Merseyside-based Vimto and soft drinks firm Nichols plc said in a trading update on Wednesday its revenue rose 22% to £144.3m million in the 12 months to December 31, 2021, broadly in line with 2019 levels.
Nichols said it expects to report adjusted profit before tax for FY21 of £21 million-£22 million “which is in line with previous guidance.”
Nichols said: “The Vimto brand has continued to deliver a strong performance.
“In the UK, Vimto brand value has increased by 5.6% YTD, according to Nielsen as at 4 December 2021.
“In the International route to market the brand continued to see progress year-on-year, with strong double digit revenue growth versus the prior year.
“The Group’s Out of Home (OoH) route to market continues to recover from the impact of the pandemic and has seen growth of 77% year-on-year.
“However versus FY19, OoH revenues remain significantly down (31%) …
“Cash generation has remained strong through 2021 and cash and cash equivalents at the end of the period stood at £56.7m (31 December 2020: £47.3m).
“Given the ongoing impact of the coronavirus pandemic on the OoH drinks market, and current profitability within this route to market, the board is currently revisiting the estimates it uses to support the OoH balance sheet carrying value as part of preparing the group’s audited annual results.
“It is expected that the Goodwill, or part of it, reported on the balance sheet will be impaired.
“The full review is currently underway and the group will report on the final outcome with its preliminary results.
“Any adjustment will be exceptional and non-cash.
“Whilst recognising continued revenue momentum into 2022, the group adjusted PBT expectations for the year FY22 remain unchanged.
“The group will publish its 2021 preliminary results on 2 March 2022.”