REG - C&C Group Plc - Final Results
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RNS Number : 7968E C&C Group Plc 19 May 2026
THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION
IMMEDIATE RELEASE
19 May 2026
LEI - 635400LNUHA2LDXXV850
C&C Group plc
('C&C' or the 'Group')
FINAL RESULTS FOR THE YEAR ENDED 28 FEBRUARY 2026
C&C Group plc, the owner of a portfolio of branded drinks and a leading
drinks wholesaler across the UK and Ireland, announces its results for the
year ended 28 February 2026 ('FY2026'). The Group's branded portfolio includes
market-leading brands such as Tennent's and Bulmers, complemented by a growing
number of high growth premium beers and ciders.
FINANCIAL SUMMARY
· Group net revenue decline of -5.7%, reflecting, in part, the
planned exit of Budweiser Brewing Group ('BBG') contractual volume in the
Republic of Ireland, alongside challenging hospitality market conditions
impacting the Distribution business as previously disclosed.
· Net revenue growth in our core brands Bulmers & Tennent's,
with further progress across our premium brands and the launch of a number of
new branded products, such as Tennent's Bavarian Pilsner.
· Adjusted EBITDA was €104.3 million, demonstrating continued
underlying profitability notwithstanding lower revenues during the year.
· Operating profit before exceptional items was €70.5 million.
· Group operating margin was broadly flat at 4.5%, with a modest
0.1 percentage point reduction year on year, despite reduced operating
leverage and product mix challenges in Distribution.
· Leverage increased to 1.6x, reflecting the earnings profile for
the year.
· Proposed final dividend of 3.67c (FY2025: 4.13c).
€m FY2026 FY2025 vs FY2025
Net revenue 1,569.8 1,665.5 (95.7)
Adjusted EBITDA 104.3 112.0 (7.7)
Operating profit before exceptional items 70.5 77.1 (6.6)
Operating margin 4.5% 4.6% (0.1ppts)
Profit before tax 49.8 55.9 (6.1)
Adjusted basic earnings per share 10.2 11.7 (1.5)
Basic earnings per share 0.9 3.5 (2.6)
Free cash flow (excluding exceptionals) 45.3 68.8 (23.5)
Net debt (excluding leases) 121.4 80.9 40.5
Leverage ratio 1.6x 0.9x 0.7x
The definitions of the above measures are set out at the end of the CFO Review
OPERATING HIGHLIGHTS
· The Group made tangible progress against all key strategic
priorities, exiting the year with a focus on simplification, strengthened
execution capability, a more stable platform for growth and a refreshed
Executive team.
· Significant simplification activity was delivered across the
business, including corporate restructuring and logistics optimisation.
· Industry leading service levels were consistently achieved across
the Group.
· Tennent's and Bulmers maintained their market leading positions.
· The Group further developed its production facilities at Wellpark
and Clonmel, enhancing productivity while retaining spare capacity to respond
rapidly to volume opportunities.
· Digital and commercial capability was improved through the roll
out of enhanced CRM tools. Strengthened operational discipline and safety
actions delivered improvements in Health & Safety culture across the
Group, particularly in the logistics network.
· We launched our initial Branded innovation initiatives, with
activities in the Bulmers and Tennent's Brands delivering new product
variants.
STRATEGIC UPDATE
· Move away from previous 'One C&C' strategy.
· Move towards two distinct operating models in the Group, C&C
Brands and Matthew Clark Bibendum ('MCB').
· Growth focus in C&C Brands and margin recovery in MCB.
· Detailed update planned at Capital Markets Day in September 2026.
OUTLOOK
Trading performance since the period end has been in line with expectations.
The important summer months trading period lies ahead, and the macro
environment remains unstable meaning forecasting consumer behaviour and demand
is challenging for all. Notwithstanding this uncertainty, the Group has strong
plans in place across the business, and we currently expect to meet full-year
financial objectives, alongside delivering substantial progress in the
development and delivery of our refreshed strategic framework.
Roger White, Chief Executive Officer, commented:
"We have made demonstrable progress in multiple areas across the Group in the
past 12 months and now have a more stable operating platform from which to
build.
Having established the best route forward for C&C Group to create value
and having done much of the preliminary enabling work required, we now look
forward with a renewed focus and drive to deliver the necessary change and
improvements we have identified to support our value creation ambitions.
"We will continue to develop the growing C&C Brands portfolio, with our
brand innovation pipeline now firmly established. We anticipate a series of
exciting brand initiatives and a strong promotional programme across the key
summer months.
END
Webcast Details | Analysts & Institutional Investors
C&C Group plc will host a webcast for analysts and institutional
investors, today, 19 May 2026, at 0830 hours. Please contact
candccapmkts@teamlewis.com (mailto:candccapmkts@instinctif.com) for webcast
joining details.
Contacts:
C&C Group plc
Roger White, Chief Executive Officer
Adam Phillips, Chief Financial Officer
Email: investor.relations@candcgroup.ie
(mailto:investor.relations@candcgroup.ie)
Investors, Analysts & UK Media:
Team Lewis
Justine Warren / Tim Pearson
Tel: 07785 555692 / 07983 118502
Email: candccapmkts@teamlewis.com (mailto:candccapmkts@teamlewis.com)
Irish Media
FTI Consulting
Jonathan Neilan / Paddy Berkery
Tel: +353 86 231 4135 / +353 86 602 5988
Email: C&CGroup@fticonsulting.com (mailto:C&CGroup@fticonsulting.com)
CHAIR'S STATEMENT
MAINTAINING FOCUS, DELIVERING OPERATING IMPROVEMENTS
I am pleased to report continued operating progress across C&C in the year
ended 28 February 2026 ('FY2026'). However, our financial performance was
below expectations in a year which was characterised by ongoing macro-economic
uncertainty and sectoral challenges.
We have maintained our focus on the immediate key objectives of improving
customer service, developing innovation capabilities, driving operational
efficiency, and simplifying Group structures, which all show clear momentum.
The Executive team has been refreshed, and the Board is confident in the
business leadership as we continue to operate in a period of heightened
uncertainty.
The ongoing macro-economic challenges felt across the UK in 2025 proved to be
testing as cautious consumers constrained spending in advance of the
Chancellor's Autumn Statement in November. Market volumes softened
substantially in this period and volumes remained weak in the balance of the
financial year despite reasonable trading across the festive period. While the
economic outlook in Ireland was more favourable, consumer confidence, as in
the UK, has been fragile, creating lower demand, particularly outside Dublin.
More positively, our strategy to simplify the Group, enhance operating
discipline and drive sustainable growth has continued to gain traction.
Improvements in commercial execution within our Branded business, alongside
further efficiency gains across production, distribution and warehousing,
demonstrate progress. We have continued to focus on cost control while
selectively investing in brand support, customer management capability, and
systems infrastructure.
Group revenue for the year was €1,570m (FY2025: €1,666m). FY2026 Operating
profit((1)) was €70.5m (FY2025: €77.1m), with operating margin((7)) of
4.5%. Profit before tax((1)) was €49.8m (FY2025: €55.9m), while statutory
profit before tax was €9.1m (FY2025: €19.6m).
The business remains cash generative. Free cash flow((5)) for the year was
€45.3m (FY2025: €68.8m). Net debt((3)) at the end of the period was
€121.4m (FY2025: €80.9m), representing a leverage((8)) ratio of 1.6x. The
Group retains substantial liquidity((2)) headroom, with committed bank
facilities extending to 2030 and no near-term refinancing requirements.
DIVIDEND AND SHAREHOLDER RETURNS
The Board remains committed to a balanced capital allocation framework,
supporting investment in the business while delivering sustainable returns to
Shareholders. We regularly review our capital allocation choices and seek to
maximise long-term return to Shareholders.
The Group returned €38.2m during FY2026 through a combination of dividends
and share buybacks. Since the start of FY2025, and including the FY2026 final
dividend, cumulative returns amount to €105m.
The Board has proposed, subject to Shareholder approval at the AGM, a final
dividend of 3.67 cent per Ordinary Share; the proposed amount has principally
been determined by distributable reserves as referenced in the CFO Review. The
final dividend would be payable on 17 July 2026 to Shareholders on the
register at 12 June 2026. Together with the interim dividend of 2.08 cent per
Ordinary Share paid during the year, this represents a full-year dividend of
5.75 cent per Ordinary Share.
ECONOMIC ENVIRONMENT
As referenced above, the trading environment throughout FY2026 remained
challenging. Consumer confidence across the UK and Ireland continued to be
affected by elevated living costs, unpredictable interest rates, and
geopolitical uncertainty.
Weak demand and higher costs have resulted in a challenging environment for
pubs and restaurants, evidenced by financial stress for some operators,
including closures. Most operators have continued to increase prices to offset
these headwinds, and value for customers and consumers is becoming ever more
important. This is reflected in relatively weaker sales of higher priced
drinks including wine and spirits which has been well documented across the
industry, in favour of long alcoholic drinks impacting the sales mix in our
wholesale business.
Cost inflation, while moderating, remained unpredictable and with recent
events in the Middle East we expect further volatility and uncertainty for the
foreseeable future.
Against this backdrop, our focus has remained on disciplined cost management,
simplification of our operating model and driving productivity improvements
across the supply chain. We continue to prioritise strong, dedicated customer
service and maintaining close partnership with our customers as we support
them in navigating the cost and demand pressures currently facing hospitality.
BOARD, PEOPLE AND GOVERNANCE
This past year was one of transition for our leadership. During this time our
Chief Executive Officer, Roger White, has further developed the Executive
team, bringing in new skills and perspectives to the business with more than
50% of the Executive Committee having joined the business over the course of
the last year.
This year of evolution should provide us with a stronger base from which to
develop the business for the longer-term. The Board is confident that the
refreshed leadership team has the appropriate experience, capability and focus
to deliver the next phase of performance improvement and business development
for the Group.
The Board warmly thanks Andrew Andrea for his contribution as he stepped down
from the Board and his role as Chief Financial & Transformation Officer in
March 2026. We are pleased to welcome Adam Phillips who joined the Board as
Chief Financial Officer in April 2026. We also welcomed Karen Bates, Chief
People Officer, and Paul Graham, Chief Commercial Officer, who joined the
Executive team in recent months.
