Drinks manufacturer AG Barr has said sales growth was “constrained by supply chain issues” in the first half of 2026 but stressed this has now been resolved.
The Irn-Bru and Rubicon maker estimated that the disruption to deliveries and reduced product availability on shelves lost the company around £10 million worth of revenue.
It said these were partly internal issues linked to its “capability and capacity change programme”, as well as external problems linked to manufacturing by a third party.
The Cumbernauld-based company said stock availability and customer service has normalised over the second half of the year.
“With the majority of our Cumbernauld operational change programme having been completed, and with our Milton Keynes manufacturing upgrade firmly on track, we are confident that we have a strong, stable and more efficient supply chain for the second half and beyond,” the company said.
AG Barr nevertheless reported an 8.5% increase in total revenues to £247.4 million for the six months to August 1.
Growth was boosted by its recent acquisitions of the Fentimans and Frobishers drinks brands.
Adjusted pre-tax profits increased by 2.6% to £36.1 million for the half-year, compared with the same period a year earlier.
It said the successful integration of the acquired brands helped to offset the impact of investments into its operations and cost inflation linked to the Middle East, which was “not fully passed on to customers”.
Euan Sutherland, chief executive of AG Barr, said: “We made strong progress against our strategic priorities during the first half of the year, with continued momentum across our brands and strong execution against our strategic growth drivers.
“Despite supply constraints impacting customer service in the peak summer months, our core brand portfolio performed well in the market, supported by successful rebrands, innovation and marketing.
“Our recent acquisitions have expanded our addressable market and investment in our manufacturing capabilities continues to significantly strengthen the business for the long term.”
This article was written by Henry Saker-Clark from The Evening Standard and was legally licensed through the DiveMarketplace by Industry Dive. Please direct all licensing questions to legal@industrydive.com.