A.G. BARR maintains full-year profit guidance as first-half revenue rises

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A.G. BARR half-year revenue

Highlights

A.G. BARR expects H1 2026/27 revenue of about £246 million, up 8% from £228.1 million, despite £10 million lost to supply chain issues.
Core brands IRN-BRU, Rubicon, and Boost show strong market share gains and double-digit growth, offsetting weaker performance from FUNKIN and Barr Brands.
Integrations of Fentimans and Frobishers completed on schedule and ongoing manufacturing investments support improved H2 margins and unchanged full-year profit guidance.

First-half trading and operational pressures

As reported by London Stock Exchange, citing Regulatory News Service, A.G. BARR says revenue for H1 2026/27 is expected to be about £246 million, up around 8% from £228.1 million a year earlier, with operating margin expected to land in the middle of the guidance range.

The company says performance in the market remains solid, but revenue comes under pressure as the second quarter progresses because of reduced stock availability. It links the disruption mainly to internal supply chain issues tied to its capability and capacity change programme, alongside external problems involving third-party manufacturing.

A.G. BARR estimates the revenue impact from those issues at £10 million in the first half. It still expects improved revenue performance in H2, supported by market share gains, innovation and supply chain actions, and anticipates double-digit percentage revenue growth for the full year.

The group also says benefits from integration and insourcing actions support a stronger operating margin in H2 and underpin delivery of full-year profit expectations.

Brand momentum and investment support outlook

Management says core brands continue to perform strongly, with IRN-BRU, Rubicon and Boost carrying momentum into the second half through distribution gains, product launches and marketing activity. IRN-BRU exits the half with growth ahead of the market in both England and Scotland, with the strongest performance in England after the recent rebranding of IRN-BRU Zero.

Rubicon strengthens as the half progresses, helped by rebranding and new product development, while Boost records double-digit growth as it expands in grocery and enters the healthy hydration category through Boost Water+. The company adds that growth in core brands is partly offset by weaker performance at FUNKIN and Barr Brands.

A.G. BARR says the integrations of Fentimans and Frobishers are completed on schedule in H1, with operational efficiencies beginning to emerge in H2. Its manufacturing investment programme remains on track and within budget, including the insourcing of Boost Sports production to the Cumbernauld factory from the end of H1 and a planned capacity upgrade at Milton Keynes.

Chief Executive Officer Euan Sutherland says consumer demand for the company's brands remains strong and that all core brands are gaining market share. He says supply constraints affecting Q2 are being resolved, leaving the business confident in its full-year outlook.

In our earlier coverage of Convatec’s stronger second-half profitability outlook, we outlined how the company expected operating margin to be materially higher in H2 as infusion care demand drives faster growth. We also noted Convatec tightened its full-year organic revenue growth guidance (excluding InnovaMatrix) and paired the improved outlook with a $200 million share buyback planned to be completed by the end of 2026.

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