The Board would also like to express sincere thanks to Independent
Non-Executive Director, Vineet Bhalla, who stepped down from the Board at the
close of the year on 28 February 2026 for his valuable contribution and
support during his tenure of almost five years with the Group.
Overall, the Board composition is well balanced and diverse, combining sector
expertise, financial oversight and experience to ensure the highest standards
of governance.
On behalf of the Board, I would like to thank our colleagues across the Group
for their continued dedication, professionalism and resilience in what has
remained a demanding operating environment.
OUTLOOK AND STRATEGY UPDATE
The CEO Review sets out the updated strategy we plan to execute in the
medium-term, which provides optionality and flexibility in how we best create
value for Shareholders, despite the ongoing volatility and uncertainty being
experienced in global markets. Importantly, it will be built on strong
executional basics which are the bedrock of success in the markets we operate
in.
C&C Group therefore enters FY2027 with a renewed focus and a refreshed
Executive team. The Board believes the Group's portfolio of well-established
brands, leading market positions, capable, committed teams and strong
sustainable customer relationships provide a solid platform from which to make
progress.
Management remains focused on further recovering profitability, driving cash
generation and delivering sustainable long-term growth through a renewed
strategic focus.
Looking forward, the Board is confident that the actions taken over the past
year have materially strengthened the business and positioned C&C to
navigate near-term challenges across the market, while pursuing our
longer-term strategic ambitions.
Ralph Findlay
Chair
CHIEF EXECUTIVE OFFICER'S REVIEW
OVERVIEW
This has been a challenging year, characterised by volatile global and
domestic economic conditions. Disappointingly, while we did not achieve our
previously anticipated financial objectives, I am encouraged to report that we
have made progress across the key operational areas we set out at the start of
the year. Reflecting on my first 12 months in the business, I take great pride
in the efforts and commitment of our employees across the organisation as we
collectively navigated through an increasingly challenging macro- environment,
where we have experienced a notable reduction in consumer discretionary spend
in the hospitality sector. This difficult trading environment for our
customers has meant that we have prioritised supporting them, by investing in
market leading service, value and choice.
Our primary objective at the start of the year was to develop a business model
that can deliver sustainable value and growth into the longer-term, achieved
by:
· Building on our market leading positions and growing value in our
core brands.
· Relaunching Magners and building innovation capability.
· Underpinning our position as the leading drinks distributor in
the UK & Ireland through service, value and choice.
· Implementing our simplification and growth programme, focusing
the Group on several material initiatives designed to simplify our operations
and support growth.
· Investing in people, technology, and processes, equipping us to
sustainably win in the market.
We have made progress across each of these objectives, particularly in our
efforts to simplify the business and develop our industry leading service
proposition. Consequently, we exited the financial year with more robust
operating foundations, providing an increasingly stable platform from which we
can more confidently execute our growth strategy and value creation plans.
MARKET LANDSCAPE
United Kingdom
Economic conditions remained challenging through the year. Ongoing cost
inflation, a weakening employment market, a volatile global macro-economic
position and the implications of the Chancellor's Autumn Statement impacted
both consumer sentiment and the trading environment for our hospitality
customers. Whilst On-Trade value spending on drinks was in growth year-on-year
+2.7%, the number of GB On‑Trade drink serves sold remains below previous
years.
Within the Off-Trade, continued price competition remains a feature as volume
growth proved difficult to achieve. Preparation across the industry is now
underway in anticipation of a UK wide Deposit Return Scheme ('DRS') which is
due to go live in October 2027.
Encouragingly, the beer and cider categories continued to grow across the UK
On-Trade. Beer extended its value share once again, rising by an estimated one
percentage point on a moving annual total ('MAT') basis, now representing
roughly 45% of category value. Stout remains a standout contributor,
delivering double-digit value growth versus the prior year.
The growth of beer occurred alongside continued value share decline in wine
and spirits. The decline in wine was driven partly by weaker performance in
hotels, restaurants and casual dining, while spirits saw another year of
contraction, with gin again leading category declines.
Ireland
In Ireland, whilst mirroring many of the UK headwinds, trading conditions were
defined by resilient spending but growing caution, as households faced
persistent cost pressures and heightened global uncertainty. While consumer
spending remained robust, supported by strong employment and wage gains,
confidence weakened sharply through the year amid concerns over US tariffs and
geopolitical risks. Inflation closed the year at 2.8%, however the cost of
essentials rose faster, notably food prices up 4%, squeezing day‑to‑day
budgets. Larger supermarket chains responded with heightened promotional
activity and targeted digital campaigns, intensifying competition across the
Off-Trade channel.
In the On-Trade, the long-alcoholic drink ('LAD') market showed broad
stability, as MAT volumes contracted slightly whilst value remained in growth,
supported by rising price per litre and continued premiumisation. Lager
volumes declined -1.4% in the year, while stout continues to underpin market
resilience with modest growth. Cider volumes grew 1% with value growth of
3.3%.
STRATEGY
Our overarching aim remains the development of a resilient, high performing
business capable of generating sustainable value. Much of my first year has
been taken up by listening, learning, reviewing and assessing our future
opportunities.
C&C has been formed via numerous acquisitions over many years, and we have
multiple business models operating within the Group structure. Whilst there
has been some integration over time, this is far from complete and has created
a sub-optimal and complex operating structure which was characterised under
the old 'One C&C' banner. It is clear however there are distinct
differences between our operating models, as well as very different margin
structures, core competencies and cost bases. We have already initiated the
reorganisation of the Group corporate structures to make things clearer and
simpler, playing to our strengths and supporting our distinct business models.
Our aim over the past 12 months was to simplify where possible and, having
achieved much of this, we are now seeking to unlock operating efficiencies
across the Group in manufacturing, logistics, procurement and central costs.
Whilst we hold leading positions in our key markets, we continue to see growth
potential in our brands and the potential to bolt-on additional brands such as
Innis & Gunn. To realise this opportunity, we continue to invest in our
customer experience, in refreshed innovation capability to support our brands,
and to modernise our systems and technology, all of this underpinned by the
capability and commitment of our people.
As our strategy develops further, we expect the following core priorities will
endure:
Building Brands of Scale and Growth Potential
We continue to enhance our position with our two leading brands, Bulmers in
Ireland and Tennent's in Scotland, where we see continued growth opportunities
from their future development, including extensions and new product
innovation. Across our wider brand portfolio, we renewed support in the
Magners brand through its relaunch following the decision to bring the brand
back in-house. We see compelling opportunity across our wider premium
portfolio, particularly the development of Menabrea and Outcider brands which
play in attractive growth segments of the market, alongside our wider
portfolio of heritage and premium brands.
Creating a Strong Portfolio with Superior Service
We are the leading drinks distributor across the UK and Ireland, distinguished
by breadth of choice, service, geographic coverage and operational scale,
serving over 22,000 hospitality customers annually. We see material
opportunities to grow in partnership with customers and suppliers across the
hospitality spectrum, whilst unlocking efficiency gains that will underpin
margin improvement over the long-term. We believe MCB remains a critical asset
in the wider hospitality infrastructure and an essential partner for beverage
brands seeking access to the UK On-Trade market.
Simplification, Efficiency and Cost Focus
We remain steadfast in our conviction that a simpler, more efficient business
will support growth across volume, value and margins. Our Group‑wide change
activities have been focused on supporting our business fundamentals, achieved
through simplifying business processes, improving financial controls and
deepening the business-wide understanding of our data and product portfolio.
BUSINESS PERFORMANCE
Branded
Branded revenues increased by 4% to €309.5m, reflecting positive sales
growth for Tennent's and Bulmers, offset by declining cider volumes in GB
where our brands experienced a period of disruption as we took the Magners
brand back in-house. Operating profit((1)) of €51.0m represents an 11%
improvement, with operating margin((7)) expansion of 110bps year-on-year,
evidence of our focus on simplification and operational improvement and
efficiency.
€m FY2026 FY2025 vs FY2025
Net revenue 309.5 298.6 4%
- Price / mix impact 9%
- Volume impact (6%)
Operating profit(()(1)) 51.0 46.1 11%
Operating margin((1)) 16.5% 15.4% 1.1pts
Tennent's achieved value growth in the year, in both On and Off-Trade
channels. Consequently, the brand maintained its market leadership and once
again grew share in the Scotland On-Trade lager category (Source: CGA OPM 28
w/e 21.02.26 - Total Lager Scotland). We have also invested further in
innovation capability over the past 12 months, and we delivered the first
tangible output from this investment from the launch of Tennent's Bavarian
Pilsner, the first innovation from this brand in several years. This launch
was aimed to showcase the quality of our beer and the ability of the Tennent's
brand to achieve incremental sales in a competitive market. This is the first
in a planned number of new product launches, which we see as a critical
strategic lever in stimulating brand development and growth across a broader
consumer base.
Bulmers delivered a robust performance in the year with volumes growing +2%
and achieving net revenue expansion of 3%. From a market share perspective,
Bulmers gained share in the On-Trade, growing 1.4ppts share on the previous
year. (Source: CGA OPM, 52 w/e 24.01.26).
Magners and our GB cider portfolio underwent a period of transition in the
year as we brought the brand back in-house following a long-term distribution
arrangement with BBG. Following the transition, our initial priority was to
ensure continuity of service to existing customers and establish sales
stability, which was achieved towards the end of the year. We underscored our
commitment to the Magners brand with an upweighted marketing programme in the
year, which saw the return of the brand to TV for the first time in several
years. We continue to see Magners as an important part of our brand portfolio
and will continue to support its long-term revival. We anticipate momentum
building on the brand across FY2027.
Encouragingly, we delivered further volume growth from our brands in our
Premium portfolio. Menabrea, our Italian lager, achieved volume growth of 4%
over the year as we launched a new partnership with TV chef James Martin,
which saw the brand achieve high engagement across digital media. Following a
successful launch of Outcider in Scotland, where the brand achieved nearly 300
On-Trade distribution points in its first year, we will now move to launch the
brand in England and Wales to continue the growth momentum.
