REG - Fevertree Drinks PLC - FY25 Interim Results to 30 June 2025
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RNS Number : 8616Y Fevertree Drinks PLC 11 September 2025
Fevertree Drinks plc
FY25 Interim Results to 30 June 2025
Excellent strategic progress and on-track to deliver in line with full year
expectations
· Long-term strategic partnership signed in January 2025, granting
Molson Coors exclusive rights to sell, distribute, and produce the Fever-Tree
brand in the United States.
· The move into Molson Coors' national network of distributors
commenced in June as planned and is progressing well.
· Product diversification resonating with customers and consumers alike
with the broader portfolio beyond tonic, such as our Ginger Beer and Premium
Soft Drinks, delivering strong growth across our key regions and now
representing 45% of Group revenues.
· Announcing an extension of the share buyback programme by a further
£30 million to continue in 2026 reflecting confidence in the Group's quality
of earnings.
· The Group has made a good start to the second half of the year across
our regions and we remain comfortable with full year market expectations.
£m H1 FY25 H1 FY24 Change Constant Currency Change
Revenue
US 62.4 60.3 4% 6%
UK 48.1 50.9 (6%)
Europe Fever-Tree brand revenue 44.0 44.5 (1%) 0%
ROW 16.5 14.9 10% 17%
Total Adjusted Fever-Tree Revenue 171.0 170.6 0% 2%
GDP brand revenue 1.2 2.3 (47%)
Total Adjusted Revenue 1 172.2 172.9 0% 2%
Adjusted EBITDA 2 18.4 18.2 1%
Adjusted EBITDA margin 3 10.7% 10.5% 20bps
Diluted EPS (pence per share) 6.82 6.49 5%
Normalised EPS (pence per share) 10.45 9.04 16%
Ordinary Dividend (pence per share) 5.97 5.85 2%
Cash 130.0 65.9 97%
Financial Highlights
· The Fever-Tree brand delivered revenue growth of 2% year-on-year at
constant currency.
· Adjusted EBITDA up 1% to £18.4 million with margins increasing by
20bps to 10.7%.
· Fever-Tree recognised £4.1 million in exceptional items in the
period relating to the transition to the Molson Coors partnership.
· The combination of strong cash flow and transaction inflows from
Molson Coors have significantly enhanced the Group's cash position to £130.0
million, an increase of 97%.
· Declaring an interim dividend of 5.97 pence per share, an increase of
2% year-on-year.
Strategic Highlights
· Underlying Fever-Tree brand momentum in the US has remained strong
through the initial period of the Molson Coors transition with retail sales
growth outpacing the market across every sub-category.
· Fever-Tree remains the clear number one mixer brand by value across
both the On and Off-trade channels in the UK, with beyond tonic products
performing strongly and now representing 30% of UK sales. While wider category
headwinds resulted in a subdued performance across the On-Trade, the Off-Trade
performance was robust, with significant growth in Premium Soft Drinks,
Cocktail Mixers and Sodas.
· Ginger Beer delivered very strong growth across Europe with
Fever-Tree the clear brand leader as the drink becomes increasingly relevant
across both alcohol and non-alcoholic occasions.
Outlook and Guidance
The Group has made a good start to the second half of the year across our
regions and we remain comfortable with full year market expectations.
Tim Warrillow, CEO and Co-founder of Fever-Tree, commented:
"The announcement, in January, of our strategic partnership with Molson Coors
was a moment of real significance for Fever-Tree, establishing the ideal
platform to maximise our brand strength and future potential in what is our
biggest growth opportunity. The transition of the business to Molson Coors is
progressing well and despite the complexity of such a transition, it has been
particularly encouraging to see the underlying US momentum has been
maintained, a real testament to the hard work of both teams as well as the
strength of the Fever-Tree brand.
In the UK, the wider On-Trade category continues to face challenges, but our
Off-Trade performance has remained robust. Importantly, more than half of the
3.6 million UK households that buy Fever-Tree are now also purchasing products
from our broader portfolio such as our Ginger Beer or premium soft drinks, a
clear sign that our diversification strategy is resonating with consumers and
broadening the occasions in which our brand is enjoyed.
And it is not just the UK, the brand's strength, leadership position and
relevance across adult socialising occasions continue to grow across markets,
with the broader portfolio delivering strong growth across multiple categories
and territories and now representing 45% of Global revenues.
