Irn-Bru Maker A.G. Barr Warns Of Second-Half Margins Hit On Inflation Woes
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Irn-bru maker A.G. Barr has?flagged a hit to its second-half margins on Tuesday, 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 A.G. Barr. A.G. Barr, however, added that it continues to see full-year profit ahead of the prior year helped by cost control measures and growth in sales.
Unilever?CEO?Alan Jope?plans to retire at the end of 2023 , the maker of Dove soap and?Knorr?stock cubes said on Monday, roughly two months after activist investor Nelson Peltz joined the board. The British consumer products maker said its board would start a formal search for his successor, considering both internal and external candidates. Unilever's search begins at a time of soaring food and energy prices which are hitting household budgets and hurting consumer confidence. The company will be looking for a new CEO at the same time as rival?Reckitt, the maker of Dettol products and Finish dish soap.
The British arm of?German?discounter?Aldi?has reported a 79% slump in 2021 operating profit but said trading had accelerated over the past six months as pandemic restrictions were lifted and shoppers sought savings to tide over a cost of living crisis. Privately owned Aldi, which earlier this month overtook Morrisons to become Britain's fourth-biggest supermarket group, said operating profit fell to ￡60.2 million ($63.8 million) in 2021 from ￡287.7 million in 2020. The profit fall was blamed on investment to keep prices low, higher staff costs and?COVID-19?related expenses. Sales rose 0.9% to ￡13.645 billion. "Preserving our price discount and rewarding our people will always be more important to us than short-term profit," said Giles Hurley, CEO. "Being privately owned means we can keep our promises even when times are tough."
When society began to reopen earlier this year, the trade had to cope with a new minimum unit pricing model , chronic staff shortages, sourcing and shipping difficulties, and rising costs across almost every facet of production. However, despite coping with difficulties and challenges that have never been experienced before, the trade continues to evolve. In the words of Kevin O’Callaghan of SuperValu, “NielsenIQ reports?SuperValu?to have grown by another 0.5% this year, and this is on top of capturing share from our competitive set over the last two years. “This is due to being flexible and ensuring we meet the needs of the consumer, who is looking for quality, affordable wines with a changing face that excites and engages them, and allows them to expand their repertoire of wines.”
GSK has named luxury fashion brand Burberry's Julie Brown as its first ever female chief financial officer on Monday to succeed Iain Mackay, as the British drugmaker sharpens focus on its core pharmaceuticals business. Mackay, 60, will be retiring next year after serving as?GSK's?finance chief for nearly four years, following an eight-year stint as group finance director at the bank HSBC. The retirement, which has been in discussion for some time, comes after GSK's?spin off?of its large consumer health business, Haleon, in July to focus on prescription drugs and vaccines. Brown, also 60, will join GSK in April and take up the job in May. She has extensive experience in the health and pharmaceutical industry.
The Food Warehouse, which is part of the?Iceland?Foods group, has announced the creation of up to 40 new jobs in West?Belfast, as part of a wider ￡1.4 million investment. Situated in the Westwood?retail?park, this will be the brand’s second supermarket offering in Northern Ireland. The new store will occupy a 16,300-square-foot double unit in the retail park and offer shoppers all the same great product lines that they can find in Iceland stores, but with the ability to buy in bulk, without membership, and take advantage of some savings. Ron Metcalfe, managing director of the Food Warehouse Ireland, said, “Following the success of our launch into the Northern Ireland market, with the first Food Warehouse in 2020, we’re thrilled to be opening our second store here at [the] Westwood retail park in West Belfast.
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