We continued to invest in our strategically important production sites in
Wellpark, Scotland, and Clonmel, Ireland, to ensure we maximise productivity
whilst maintaining available spare capacity, allowing us to mobilise quickly
in the event of volume opportunities becoming immediately available. We
believe local production capacity, coupled with owned physical
route-to-market, will become increasingly valuable in the future, and allow us
to avail of market opportunities on an agile basis.
Distribution
FY2026 was a challenging year for many distribution and wholesale businesses.
Across GB, where hospitality suffered cost and volume pressures, there was a
pronounced impact on our MCB business, where overall market volume challenges
were compounded by product mix headwinds, with the higher unit margin wines
and spirits categories ceding share to long alcoholic drinks, diluting our
margins. Performance in our Distribution segment also reflects the impact of
the removal of BBG brand sales in Republic of Ireland Off-Trade which we
exited at the same time as we regained control of our GB cider brands.
€m FY2026 FY2025 vs FY2025
Net revenue 1,260.3 1,366.9 (8%)
- Price / mix impact 1%
- Volume impact (9%)
Operating profit((1)) 19.5 31.0 (37%)
Operating margin((1)) 1.5% 2.3% (0.8) pts
Our service levels in the year were encouraging, culminating in On Time In
Full ('OTIF') metric of 96% over the festive period in our GB depots, which
was widely commended by our customers. Volumes in our MCB business were
marginally up versus the prior year, driven by the wider market shift towards
more long alcoholic drink products. Whilst this was positive from a volume
perspective, it translated into mix margin erosion due to the declines in
higher unit margin wines and spirits volumes.
In Ireland, revenues were down 27%, materially impacted by the removal of the
BBG portfolio from our Off-Trade sales channel. This was part of the
reciprocal agreement where we took back the distribution of our cider
portfolio in England and Wales from BBG. Both changes are now fully embedded
in the organisation and base comparative financials will not be impacted by
these changes in the new fiscal year.
OPERATIONAL SIMPLIFICATION AND EFFICIENCY
During the course of the year, we undertook further optimisation of our
logistics network, consolidating several smaller depots into larger regional
hubs. This simplification has supported improved customer service and provides
a scalable framework for future growth whilst simultaneously reducing miles
travelled, supporting our sustainability drive.
Advancing Our Sustainability Commitments
Sustainability remains central to our strategy, and we delivered further
progress across several key initiatives. At our Wellpark Brewery, the planned
installation of an E‑Boiler represents an important step in reducing the
site's future energy intensity and operating costs. In addition, our
investment in a new de-alcoholiser will enhance our capability to produce zero
alcohol products, supporting both category growth and evolving consumer
preferences. These actions reflect our commitment to long‑term
sustainability, operational efficiency, and responsible business.
Strengthening Engagement, Culture and Governance
We have invested in colleague engagement, communication and capability
development. The rollout of our Elevate engagement platform, alongside the
launch of the Learning Tap tool, has improved communication and provided
colleagues with accessible learning pathways to support personal and
professional development.
In parallel, we accelerated the rationalisation of our legal entity structure
to reduce cost and complexity, while continuing to enhance our governance and
controls environment. Targeted investment and a systematic improvement
programme have further strengthened our risk management capabilities and
operational disciplines. We also continued to bolster our financial control
environment, increasing investment in risk mitigation resources and
implementing new financial control software. This has delivered enhanced
transparency, greater automation and strengthened oversight across the
organisation.
Accelerating Digital and Commercial Capability
During the year, we enhanced our customer relationship management ('CRM')
capabilities to enable more precise customer targeting and deeper insights. We
also made progress in developing a new digital sales platform, designed to
give customers greater flexibility in how they order and engage with us. These
investments will improve market diagnostics, streamline sales processes and
support increased productivity across our commercial teams.
Embedding a Stronger Health & Safety Culture
Health & Safety remains the top priority across the Group. Our intensified
focus within the logistics network has driven significant improvements,
contributing to a further reduction in our Reportable Injury Frequency Rate
('RIFR') reportable incidents during the year. The continued strengthening of
our safety culture is central to our ambition of ensuring that everyone
returns home safely every day.
Organisational Simplification
As part of the simplification programme initiated at the end of the 2026
financial year, we restructured our field sales territories and back-office
operations. Enabled by investments in productivity enhancing systems, this
reorganisation has streamlined operations, reduced complexity and resulted in
a reduction of circa 4% in our employee base going forward and highlights the
potential that exists to improve our cost base going forward.
LOOKING AHEAD - A Refreshed Strategic Focus
Our strategic focus is now to work towards a Group with two distinct business
models - C&C Brands, a brand focused, multi-channel business platformed on
scale, manufacturing assets with leading route to market capabilities and a
Brand portfolio capable of sustained volume growth. The second business
model, Matthew Clark Bibendum holds a unique supply role in the hospitality
environment providing customers with leading service, value and choice whilst
providing Brand owners with unrivalled access and insight into the hospitality
sector across the UK.
We aim to build the specific required competences across our separate business
models to maximise the potential of them as separate operations under one
Group structure. At the same time, we anticipate consolidation to be a reality
within our industry with potential outcomes both at a corporate level and at
an operational level. Our objective in this dynamic environment is to build
strategic optionality - by ensuring we are in the best possible position to
benefit from any relevant consolidation.
The priority for the past year has been establishing stronger enterprise-wide
foundations, allowing us to review the business with the aim of building from
a position of strength. We exited from FY2026 with a refreshed Executive team
and clearly identified opportunities for value growth across the business.
Streamlining and simplifying the business has been necessary and we must now
aim for enhanced execution agility and a clear set of business priorities
which we believe will serve as a competitive advantage versus our competitors.
Whilst the market remains challenging, we see ample opportunity to develop
both our brands and distribution capability and recognise that our
manufacturing assets and route to market strengths, represent a unique point
of difference in the beverage space. We will further develop how we capitalise
on these opportunities in the coming months but expect to continue to invest
in the developments of our growing Branded portfolio and focus on margin
expansion in our Distribution business.
Strengthening Core Brands
We continue to develop our core brands Tennent's, Bulmers and Magners. With
our brand innovation engine now firmly established, we anticipate a series of
brand developments, providing growth opportunities for our brands in the wider
beer and cider category. This will be accompanied by a strong promotional
programme across the key summer months, with a clear focus on the trading
opportunity presented by the Men's Football World Cup in the summer of 2026.
Following an encouraging performance from Bulmers in FY2026, we will seek to
capitalise further on existing high consumer awareness with further investment
in Bulmers Zero, positioning the brand to benefit from the increasingly
attractive no/low alcohol segment, as well as in a series of flavour
innovations.
Growing our Branded Portfolio
We own a much wider portfolio of brands than is visible at first glance. We
have not fully leveraged this wider portfolio in recent times, and this is
something we now plan to focus upon. Our premium portfolio is developing well,
and geographic growth is a natural next step, as we expand into wider
distribution. As an example, Outcider, our cider brand aimed at a higher tempo
occasion, has established itself as the number one On-Trade cider in Northern
Ireland and continues to enjoy double-digit growth in the territory. In the
year, we launched Outcider in Scotland, achieving an impressive 300 On-Trade
venue listings in the first year. We see immense potential for the brand with
the Gen Z cohort and will be capitalising upon the Scotland launch with the
release of the brand in England and Wales in FY2027. We see strategic growth
for the brand within the C&C cider portfolio, and it complements both
Magners and Bulmers well.
Menabrea, our premium Italian lager, continued its positive performance in the
year, delivering both volume and sales value growth. The premium quality of
the brand has established it as a leading premium lager in the UK, and we will
continue to selectively enhance the distribution footprint of the brand in
appropriate market segments.
In March 2026, we acquired the Innis & Gunn brand in which we have been a
long-term partner in both brewing and sales development. The integration of
Innis & Gunn into our operating and commercial footprint was delivered
seamlessly in the weeks following completion and serves to highlight the
capacity and capability to integrate and create valuable synergies from the
right opportunities. We expect to develop this premium craft ale and lager
brand further across FY2027.
Advancing Our Distribution Leadership
With a unique national footprint, deep category capability, and strong trade
relationships, we believe we have the opportunity to improve the distribution
business over a period of time, centred around the following principles:
· Building operational focus and cost competitiveness.
· Reshaping our portfolio and reducing complexity.
· Developing renewed partnerships with brand owners who wish to
utilise our unique route-to-market capability.
· Redefining our service proposition for our customers and
clarifying our competitive position in the overall market.
Our focus is to develop an improved margin position within our MCB business.
This will be delivered by a continued focus on cost, range, service and
pricing. We expect to build the margin in MCB progressively in years to come.
OUTLOOK
Trading performance since the period end has been in line with expectations.
The important summer months trading period lies ahead, and the macro
environment remains unstable meaning forecasting consumer behaviour and demand
is challenging for all. Notwithstanding this uncertainty, the Group has strong
plans in place across the business, and we currently expect to meet full-year
financial objectives, alongside delivering substantial progress in the
development and delivery of our refreshed strategic framework.
Roger White
Chief Executive Officer
CHIEF FINANCIAL OFFICER'S REVIEW - FY2026
RESULTS FOR THE YEAR
For the year ended 28 February 2026, the Group delivered net revenue of
€1,569.8m and operating profit((1)) of €70.5m. Adjusted diluted EPS for
FY2026 was 10.1 cent. Operating profit((1)) was down, from €77.1m in FY2025
to €70.5m in the current year. The operating profit result and the movement
year-on-year is explained in detail in the CEO Review.
Active stewardship of liquidity and net debt remained a central focus during
FY2026. The Group closed the year with available liquidity((2)) of €326.5m,
net debt((3)) of €121.4m and leverage((8)) of 1.6x.
ACCOUNTING POLICIES
As required by European Union ('EU') law, the Group's financial statements
have been prepared in accordance with International Financial Reporting
Standards ('IFRS') as adopted by the EU, and as applied in accordance with the
Companies Act 2014, applicable Irish law and the Listing Rules of the
Financial Conduct Authority.
