Irn-bru maker AG Barr flagged a hit to its second-half margins today, hurt by reduced consumer confidence and increase in costs, after reporting a rise in first-half profit.
The drinks maker is now navigating a rise in input costs and lower consumer spending amid a rising inflationary environment in the UK, which it expects to continue through the year.
"We anticipate in the coming months that the current economic environment will impact consumer purchasing behaviour," said Roger White, chief executive officer of AG Barr.
AG Barr, however, added it continues to see full-year profit ahead of the prior year helped by cost control measures and growth in sales.
The company, which increased its interim dividend by 25%, reported an adjusted profit before tax of £25.3m for the 26 weeks ended July 31, compared with £20.6m a year ago.