It is this ability to straddle adult socialising occasions that makes
Fever-Tree unique, spanning alcohol & non-alcoholic serves, from classic
G&Ts, to spritz and cocktail moments to premium soft drinks. This breadth
puts us at the heart of the underlying consumer trends that are shaping the
market, namely a longstanding move to longer and lighter drinks, moderation
and premiumisation. This gives us broader relevance, deeper loyalty and the
opportunity to drive greater frequency with consumers.
Together with the operational progress we are making and the strong
performance we have seen over the summer months, we are well placed for both
the second half of the year and to capture the long-term opportunities ahead."
There will be live audio webcast on Thursday 11(th) September 2025 at 10:00am
BST. The webcast can be accessed via: Fever-Tree FY25 Interim Results webcast
(https://www.investis-live.com/fever-tree/6895fbc35b66bb002aaeadef/cdws)
For more information please contact:
Investor queries
Steve Nightingale, Investor Relations Director (Interim) I
steve.nightingale@fever-tree.com (mailto:steve.nightingale@fever-tree.com) I
+44 (0)7951 849 564
Media queries
Oliver Winters, Director of Communications I oliver.winters@fever-tree.com
(mailto:oliver.winters@fever-tree.com) I +44 (0)770 332 9024
Nominated Advisor and Broker - Investec Bank plc
David Flin I +44 (0)20 7597 5970
Corporate Broker - Jefferies International Limited
Richard Taylor I Ed Matthews I +44 (0)20 7029 8000
Financial PR advisers - FGS Global
Faeth Birch +44 (0)7768 943 171; Anjali Unnikrishnan +44 (0) 7826 534 233
Business Review
£m H1 FY25 H1 FY24 Constant currency change
Revenue
US 62.4 60.3 6%
UK 48.1 50.9 (6%)
Europe Fever-Tree brand revenue 44.0 44.5 0%
ROW 16.5 14.9 17%
Total Adjusted Fever-Tree Brand Revenue 171.0 170.6 2%
GDP brand revenue 1.2 2.3 (47%)
Total Adjusted Revenue 172.2 172.9 2%
The Group delivered Adjusted Fever-Tree Brand Revenue of £171.0 million in
H1, representing 2% growth at constant currency, reinforcing Fever-Tree's
position as the world's leading premium mixer brand. Despite the complexity of
the transition to Molson Coors in the US, the brand saw strong underlying
momentum in the region and also continued to gain share across Europe and the
Rest of the World. This balanced a more subdued performance in the UK, where
wider challenges in the On-Trade offset a solid performance in the Off-Trade,
supported by the strong growth of the broader portfolio and our position as
the clear market leader.
Diversification beyond Tonic remains a key strategic driver, with the broader
portfolio delivering a 16% 3-year CAGR, and now represents 45% of Group
revenues.
US I Transition on track with positive underlying growth of the Fever-Tree brand
On 30(th) January we announced a strategic partnership which provides Molson
Coors with the exclusive sales, distribution and production rights for the
Fever-Tree brand in the US, for an agreed period. Under the agreement
Fever-Tree retains full control of brand identity, vision and the development
of new products for the US market. As we highlighted at the time, the two
organisations share a clear vision, belief and commitment to driving
Fever-Tree's opportunity across alcohol and non-alcoholic occasions and
establishes Fever-Tree as an important contributor to Molson Coors' Beyond
Beer ambitions.
The months since the announcement have been focused on ensuring a smooth
transition of the US business to Molson Coors. The transfer of Fever-Tree into
around 400 regional distributors across Molson Coors' extensive national
network commenced in June as planned. We are now in the process of moving
relevant retail customers into the network and expect this to be completed
over the short term. This marks a significant step change in scale and
provides access to deeper customer relationships, enhanced merchandising
capabilities, and greater supply chain reach.
Former Fever-Tree US employees have now been integrated into the Molson Coors
non-alc division, whilst we have retained a small team to manage the
partnership locally in the US.
Underlying brand momentum remained strong through the initial period of
transition, with Fever-Tree's US revenue increasing by 6% at constant currency
in the first half, with continued growth across the On-Trade and retail, as
the brand extended its leadership in both Tonic Water and Ginger Beer, with
value share gains of 2.0 and 3.2 percentage points respectively 4 . Retail
sales growth outpaced the category, with the "core four" mixers (Tonic, Ginger
Beer, Ginger Ale and Club Soda), growing by 16%, more than five times the
total category.
Our integration efforts remain ongoing as planned and we remain excited about
the opportunity ahead and as we move into 2026 we look forward to ramping up
the incremental marketing fund to drive further brand and category awareness.