FINANCE COSTS, INCOME TAX AND SHAREHOLDER RETURNS
Net finance costs before exceptional items were €20.7m (FY2025: €21.3m),
comprising approximately €4.0m on the receivables securitisation facility,
€3.7m on US Private Placement ('USPP') notes, €5.5m on core bank
facilities, €8.1m lease interest, €0.7m amortisation of issue costs,
€2.0m of interest income, and €0.7m of other finance charges. Exceptional
finance expense of €0.6m (FY2025: €0.4m) relates primarily to the interest
charge affiliated with the provision created for costs associated with brand
dispense assets as outlined in Note 3 to the financial statements.
Profit mix continued to be weighted to the UK, which, alongside the 25% UK
corporation tax rate, influenced the effective adjusted tax rate of 24.3% for
FY2026 (FY2025: 19.9%). The Irish effective rate under Pillar Two (effective 1
January 2024) remains 15%. We continue to manage the Group's tax profile in
accordance with our published tax strategy.
Subject to shareholder approval, the Board proposes a final dividend of 3.67
cent per Ordinary Share, payable on 17 July 2026 to shareholders on the
register at close of business on 12 June 2026. Including the 2.08 cent interim
dividend paid during FY2026, the full‑year dividend will total 5.75 cent per
share, representing a payout of 57% of adjusted diluted EPS((9)). Based on the
shares in issue at 28 February 2026, and excluding waived entitlements, this
equates to a distribution of €13.6m for the final dividend and €21.5m for
the full-year. No scrip alternative is proposed.
The proposed final dividend amount has principally been determined by the
availability of distributable reserves in C&C Group plc, which were
€14.4m as at 28 February 2026. The Company has commenced planning for a
reorganisation of the capital and reserves on its balance sheet. This will
involve the reduction of approximately €1bn of share premium, which will be
transferred into retained reserves. This will have a significantly positive
impact on distributable reserves.
This process requires a special resolution to be passed by the Company's
Shareholders at the AGM on 10 July 2026 after which the Company will file a
motion with the Irish High Court in Dublin to seek confirmation of the capital
reduction. It is expected that this process will be completed by the end of
October 2026.
The share buyback programme announced in FY2024 remained active in FY2026. We
executed one additional tranche during the period. As at 28 February 2026, the
Group had cumulatively repurchased 23,923,550 shares at a cash cost of €45m,
with €15.1m of that occurring during FY2026, bringing cumulative cash
returns (dividends, including FY2026 final dividend, plus buybacks) since
programme inception to €105m.
Exceptional Items
The Group recorded total exceptional charges before tax of €40.7m (FY2025:
€36.3m). These predominantly comprise transformation, restructuring and
reorganisation costs to simplify operating structures and reduce overheads,
professional fees associated with control and reporting enhancements, and
impairment charges related to various balance sheet items including brand
dispense assets and the carrying value of brands. The cash cost of these
exceptional charges was €20.8m (FY2025: €25.2m).
Further detail is provided in Note 3. Presenting these items as exceptional,
in the Board's view, provides a clearer view of underlying performance.
Cash Generation
A breakdown of Free Cash Flow for the year ended 28 February 2026 is presented
below.
2026 2025
€m €m
Operating profit before exceptional items 70.5 77.1
Amortisation and depreciation 33.8 34.9
Adjusted EBITDA((4)) 104.3 112.0
Working capital (21.1) 6.6
Advances to customers 0.4 (0.9)
Net finance costs (excl. exceptional) (20.7) (21.0)
Tax received / (paid) 0.1 (7.1)
Pension contributions (0.3) (0.3)
Tangible/intangible capex (13.0) (18.5)
Net proceeds from asset disposals 0.3 1.2
Translational FX movements (0.8) (2.2)
Revaluation of Land & Buildings (2.3) (0.2)
Other (1.6) (0.8)
Underlying free cash flow ((6)) 45.3 68.8
Exceptional items paid (20.8) (25.2)
Free cash flow ((5)) 24.5 43.6
Working capital was a €21.1m outflow in the year (FY2025: €6.6m inflow)
reflecting slightly lower drawdown on the receivables securitisation facility,
combined with movement in payment terms with certain customers and the timing
of some supplier payments around the period end. Pre-exceptionals finance
costs of €20.7m was broadly flat year-on-year. Due to a tax overpayment in
the prior period, tax was a marginal cash inflow of €0.1m in the year, which
was €7.2m favourable to prior year (FY2025: €7.1m outflow). Capital
expenditure of €13.0m (FY2025: €18.5m) principally related to equipment
and site improvements as well as IT investment; and was lower year-on-year due
to €5.3m investment in FY2025 for a new can filler at our Wellpark Brewery.
The combination of the above movements resulted in underlying free cash
flow((6)) of €45.3m (FY2025: €68.8m), with the reduction year-on-year
driven by the working capital movements, partially offset by lower tax
outflows.
Exceptional items were a €20.8m outflow (FY2025: €25.2m).
Reconciliation of Free Cash Flow to Group Cash Flow Statement:
2026 2025
€m €m
Free cash flow ((5)) 24.5 43.6
Dividends paid (23.1) (22.9)
Share buyback (15.1) (30.0)
Payment of debt issue costs - (0.5)
Payment of lease liabilities (21.4) (18.5)
Drawdown of debt 34.2 5.0
Disposal of subsidiary/equity investment - 2.2
Net decrease in cash (0.9) (21.1)
A total of €38.2m (FY2025: €52.9m) cash payments were made in the year in
respect of returns to Shareholders, comprising €23.1m ordinary dividends and
€15.1m share buybacks. Payment of lease liabilities were €21.4m (FY2025:
€18.5m).
Net debt((3)) at the end of the year was €121.4m (FY2025: €80.9m) with
leverage((8)) of 1.6x (FY2025: 0.9x). Overall liquidity((2)) remained robust
at €326.5m (FY2025: €369.0m).
Balance Sheet and Funding
A strong balance sheet remains integral to executing our strategy. Our funding
model blends committed bank facilities with USPP notes, providing duration and
diversification. In December 2024, we exercised the second extension option on
the multi‑currency revolving credit facility ('RCF') established in May
2023, extending maturity to January 2030.
The Group also maintains a committed €150.0m non-recourse receivables
securitisation facility, that was renewed in March 2026 and is renewable
annually in May. At 28 February 2026, drawings under this facility were
€104.2m (FY2025: €109.8m). This is a working capital facility; any
drawings are not included in net debt.
FINANCE FUNCTION, CONTROLS AND SYSTEMS
Following the issues identified in FY2024, we continued to standardise and
strengthen our finance organisation in FY2026. We have migrated to common,
automated core processes wherever practicable to improve accuracy and control,
embedded a reinforced three‑lines model, and expanded Risk and Internal
Audit capabilities. In addition, we launched a Group‑wide key controls
framework (financial and selected non‑financial) with improved monitoring
and testing cadence. While FY2026 required sustained effort and investment,
the discipline and control enhancements implemented have materially supported
performance stability and resilience.
RETIREMENT BENEFITS
In accordance with IAS 19 Employee Benefits, the net assets and obligations of
our defined benefit plans are recognised on the face of the consolidated
balance sheet. Triennial funding valuations continue to be performed using the
attained age method.
Updated actuarial valuations for ROI schemes were effective 1 January 2024,
and the most recent NI valuation date was 31 December 2023. As a result, the
Group has committed to contributions of €0.3m in calendar year 2026,
increasing at 2.3% per annum thereafter. There is no current funding
requirement for the executive or NI schemes, both of which remain in surplus.
The Trustees of the C&C Group Executive Pension and Life Assurance Scheme
implemented an annuity buy‑in effective 27 February 2024 for current
pensioners in payment; this provides a cash‑flow and longevity hedge for
those benefits.
There are two active members in the NI scheme and 42 active members (less than
10% of total membership) in the ROI staff scheme; there are no active members
in the executive scheme.
At 28 February 2026, the aggregate IAS 19 position was a net surplus of
€43.2m gross of deferred tax, compared with €32.0m gross at 28 February
2025. The principal drivers of the year‑on‑year movement were changes in
corporate bond yields, benefit inflation assumptions, and actual asset
returns.
Illustrative bridge (gross of deferred tax):
€m
Net surplus at 1 March 2025 32.0
Translation (0.2)
Employer contributions 0.3
OCI (actuarial) credit 10.5
P&L credit 0.6
Net surplus at 28 February 2026 43.2
FINANCIAL RISK MANAGEMENT
The Group's key financial risks remain commodity prices, foreign exchange,
interest rates, counterparty credit, and liquidity. Treasury policies and risk
appetite are set by the Board, with oversight by the Audit Committee.
CURRENCY RISK MANAGEMENT
The Group plans and reports in euro but conducts material activities in
sterling, US dollar and Australian dollar. We pursue natural hedging wherever
practical by matching currency receipts and outflows; residual exposures
within policy thresholds are managed using forward FX contracts on a
non‑speculative basis. At year end, the Group had €9.5m of forward
cash‑flow hedges in place.
The average rate for the translation of results from Sterling operations was
€1:£0.8624 (year ended 28 February 2025 €1:£0.8430) and from US Dollar
operations was €1:$1.1529 (year ended 28 February 2025: €1:$1.0746)
COMMODITY, ENERGY AND OTHER RISK MITIGATION
We are well hedged across key costs for FY2027. We manage commodity exposure
principally through fixed‑price supply contracts rather than direct
commodity hedges, where this is economically appropriate. Energy costs
(notably gas and electricity) are partially fixed through contractual
arrangements with utility providers. We continue to secure critical inputs
through long‑term supplier partnerships, including arrangements with
Scottish growers/maltsters for malting barley. The Group maintains appropriate
insurance coverage where this represents an efficient transfer of risk.
Adam Phillips
Chief Financial Officer
Notes to the Chair's Statement, Chief Executive Officer's Review and Chief
Financial Officer's Review
(1) Before exceptional items.
(2) Liquidity is defined as cash plus undrawn capacity on the Group's
revolving credit facilities.
