AG Barr, the maker of Irn-Bru and Rubicon fizzy drinks, said it expected fourth-quarter revenue growth in excess of 2.5%, after a robust performance over Christmas.
The Scotland-based soft drinks maker said its trading strategy and brand execution helped it offset a challenging and highly competitive UK market.
Soft drink makers around the world such as PepsiCo and Coca-Cola have been introducing beverages with less sugar and more natural ingredients as consumers turn calorie-conscious and opt for products perceived as healthier.
Barr, whose Irn-Bru fizzy orange drink outsells Coca-Cola in Scotland, bought cocktail mixer business Funkin last year for about £21m, to expand its drinks portfolio.
The firm's main rival in the UK is Britvic, which makes Robinsons squash and Tango, said in November it expected full-year 2016 profit growth after a slow start to the year.
AG Barr said it now expects revenue for the 53 weeks ending January 30 to be around £257m. It reported revenue of £260.9m last year.
Analysts expect the company to report a full-year pretax profit of £41.39m on revenue of £260.11m, according to a Reuters estimate.