UK I Fever-Tree's brand strength continues to drive growth outside of Tonics
Fever-Tree's revenue in the UK declined by 6% in the first half, reflecting
the continued challenges across the wider On-Trade channel and broader Gin
category declines. Despite this backdrop, Fever-Tree remains the largest
mixer brand by value in both channels, more than 1.5x the size of its nearest
mainstream competitor and over 7x larger than the next premium brand.
In the Off-Trade, the brand delivered a robust performance, maintaining its
overall leadership position with significant growth in our premium soft
drinks, Cocktail Mixers and Sodas. More than half of the 3.6 million UK
households that buy Fever-Tree are now buying into our broader portfolio,
reflecting a successful product diversification strategy delivered over recent
years whilst highlighting the opportunity ahead to deepen engagement and grow
volumes further across our existing consumer base.
The UK On-Trade continues to face a challenging backdrop, with higher duty,
wages and business rates driving pricing pressure which is disproportionately
impacting the spirit and mixer categories. While these headwinds have
continued to impact the rate of sale of the Group's Tonic products in the
On-Trade, we are working hard with our customers on tailored initiatives to
help mitigate some of these pressures.
Beyond tonic our broader portfolio has grown at a 13% CAGR over the past three
years and now represents around 30% of UK sales, underlining the success of
our innovation and product diversification strategy as we have broadened the
brand's relevance across ever more adult socialising occasions. The first
half saw further progress with launches in alcohol and non-alcoholic RTDs
whilst the success of our premium soft drink portfolio highlights Fever-Tree's
ability to grow share and strengthen the brand's unique position spanning
alcohol and non-alcoholic occasions.
Europe I Strong brand performance driving continued share gains
Fever-Tree's sales in Europe were flat year-on-year at constant currency
reflecting the phasing of distributor orders. However, underlying depletions
growth was stronger at 2%, with good momentum in France, Belgium and Denmark
offset by continued weakness in Germany.
In the Off-Trade, Fever-Tree continued to outperform the mixer category,
delivering 9% value growth versus 1% for the total market, and remains the
clear leader in premium mixers with 68% value share. 5
Ginger Beer remains the standout growth driver, with value up 26% year-on-year
as the drink becomes increasingly relevant across both alcohol and
non-alcoholic occasions, significantly outpacing the competition and
establishing Fever-Tree as the clear category leader.
RoW I Good growth despite lapping strong comparators
The Group increased sales in the Rest of the World by 10% (17% at constant
currency), whilst underlying depletions growth was 8%, with good performances
across key markets.
In Australia, Fever-Tree grew well ahead of the mixer category at retail, with
total mixers up 12% year-on-year despite the category declining by mid-single
digits 6 . Growth was driven by our soda range and Ginger Beer, which is
primarily consumed as a premium soft drink in this market.
To support further growth, local production commenced in Australia earlier
this year, a transition that is progressing to plan and will significantly
reduce costs and lead times in serving the market.
In Canada, sales were resilient in the face of a challenging consumer
environment and we have continued to build our presence with new listings and
the launch of new can formats and a range of cocktail mixers.
Sustainability Update
In the first half of the year we made good progress across our sustainability
agenda, most notably with our science-based targets formally validated by the
SBTi. This validation is a rigorous, independent endorsement of our climate
strategy and ensures our targets are aligned with the latest climate science.
Alongside this milestone, we advanced initiatives in packaging circularity,
conservation, and colleague engagement, reinforcing our commitment to
delivering long-term sustainable growth.
Financial review
£m H1 FY25 H1 FY24 Change
Adjusted Fever-Tree Brand Revenue 171.0 170.6 2% constant currency
Adjusted Revenue 172.2 172.9 2% constant currency
Adjusted EBITDA 18.4 18.2 1%
Adjusted EBITDA margin* 10.7% 10.5% 20bps
Operating profit before exceptionals 12.0 12.2 (1%)
Profit before tax 11.2 13.2 (15%)
Normalised EPS 10.45p 9.04p 16%
Cash 130.0 65.9 97%
*Adjusted EBITDA divided into Adjusted Revenue
The Group has made positive strategic and operational progress in the first
half of the year. We remain the clear global premium mixer leader and we are
delivering strong growth in our broader portfolio as we continue to diversify
the business and benefit from the innovation launched in recent years.