(3) "Net debt" comprises borrowings (net of issue costs) less cash. It is on a
pre-IFRS16 basis, i.e. before capitalised lease liabilities. "Total net debt"
is on a post-IFRS16 basis and includes capitalised lease liabilities.
(4) Adjusted EBITDA is earnings before exceptional items, finance
income/expense, tax, depreciation, amortisation, and the share of equity
accounted results after tax. A reconciliation is set out above
(5) Free Cash Flow (FCF) represents operating cash flow net of capital
expenditure. FCF includes the positive cash impact of the Group's receivables
purchase programme (year‑end contribution €104.2m; FY2025: €105.9m). A
reconciliation of FCF to the statutory cash flow is provided above.
(6) Underlying Free Cash Flow represents Free Cash Flow prior to exceptional
items.
(7) Operating margin is operating profit before exceptional items, expressed
as a percentage of revenue.
(8) Leverage is net debt divided by EBITDA. It can be expressed on a pre- or
post-IFRS16 basis.
(9) Adjusted diluted EPS is calculated as the profit after tax before
exceptional items divided by the weighted average number of shares (diluted
basis, as set out in the notes to the financial statements).
Appendix
Consolidated Income Statement
Year ended 28 February 2026 Year ended 28 February 2025
Before exceptional items Exceptional items Total Before exceptional items Exceptional items Total
(Note 3) (Note 3)
Notes €m €m €m €m €m €m
Revenue 2 1,861.6 - 1,861.6 2,009.4 - 2,009.4
Excise duties (291.8) - (291.8) (343.9) - (343.9)
Net revenue 2 1,569.8 - 1,569.8 1,665.5 - 1,665.5
Operating costs (1,499.3) (40.1) (1,539.4) (1,588.4) (31.3) (1,619.7)
Group operating profit/(loss) 2 70.5 (40.1) 30.4 77.1 (31.3) 45.8
Impairment of promissory note 3 - - - - (4.5) (4.5)
Net loss on disposal 3 - - - - (0.1) (0.1)
Finance income 4 2.0 - 2.0 2.7 - 2.7
Finance expense 4 (22.7) (0.6) (23.3) (24.0) (0.4) (24.4)
Share of equity accounted investments' profit after tax - - - 0.1 - 0.1
Profit/(loss) before tax 49.8 (40.7) 9.1 55.9 (36.3) 19.6
Income tax expense 5 (12.1) 6.5 (5.6) (11.1) 5.1 (6.0)
Group profit/(loss) for the financial year 37.7 (34.2) 3.5 44.8 (31.2) 13.6
Basic earnings per share (cent) 6 0.9 3.5
Diluted earnings per share (cent) 6 0.9 3.5
Consolidated Statement of Comprehensive Income
2026 2025
Notes €m €m
Other Comprehensive Income:
Items that may be reclassified to Income Statement in subsequent years:
Foreign currency translation differences arising on the net investment in (22.5) 14.5
foreign operations
Profit/(Loss) relating to cash flow hedges 0.5 (0.7)
Items that will not be reclassified to Income Statement in subsequent years:
Revaluation of property, plant and equipment 3.7 1.8
Deferred tax on revaluation of property, plant and equipment (0.4) (0.2)
Remeasurement on retirement benefits 10.5 (3.7)
Deferred tax on remeasurement (1.3) 0.8
Net (loss)/profit recognised directly within Other Comprehensive Income (9.5) 12.5
Group profit for the financial year 3.5 13.6
Total comprehensive (expense)/income for the financial year (6.0) 26.1
Consolidated Balance Sheet
2026 2025
Notes €m €m
ASSETS
Non-current assets
Property, plant and equipment 10 285.5 274.4
Goodwill and intangible assets 9 499.3 533.0
Equity accounted investments and financial assets 1.5 1.5
Retirement benefits 8 43.2 32.0
Deferred tax assets 21.4 25.6
Trade and other receivables 22.9 34.9
873.8 901.4
Current assets
Inventories 147.8 156.5
Trade and other receivables 130.1 134.4
Current income tax assets 8.8 9.8
Financial assets 0.7 0.7
Derivative financial assets 0.1 -
Cash and cash equivalents 135.6 144.0
423.1 445.4
Assets held for sale 0.8 1.1
423.9 446.5
TOTAL ASSETS 1,297.7 1,347.9
EQUITY
Capital and reserves
Equity share capital 3.7 3.8
Share premium 347.2 347.2
Treasury shares (34.3) (36.2)
Other reserves 85.7 103.9
Retained income 113.7 142.0
Total Equity 516.0 560.7
LIABILITIES
Non-current liabilities
Lease liabilities 120.0 111.7
Interest bearing loans and borrowings 257.7 225.6
Other financial liabilities 11 4.1 5.2
Provisions 12 5.6 7.0
Deferred tax liabilities 40.6 38.6
428.0 388.1
Current liabilities
Lease liabilities 19.0 19.7
Derivative financial liabilities - 0.4
Other financial liabilities 11 0.9 1.0
Trade and other payables 325.1 370.4
Provisions 12 8.7 7.6
353.7 399.1
Total liabilities 781.7 787.2
TOTAL EQUITY AND LIABILITIES 1,297.7 1,347.9
Consolidated Cash Flow Statement
2026 2025
Notes €m €m
CASH FLOWS FROM OPERATING ACTIVITIES
Group profit for the year 3.5 13.6
Share of equity accounted investments profit after tax - (0.1)
Finance income 4 (2.0) (2.7)
Finance expense 4 23.3 24.4
Income tax expense 5.6 6.0
Impairment of goodwill and intangible assets 16.1 -
Impairment of Loan Notes 3 - 4.5
Impairment of right-of-use assets 3 5.7 2.5
Impairment of property, plant and equipment 3 0.4 1.8
Depreciation of property, plant and equipment 31.0 32.1
Remeasurement of dilapidations 0.4 (1.1)
Amortisation of intangible assets 9 2.8 2.8
Revaluation of property, plant and equipment (9.5) (0.2)
Loss on sale of businesses and investments 3 - 0.1
Loss on disposal of property, plant and equipment (0.1) (0.1)
Translational foreign exchange movements (0.8) (2.2)
Increase in exceptional item payables 2.8 -
Charge for equity settled share-based payments 0.1 1.2
Pension contributions: adjustment from credit to payment (0.9) (1.2)
78.4 81.4
Decrease in inventories 2.6 18.4
Decrease in trade and other receivables 6.7 23.9
Decrease in trade and other payables (30.5) (38.8)
Increase in provisions 0.5 4.1
57.7 89.0
Interest received 2.0 2.7
Interest and similar costs paid (22.6) (23.7)
Income taxes paid 0.1 (7.1)
Net cash inflow from operating activities 37.2 60.9
CASH FLOWS FROM INVESTING ACTIVITIES
Purchase of property, plant and equipment (11.2) (16.6)
Purchase of intangible assets (1.8) (1.9)
Proceeds from sale of held-for-sale assets and investments 0.3 3.4
Net cash outflow from investing activities (12.7) (15.1)
CASH FLOWS FROM FINANCING ACTIVITIES
Dividends paid to Company shareholders (23.1) (22.9)
Drawdown of debt 34.2 5.0
Share buybacks (15.1) (30.0)
Payment of debt issue costs - (0.5)
Payment of lease liabilities (21.4) (18.5)
Net cash outflow from financing activities (25.4) (66.9)
Net decrease in cash (0.9) (21.1)
Reconciliation of opening to closing cash
Cash and cash equivalents at beginning of year 144.0 160.1
Translation adjustment (7.5) 5.0
Net decrease in cash and cash equivalents (0.9) (21.1)
Cash and cash equivalents at end of financial year 135.6 144.0
Consolidated Statement of Changes in Equity
Equity share capital Share premium Other capital reserves* Cash flow hedge reserve Share-based payments reserve Currency translation reserve Revaluation reserve Treasury shares Retained income Total
€m €m €m €m €m €m €m €m €m €m
At 29 February 2024 4.0 347.2 25.8 0.3 5.6 43.1 14.4 (36.3) 182.9 587.0
Profit for the financial year - - - - - - - - 13.6 13.6
Other comprehensive income/(loss) - - - (0.7) - 14.5 1.6 - (2.9) 12.5
Total comprehensive income/(loss) - - - (0.7) - 14.5 1.6 - 10.7 26.1
Dividend paid on ordinary shares - - - - - - - - (22.9) (22.9)
Reclassification of share-based payments reserve - - - - (1.6) - - - 1.6 -
Purchase of shares to satisfy employee share entitlements - - - - - - - (0.4) (0.3) (0.7)
Purchase of treasury shares - Share buybacks - - - - - - - (30.0) - (30.0)
Cancellation of treasury shares (0.2) - 0.2 - - - - 30.0 (30.0) -
Transfer of Treasury Shares - - - - (0.5) - - 0.5 - -
Equity settled share-based payments - - - - 1.2 - - - - 1.2
Total transactions with owners (0.2) - 0.2 - (0.9) - - 0.1 (51.6) (52.4)
At 28 February 2025 3.8 347.2 26.0 (0.4) 4.7 57.6 16.0 (36.2) 142.0 560.7
Profit for the financial year - - - - - - - - 3.5 3.5
Other comprehensive income/(loss) - - - 0.5 - (22.5) 3.3 - 9.2 (9.5)
Total comprehensive income/(loss) - - - 0.5 - (22.5) 3.3 - 12.7 (6.0)
Dividend paid on ordinary shares - - - - - - - - (23.0) (23.0)
Reclassification of share-based payments reserve - - - - (0.4) - - - 0.4 -
Purchase of shares to satisfy employee share entitlements - - - - - - - (1.2) - (1.2)
Purchase of treasury shares - Share buybacks - - - - - - - (15.1) - (15.1)
Sale of treasury shares - - - - - - - 1.1 (0.6) 0.5
Cancellation of treasury shares (0.1) - 0.1 - - - - 15.1 (15.1) -
Transfer of Treasury Shares - - - - (0.5) - - 2.0 (1.7) (0.2)
Equity settled share-based payments - - - - 1.3 - - - (1.0) 0.3
Total transactions with owners (0.1) - 0.1 - 0.4 - - 1.9 (41.0) (38.7)
At 28 February 2026 3.7 347.2 26.1 0.1 5.1 35.1 19.3 (34.3) 113.7 516.0
1. ACCOUNTING POLICIES
General information
The financial information prepared in accordance with IFRS as adopted by the
European Union included in this report does not constitute the statutory
financial statements for the purposes of Chapter 4 of Part 6 of the Companies
Act 2014. Full statutory accounts for the year ended 28 February 2026 prepared
in accordance with IFRS, upon which the auditors have given an unqualified
report, have not yet been filed with the Registrar of Companies. Full
statutory accounts for the year ended 28 February 2025, prepared in accordance
with IFRS and containing an unqualified audit report, have been delivered to
the Registrar of Companies. The information included has been extracted from
the Group's financial statements, which have been approved by the Board of
Directors on 18 May 2026.
