marketer and distributor of alcoholic drinks said.
C&C did not propose a dividend, but said the board is targeting a return to dividend payments ‘in due course’.
Trading in its financial year 2023 has started strongly, C&C added. The firm aims to increase investment in its brands and ‘continue to execute efficiency improvement plans, primarily in our GB business unit,’ it said.
Regarding inflation, Chief Executive Officer David Forde said: ‘We have already taken action to afford the business a degree of protection, nevertheless we are susceptible to further increases in our cost base which would necessitate further price increases.’
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