Drinks maker Britvic, the brand portfolio of which includes Ballygowan and MiWadi, is carrying out a strategic review of its Irish licensed wholesale business, Counterpoint.
"A Margin Drag"
According to The Irish Independent, Britvic revealed the review during an analyst call, during which Britvic CEO Simon Litherland stated, "The Irish Counterpoint business, we are looking at it and looking at our strategic options for that business. It is a margin drag. As you know, it's quite a chunk of revenue, but it's a very low-margin business. And, obviously, the pandemic has closed on the Irish on-trade massively."
A Britvic spokesperson confirmed that the strategic review of Counterpoint has already started, and said that the hospitality sector has been "particularly challenged" due to COVID-19-related business closures.
Britvic's revenue amounted to over £1.4 billion during the year that ended on September 30, 2020, and, while it doesn't reveal Ireland-specific statistics, the company stated that its Irish revenues experienced a decline in full-year revenue.
© 2020 Hospitality Ireland – your source for the latest industry news. Article by Dave Simpson. Click subscribe to sign up for the Hospitality Ireland print edition.