Basis of preparation
While the financial information included in this press release has been
prepared in accordance with International Financial Reporting Accounting
Standards ('IFRS'), as adopted by the EU and as applied in accordance with
Companies Act 2014, this announcement does not itself contain sufficient
information to comply with these standards. The financial information has been
prepared using accounting policies and methods of computation consistent with
those applied in the financial statements for the year ended 28 February 2025.
The Company's full financial statements for the year ended 28 February 2026
are prepared in compliance with International Financial Reporting Accounting
Standards ('IFRS'), as adopted by the EU and as applied in accordance with
Companies Act 2014.
Going concern basis
The Directors have adopted the going concern basis in preparing the financial
statements after assessing the Group's principal risks.
Management of liquidity and net debt continue to be a key focus for the Group.
The Group have reported net debt including leases and liquidity of €260.4m
and €326.5m respectively at 28 February 2026, compared with €212.3m and
€369.0m respectively in FY2025. The Group delivered a leverage ratio
(excluding leases) of 1.6x at 28 February 2026. The Covenant ratio for the
Group's RCF and term loan facilities was 1.6x at 28 February 2026, well within
the covenant limit of 3.5x. Both measures are calculated on a pre-IFRS 16
basis.
In FY2023, the Group successfully completed a refinancing of its
multi-currency facility and Euro term loan agreement which was repaid in a
single instalment following the publication of the Group's FY2023 Results in
May 2023. In FY2023, the Group also entered into a new five-year committed
sustainability-linked facility comprised of a €250m multi-currency revolving
loan facility and a €100m non-amortising Euro term loan. The facility offers
optionality of two 1-year extensions to the maturity date callable within 12
months and 24 months of the initial drawdown date respectively.
The multi-currency facility and the Euro term syndicate comprises six banks -
ABN Amro Bank, Allied Irish Bank, Bank of Ireland, Barclays Bank, HSBC and
Rabobank. During FY2025, the Group exercised the second optional extension of
the facilities, resulting in maturity being extended to January 2030 (FY2030)
on both the multi-currency facility and Euro term loan.
The headroom on the covenants within the financing facilities has been
reviewed in detail by management and assessed by the Directors. Given that the
cash flow forecasts demonstrate significant headroom, the Directors have
concluded that the Group has sufficient resources available until at least 31
August 2027 and therefore consider it appropriate to adopt the going concern
basis of accounting with no material uncertainties as to the Group's ability
to continue to do so.
New accounting standards adopted by the Group
The Group adopted the following new accounting policies on 1 March 2025 to
comply with new standards issued and amendments to IFRS:
• Lack of Exchangeability - Amendments to IAS 21
The above amendment did not have a material impact on the Group's financial
reporting on adoption.
New accounting standards in issue but not yet effective
The following amendment to IFRS has been issued by the IASB and is effective
for annual periods beginning on or after 1 January 2026.
• Amendments to the Classification and Measurement of Financial
Instruments-Amendments to IFRS 9 and IFRS 7.
• Annual Improvements to IFRS Accounting Standards - Volume 11
• Contracts Referencing Nature-dependent Electricity (Amendments to IFRS 9
and IFRS 7)
The adoption of the above standards and interpretations is not expected to
lead to any changes to the Group's accounting policies nor have any other
material impact on the financial position or performance of the Group.
2. SEGMENTAL REPORTING
The Group's business activity is the manufacturing, marketing and distribution
of branded beer, cider, wine, spirits and soft drinks.
The Chief Operating Decision Maker ('CODM'), identified as the Executive
Directors, assesses and monitors the operating results of segments separately
via internal management reports in order to manage the business and allocate
resources effectively.
The identified business segments are as follows:
(i) Branded
This segment is defined as brands fully owned or that are exclusively
distributed by the Group, whereby the Group is responsible for marketing as
well as sale of the brand in the associated geography. It includes the
financial results from sale of own branded products being principally Bulmers,
Tennent's, Magners and the growing portfolio of premium beers and ciders
including Drygate Brewing, Five Lamps, Heverlee, Menabrea and Orchard Pig.
(ii) Distribution
This segment is defined as third-party brands sold through the Group's
distribution businesses and brands where the Group acts as an exclusive agent
for a brand in a specific geography. It includes the results from the MCB
business which includes third party brand distribution, wine wholesaling and
distribution, together with the Gleesons distribution business in Ireland and
the distribution of private label products.
The Group's analysis by segment includes both items directly attributable to a
segment and those, including central overheads, which are allocated on a
reasonable basis in presenting information to the CODM. Inter-segmental
revenue is not material and thus not subject to separate disclosure.
(a) Analysis by segment
2026 2025
Revenue Net revenue Operating profit Revenue Net revenue Operating profit
Group Notes €m €m €m €m €m €m
Branded 453.6 309.5 51.0 452.6 298.6 46.1
Distribution 1,408.0 1,260.3 19.5 1,556.8 1,366.9 31.0
Total before exceptional items 1,861.6 1,569.8 70.5 2,009.4 1,665.5 77.1
Exceptional items 3 - - (40.1) - - (31.3)
Total 1,861.6 1,569.8 30.4 2,009.4 1,665.5 45.8
Impairment of promissory note 3 - (4.5)
Net loss on disposal 3 - (0.1)
Finance income 4 2.0 2.7
Finance expense 4 (22.7) (24.0)
Share of equity accounted investments' profit after tax - 0.1
Finance expense exceptional items 3, 4 (0.6) (0.4)
Profit before tax 9.1 19.6
The exceptional items included in operating profit in the current financial
year are a €40.1m charge (FY2025: €31.3 charge), of which €28.9m
(FY2025: €14.2m) relates to Branded and €11.2m (FY2025: €17.1m) relates
to Distribution.
(b) Other segment information
2026 2025
Tangible and intangible expenditure Lease additions Depreciation, amortisation and impairment Tangible and intangible expenditure Lease additions Depreciation, amortisation and impairment
€m €m €m €m €m €m
Branded 8.6 2.7 36.1 16.8 5.7 21.6
Distribution 4.4 18.8 19.9 3.4 16.6 17.6
Total 13.0 21.5 56.0 20.2 22.3 39.2
(c) Geographical analysis of segment revenue and net revenue
Revenue Net revenue
2026 2025 2026 2025
€m €m €m €m
Ireland 296.1 364.4 221.1 269.5
Great Britain 1,545.2 1,624.5 1,328.4 1,375.5
International* 20.3 20.5 20.3 20.5
Total 1,861.6 2,009.4 1,569.8 1,665.5
* International as a geographic region consists of multiple countries that
in aggregate represent 1% of Group revenue.
The geographical analysis of revenue and net revenue is based on the location
of the third-party customers.
(d) Geographical analysis of non-current assets
Ireland Great Britain International Total
At 28 February 2026 €m €m €m €m
Property, plant and equipment 75.7 209.8 - 285.5
Goodwill and intangible assets 159.6 317.8 21.9 499.3
Equity accounted investments and financial assets 0.6 0.8 0.1 1.5
Total 235.9 528.4 22.0 786.3
Ireland Great Britain International Total
At 28 February 2025 €m €m €m €m
Property, plant and equipment 80.5 192.8 1.1 274.4
Goodwill and intangible assets 160.7 350.4 21.9 533.0
Equity accounted investments and financial assets 0.6 0.8 0.1 1.5
Total 241.8 544.0 23.1 808.9
The geographical analysis of non-current assets, with the exception of
goodwill and intangible assets, is based on the geographical location of the
assets. The geographical analysis of goodwill and intangible assets is
allocated based on the country of destination of origin.
3. EXCEPTIONAL ITEMS
2026 2025
Group €m €m
Restructuring costs (a) (23.4) (23.8)
Risk management and control reviews (b) (1.0) (6.1)
Brand dispense assets (c) (7.3) -
PPE Revaluation (d) 7.2 -
Impairment of brands (e) (15.6) -
Bittersweet cider apple contracts (f) - 0.3
ERP implementation costs (g) - 0.1
Director settlement arrangements (h) - (1.8)
Operating loss exceptional items (40.1) (31.3)
Vermont promissory note (i) - (4.5)
Net loss on disposal (j) - (0.1)
Finance expense (k) (0.6) (0.4)
Included in profit before tax (40.7) (36.3)
Income tax credit (l) 6.5 5.1
Included in profit after tax (34.2) (31.2)
(a) Restructuring costs: During the period, the Group invested in a number
of strategic initiatives to realign support functions and optimise
organisational structures to more efficiently support the business operations.
The overall objective of the strategic initiatives is to reduce costs and
drive efficiency improvements across the operating model and enhance the
future growth of the business. During the period, the Group incurred costs of
€23.4m (FY2025: €23.8m) primarily related to the following:
- €16.9m (FY2025: €11.6m) related to the ongoing strategic
review of the Group's commercial, supply and head office functions to optimise
organisational design of the business and enable a more efficient and robust
governance and reporting structure moving forward. This charge primarily
reflects costs associated with implementing and embedding transformation
process improvements and related redundancy costs.
- €2.4m (FY2025: €11.7m) related to the continued
rationalisation of the Group's depot and distribution operations with further
onerous costs incurred in relation to the Newbridge distribution centre and
final costs relating to Orbital West. In FY2025, costs were also incurred in
relation to the closures of the Crayford, Borrisleigh and Shepton Mallet
depots.
- €4.1m (FY2025: €0.5m) of costs incurred to reassume control
and distribution of Magners and the wider cider portfolio in Great Britain as
of 1 January 2025 following agreement with BBG.
€18.2m (2025: €17.7m) of these costs were cash settled in the current
financial period.
(b) Risk management and control reviews: During the period the Group
incurred further costs of €1.0m (FY2025: €6.1m) associated with the
control issues notified to the market on 7 June 2024 which caused the Group to
defer publication of its FY2024 annual results. This costs primarily related
to legal and professional costs associated with internal and external reviews
into the issues, additional audit and accounting fees, retention costs for key
personnel and external accounting support costs.
Cash spend in the current financial period totalled €2.4m in respect of
these costs, including
settlement of €1.5m of costs accrued at 28 February 2025.
(c) Brand dispense assets: During FY2026, the Group completed an
impairment assessment of all brand dispense assets held within customer
premises. The review resulted in a €4.6m impairment of brand dispense assets
which upon investigation were identified as no longer being in place within
outlets. It also resulted in a €2.7m charge to recognise an onerous contract
provision for the maintenance of those assets with a €0.5m of interest
charges relating to the onerous contract provision. Each of these elements had
no cash impact in the current financial period.
(d) PPE Revaluation: As outlined within the Group's accounting policies,
during the year the Group reviewed its depreciation policy applied to Plant
& Machinery and has amended the accounting estimate within the Depreciated
Replacement Cost model applied to valuation and depreciation of the plant and
machinery assets utilised in the Group's beverage production. The current year
valuation gain on those assets of €7.2m is primarily attributed to the
change in estimate and has been deemed an exceptional credit for FY2026.
(e) Impairment of brands: In FY2026, a non-cash impairment charge of
€15.6m was recognised in respect of the Cider Brands purchased as part of
the Gaymers acquisition from FY2010 and the Orchard Pig acquisition in FY2018,
reflecting challenging trading conditions in the UK cider market.
(f) Bittersweet cider apple contracts: FY2025, the Group recognised a
net gain in respect of the disposal of excess apple inventory of €0.3m.
(g) ERP implementation costs: Following the Group's ERP implementation in
2023 and subsequent remediation in FY2024; a credit was recognised in FY2025
for amounts returned to the Group in relation to IT costs incurred.
(h) Director settlement arrangements: During FY2025, €1.8m of redundancy
costs were incurred following the announcement on 7 June 2024 that Patrick
McMahon would step down as CEO and that Ralph Findlay, in addition to his
duties as Chair of the Board, would be appointed CEO.
Cash spend in the current financial period was €0.2m in respect of accrued
costs held at 28 February 2025.
(i) Vermont promissory note: During FY2025, the Group recognised a
provision of €4.5m against the outstanding promissory note receivable on the
disposal of the Group's subsidiary Vermont Hard Cider Company in 2022.
(j) Net loss on disposal: The Net loss on disposal incurred in FY2025
includes a loss of €0.9m from the sale of the Group's Portuguese businesses,
including legal costs of €0.1m, a gain of €0.4m on the disposal of the
Group's 50% investment in joint venture entity Beck & Scott (Services) Ltd
and a gain of €0.4m on the remeasurement of the existing interest of 49% in
the joint venture entity Drygate Brewing Company Ltd.
(k) Finance Expense: Finance charges of €0.1m (FY2025: €0.4m) have
been recognised in respect of the interest impact on discounted cashflows
related to the onerous contracts provision for apple growers recorded in prior
periods. Additionally, €0.5m of interest has been recognised in relation to
the Brand dispense asset provision outlined in (c) above.
(l) Income tax credit: The tax credit in the current financial year,
with respect to the above exceptional items, amounted to a credit of €6.5m
(FY2025: €5.1m credit).
4. FINANCE INCOME AND EXPENSE
2026 2025
Group €m €m
Finance expense:
Interest expense on borrowings (9.9) (11.9)
Other finance expense* (4.7) (5.1)
Interest on lease liabilities (8.1) (7.0)
Total finance expense before exceptional items (22.7) (24.0)
Exceptional finance expense:
Interest expense on borrowings (0.6) (0.4)
Total exceptional finance expense (0.6) (0.4)
Total finance expenses (23.3) (24.4)
Finance income:
Interest income 2.0 2.7
Total finance income 2.0 2.7
* Other finance expense includes debtor securitisation costs of €4.0m
(FY2025 €5.0.m)
5. INCOME TAX
The effective tax rate was 61.5% (FY2025: 30.6%). The effective tax rate in
respect of the profit before adjusting items was 24.3% (FY2025: 19.9%).
6. EARNINGS PER SHARE
2026 2025
Group Millions Millions
Weighted average number of shares for basic earnings per share 371.3 383.1
Adjustment for the effect of conversion of options 3.0 2.5
Weighted average number of shares for diluted earnings per share 374.3 385.6
2026 2025
€m €m
Group profit for the financial year 3.5 13.6
Adjustment for exceptional items, net of tax (Note 3) 34.2 31.2
Earnings as adjusted for exceptional items, net of tax 37.7 44.8
2026 2025
Cents Cents
Basic earnings per share:
Basic earnings per share 0.9 3.5
Adjusted basic earnings per share 10.2 11.7
2026 2025
Cents Cents
Diluted earnings per share:
Diluted earnings per share 0.9 3.5
Adjusted diluted earnings per share 10.1 11.6
7. DIVIDENDS
2026 2025
Group €m €m
Declared during the financial year:
Final dividend for the year ended 28 February 2025: 4.13 cents per share 15.4 15.3
(FY2024: 3.97 cents per share)
Interim dividend at 31 August 2025: 2.08 cents per share 7.7 7.6
(FY2025: 2.00 cent per share)
Total equity dividends 23.1 22.9
Settled as follows:
Paid in cash 23.1 22.9
Payment of LTIP dividend declared and accrued in prior year (0.1) -
Total equity dividends 23.0 22.9
Proposed after the end of the year and not recognised as a liability
Final dividend for the year ended 28 February 2026: 3.67 cents per share 13.6 15.8
(FY2025: 4.13 cents per share)
8. RETIREMENT BENEFITS
2026 2025
€m €m
Net surplus at 1 March 32.0 34.3
Translation adjustment (0.2) 0.2
Employer contributions 0.3 0.3
Charge to Other Comprehensive Income 10.5 (3.7)
Credit to Income Statement 0.6 0.9
Closing net retirement benefit surplus 43.2 32.0
2026 2025
€m €m
Total market value of assets 164.4 169.5
Present value of scheme liabilities (121.2) (137.5)
Net retirement benefit surplus 43.2 32.0
2026 2025
€m €m
Analysed in the balance sheet as:
Retirement benefit asset 43.2 32.0
Net retirement benefit surplus 43.2 32.0
The financial assumptions for the pension scheme has been updated by
independent qualified actuaries to take account of the requirements of IAS 19
'Employee Benefits' in order to assess the liabilities of the schemes. A
reduction in discount rate used to value the schemes' liabilities by 0.25%
would increase the valuation of liabilities by €3.8m (FY2025: €4.8m) while
an increase in inflation/salary increase expectations of 0.25% would increase
the valuation of liabilities by €4.0m (FY2025: €4.9m). The sensitivity is
calculated by changing the individual assumption while holding all other
assumptions constant.
9. GOODWILL AND INTANGIBLE ASSETS
Goodwill Brands Other intangible assets Total
Group €m €m €m €m
Cost
At 29 February 2024 599.0 323.6 48.6 971.2
Additions 1.2 0.6 1.9 3.7
Translation adjustment 5.9 3.8 0.5 10.2
At 28 February 2025 606.1 328.0 51.0 985.1
Additions - - 1.8 1.8
Translation adjustment (9.5)) (6.2) (0.9) (16.6)
At 28 February 2026 596.6 321.8 51.9 970.3
Amortisation and impairment
At 29 February 2024 201.2 214.6 33.5 449.3
Amortisation charge for the year - - 2.8 2.8
At 28 February 2025 201.2 214.6 36.3 452.1
Impairment charge for the year - 15.6 0.5 16.1
Amortisation charge for the year - - 2.8 2.8
At 28 February 2026 201.2 230.2 39.6 471.0
Net book value
At 28 February 2026 395.4 91.6 12.3 499.3
At 29 February 2025 404.9 113.4 14.7 533.0
Goodwill related to the following assets and groups of cash generating units
(CGUs):
Group of cash generating units Operating segment 2026 2025
€m €m
Cider Branded 185.7 187.2
Tennents Branded 63.5 65.2
Ireland Distribution 20.9 20.9
MCB Distribution 103.4 109.7
Export Distribution 21.9 21.9
Total 395.4 404.9
10. PROPERTY, PLANT AND EQUIPMENT
Freehold land and buildings Plant and machinery Motor vehicles and other equipment Total
Group €m €m €m €m
Cost or valuation
At 29 February 2024 95.6 217.9 69.1 382.6
Translation adjustment 2.0 3.0 1.3 6.3
Additions 3.5 8.7 4.3 16.5
Acquisition of a subsidiary - 1.8 - 1.8
Assets held for sale - (3.1) - (3.1)
Disposals (0.9) (0.7) (1.6) (3.2)
Impairment (1.8) - - (1.8)
Revaluation of property, plant and machinery 2.7 (0.7) - 2.0
At 28 February 2025 101.1 226.9 73.1 401.1
Translation adjustment (3.1) (5.1) (2.0) (10.2)
Reclassification 1.3 (1.5) 0.2 -
Additions 1.8 6.2 3.2 11.2
Disposals (9.1) (5.6) (5.9) (20.6)
Impairment - (0.4) - (0.4)
Revaluation of property, plant and machinery 3.9 9.3 - 13.2
At 28 February 2026 95.9 229.8 68.6 394.3
Accumulated depreciation
At 29 February 2024 23.0 155.5 56.4 234.9
Translation adjustment 0.4 1.7 0.9 3.0
Assets held for sale - (2.0) - (2.0)
Disposals (1.6) (0.7) (0.9) (3.2)
Charge for the year 2.9 4.5 4.2 11.6
At 28 February 2025 24.7 159.0 60.6 244.3
Translation adjustment (0.6) (2.4) (1.6) (4.6)
Disposals (8.9) (5.9) (5.7) (20.5)
Charge for the year 2.7 2.6 4.9 10.2
At 28 February 2026 17.9 153.3 58.2 229.4
Net book value
At 28 February 2026 78.0 76.5 10.4 164.9
At 29 February 2025 76.4 67.9 12.5 156.8
Valuation of freehold land and buildings and plant and machinery
In line with previous years, the Group engaged the Real Estate and Capital
Equipment Valuation team of PricewaterhouseCoopers LLP to value the Group's
freehold land and buildings and plant and machinery at the Group's
manufacturing facilities in Clonmel (Tipperary) and Wellpark (Glasgow). The
valuers are members of the Royal Institution of Chartered Surveyors with
experience of undertaking property, plant and equipment valuations on a global
basis.
For specialised assets, comprising the production facilities at Clonmel and
Wellpark Brewery, the Depreciated Replacement Cost approach was applied to
value land and buildings. The Depreciated Replacement Cost approach was also
used to derive fair value for the plant and machinery at the Group's
manufacturing facilities given their specialised nature.
The result of these external valuations, as at 28 February 2026, was an
increase in the value to freehold land and buildings of €3.9m of which
€2.3m was credited to the Income Statement and €1.6m was credited to Other
Comprehensive Income (FY2025: increase of €2.7m of which €0.9m was
credited to the Income Statement and €1.8m was credited to Other
Comprehensive Income). Additionally, there was an increase in the value of
plant and machinery of €9.3m of which €7.2m was credited to the Income
Statement within Exceptional items (Note 3) and €2.1m was charged to Other
Comprehensive Income (FY2025: decrease of €0.7m all of which was charged to
the Income Statement).
In FY2025, the Group recognised an impairment charge of €1.8m in respect of
assets previously capitalised as part of the Newbridge depot in Edinburgh.
Operations at this location were discontinued in June 2024 as part of the
continued rationalisation of the Group's depot and distribution operations and
these assets are considered to be fully impaired at 28 February 2025.
For all other items of land and buildings and plant and machinery the Group
completed an internal assessment of the appropriateness of their carrying
value. Assisted by a market overview provided by the valuation team from
PricewaterhouseCoopers LLP, with respect to the geographic locations of the
Group's assets, the Group concluded that the carrying value was appropriate at
28 February 2026 and no adjustment were recorded in this regard.
Right-of-use assets
Freehold land and buildings Plant and machinery Motor vehicles and other equipment Total
Group €m €m €m €m
Net carrying amount:
At 1 March 2024 54.9 5.3 39.8 100.0
Translation adjustment 2.4 0.4 0.9 3.7
Additions 8.1 2.7 11.5 22.3
Disposals (3.0) - - (3.0)
Remeasurement 17.6 - - 17.6
Depreciation charge for the year (7.3) (5.3) (7.9) (20.5)
Impairment (2.5) - - (2.5)
At 28 February 2025 70.2 3.1 44.3 117.6
Translation adjustment (4.1) - (2.3) (6.4)
Additions - - 21.5 21.5
Disposals - - (0.2) (0.2)
Remeasurement 14.1 (0.1) 0.6 14.6
Depreciation charge for the year (6.8) (1.3) (12.7) (20.8)
Impairment (1.1) - (4.6) (5.7)
Reclassification 3.2 (0.3) (2.9) -
At 28 February 2026 75.5 1.4 43.7 120.6
11. OTHER FINANCIAL LIABILITIES
2026 2025
Group €m €m
Contractual financial liabilities:
At 1 March 6.2 6.8
Translation adjustment (0.3) 0.2
Utilised during the year (1.0) (1.0)
Unwinding of discount on provisions 0.1 0.2
At end of year 5.0 6.2
Disclosure of financial liabilities
2026 2025
Group €m €m
Current liabilities 0.9 1.0
Non-current liabilities 4.1 5.2
5.0 6.2
During the year ended 29 February 2024, the Group made an offer to settle some
of its onerous contract obligations with its bittersweet apple suppliers (see
Note 12) and accordingly €6.8m was reclassified as a financial liability and
initially recognised at fair value based on the present value of the future
payments, in accordance with IFRS 9. During FY2026, a total of €1.6m has
been paid to the suppliers comprising €1.0m in respect of financial
liabilities and €0.6m in respect of onerous contracts (see Note 12).
12. PROVISIONS
Dilapidations Onerous contracts Other Total
Group €m €m €m €m
At 1 March 2024 5.3 3.4 1.4 10.1
Translation adjustment 0.2 0.1 0.1 0.4
Charged during the year 3.5 2.2 0.9 6.6
Released during the year (0.7) (0.1) (0.4) (1.2)
Utilised during the year (0.8) (0.4) (0.3) (1.5)
Unwinding of discount on provisions 0.1 0.1 - 0.2
At 28 February 2025 7.6 5.3 1.7 14.6
Translation adjustment (0.5) (0.3) (0.1) (0.9)
Charged during the year 0.6 3.5 1.6 5.7
Released during the year (0.6) (0.8) - (1.4)
Utilised during the year (1.3) (2.2) (0.7) (4.2)
Unwinding of discount on provisions 0.1 0.4 - 0.5
At 28 February 2026 5.9 5.9 2.5 14.3
Disclosure of provisions
2026 2025
Group €m €m
Current liabilities 8.7 7.6
Non-current liabilities 5.6 7.0
.7 14.3 14.6
Dilapidations
During the year ended 28 February 2026, the Group has performed independent
assessments of the dilapidations liabilities across its leased properties
portfolio and concluded that an additional provision of €0.6m (FY2025:
€3.5m) was required. Of this amount, €0.3m was for leased depots in
England (FY2025: €2.2m) and €0.3m was in respect of leased depots in
Scotland (FY2025: €1.3m).
The dilapidation liabilities solely relate to leased properties.
Onerous Contracts
Included within Onerous contracts are the Group's future obligations with its
bittersweet apple suppliers under existing long-term contractual arrangements,
recognised at present value as the Group does not expect to receive any
economic benefit from the remaining duration of the contracts in accordance
with IAS 37: Provisions, Contingent Liabilities and Contingent Assets. During
the year ended 29 February 2024, the Group made an offer to settle these
contracts and accordingly €6.8m was reclassified as a financial liability
and initially recognised at fair value based on the present value of the
future payments, in accordance with IFRS 9 (see Note 11), with the balance of
€3.4m classified as an onerous contract since no agreement has yet been
reached with the remaining suppliers. During FY2026, a total of €1.6m has
been paid to the suppliers comprising €1.0m in respect of financial
liabilities and €0.6m in respect of onerous contracts (see Note 11).
These contracts with bittersweet apple suppliers have an average duration of 8
years (FY2025: 9 years) remaining. Annual payments will be made over the life
of the contracts. There are no significant variability or sensitivities to
note, there will be fluctuation in quantities depending on harvests, but the
fluctuation will be minimal, reducing over time as contracted acres fall out
of contract.
Within Onerous contracts are the Group's future obligations with its lessors
on rental properties in England and Scotland, of which €0.3m has been
released during the year (FY2025: €2.2m charged). Of this amount, €0.8m
release was in respect of the Group's Regents Park Road office in London which
was closed in April 2025 and €0.5m charge was in respect of the Newbridge
depot in Edinburgh, which was closed in June 2024.
Also included within Onerous contracts is a provision for future obligations
on the Group's brand dispense asset agreement. As outlined in Note 3, an
exceptional charge of €7.3m was recognised in the year which included
€2.7m for the recognition of loss provision and €4.6m for the recognition
of impairment loss on these assets.
Other Provisions
During the year ended 28 February 2026, the Group charged €1.6m (FY2025:
€0.9m) of other provisions in respect of anticipated costs associated with
dilapidations on leased vehicles and with legal and insurance claims. As at 28
February 2026, the balance of €2.5m (FY2025: €1.7m) relates to costs that
the Group expects to incur over an extended period, none of which are
individually material.
13. ANALYSIS OF NET DEBT
Interest bearing loans and borrowings* Cash and cash equivalents Net debt excluding leases Lease liabilities Net debt including leases
Group €m €m €m €m €m
1 March 2024 (218.0) 160.1 (57.9) (110.1) (168.0)
Translation adjustment (1.7) 5.0 3.3 (4.2) (0.9)
Additions, disposals and remeasurements 0.5 - 0.5 (35.6) (35.1)
Net cash flow (5.0) (21.1) (26.1) 25.5 (0.6)
Non-cash changes (0.7) - (0.7) (7.0) (7.7)
28 February 2025 (224.9) 144.0 (80.9) (131.4) (212.3)
Translation adjustment 2.8 (7.5) (4.7) 7.3 2.6
Additions, disposals and remeasurements - - - (36.3) (36.3)
Net cash flow (34.2) (0.9) (35.1) 29.5 (5.6)
Non-cash changes (0.7) - (0.7) (8.1) (8.8)
28 February 2026 (257.0) 135.6 (121.4) (139.0) (260.4)
* Interest bearing loans and borrowings at 28 February 2026 are net of
unamortised issue costs of €2.7m (FY2025: €3.6m).
14. ACQUISITIONS AND DISPOSAL
There were no acquisitions or disposals in the year ended 28 February 2026.
15. SUBSEQUENT EVENTS
Innis & Gunn brand acquisition
On the 6 March 2026, the Group acquired the Innis & Gunn brand and
associated global intellectual property for €5.1m from the administrators of
Innis & Gunn. A breakdown of the assets acquired is as follows:
Consideration paid
€m
Intangible assets 5.0
Property, plant and equipment 0.1
Total consideration 5.1
No other material post-balance sheet events requiring disclosure have been
identified.
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