The strategic partnership with Molson Coors in the US will allow the Group to
leverage the expertise, scale and total beverage ambition of Molson Coors to
deliver against an ever-broadening opportunity for Fever-Tree in our key
growth market. Good initial progress has been made with the transition of
the US business, and both parties will continue to work over the remainder of
2025 to establish a strong platform for long-term success in the US.
We are confident that improvements in our global supply chain capability,
procurement processes and operating business models are combining to forge a
stronger, more resilient operating platform for the Group. These
improvements, alongside the prospective onshoring of US production by Molson
Coors over the medium term, means that the Group is increasingly well placed
to mitigate the on-going challenges of macroeconomic and geopolitical
volatility, including the impact of US tariffs. This will not only allow for
margin recovery over time but ensure that the Group is best placed to
capitalise on the global potential of the brand in years to come.
Underlying working capital improvements, alongside inflows following the issue
of equity and sale of Fevertree USA Inc to Molson Coors, have delivered a
strong increase in cash. The £100 million share buyback programme announced
earlier this year is progressing well and is expected to run until the end of
2025 and we are extending the programme by a further £30 million to continue
in 2026.
Changes in P&L presentation
Under the licence agreement with Molson Coors, the US partnership's P&L
sits within Molson Coors' financials, with Fever-Tree recognising a share of
the partnership's profits via a royalty fee invoiced to Molson Coors.
This represents a significant change in the way in which US revenues and costs
are recognised in Fever-Tree's financial statements, which consequently
impacts consolidated Group revenue growth and profit margin percentages in our
statutory reported financials. In particular, gross margin per the statutory
reported financials is no longer a comparable metric with historic Fever-Tree
reporting due to the impact of consolidating Fever-Tree's US gross margin
generated under the licence arrangement, which consists of a combination of
royalty income and sale of finished goods and ingredients to Molson Coors at
cost.
As we flagged on announcement of the partnership, we will provide the
following reconciliations going forward that will allow us to focus reporting
on revenue and EBITDA margins on a basis consistent with historic
reporting.
1. Reconciliation of statutory reported revenue to Adjusted Revenue
Statutory reported revenue for the US in the first half of the year consists
of a combination of January trading under the previous subsidiary model, five
months of royalty fees earned under the partnership arrangement and five
months of revenue from UK-produced finished goods and ingredients for US
production invoiced at cost to Molson Coors.
Going forward, we will adjust statutory reported US revenue to US revenue as
invoiced to US customers by Molson Coors under the partnership. This will
provide a view of US revenue on a basis that is both consistent with historic
Fever-Tree US revenue reporting and with how revenue is reported for the rest
of the Group. Adjusted EBITDA can then be divided into Adjusted Revenue to
provide a consistent basis on which to assess Fever-Tree margin progression.
The table below provides a reconciliation from the statutory reported US
revenue back to a full six months of Adjusted Revenue, being January sales to
US customers and distributors under the previous subsidiary model and February
to June sales to US customers and distributors as reported by Molson Coors
under the partnership model.
£m Reported Group Revenue H1 2025 US Adj Adjusted Revenue Group Revenue
H1 2025 H1 2024
US 34.5 27.9 62.4 60.3
Rest of Group:
UK 48.1 48.1 50.9
Europe 45.2 45.2 46.8
Rest of World 16.5 16.5 14.9
Total Rest of Group 109.8 109.8 112.6
Total Group 144.3 27.9 172.2 172.9
2. Segmental analysis
Under the Molson Coors partnership and associated licence agreement, the US
now represents a distinct operating segment from the rest of Fever-Tree's
global business.
As such, going forward we will provide a segmental analysis of profitability
with two regional segments and a separate disclosure of central costs:
· US segment
· This represents the profits directly attributable to our US
subsidiary in January alongside five months of royalty fee income from Molson
Coors (representing Fever-Tree's share of the partnership P&L), less any
other directly attributable costs, largely relating to our small local US
Fever-Tree team and local office costs.
· Rest of Group segment
· This represents profits directly attributable to our UK, European and
RoW regions, including gross profit from sales in those regions, marketing
spend, sales and marketing staff costs, and local subsidiary costs in the
instance of Germany and Australia.
· Central
· This represents central salary costs including Board and senior
management, innovation, central finance, operations and corporate teams and
central overheads, including IT, insurances, HQ costs and listed company
costs.
£m Adjusted revenue Adjusted EBITDA Adjusted EBITDA %
H1 FY25
US 62.4 5.0 8.1%
Rest of Group 109.8 26.2 23.8%
Total Segments 172.2 31.2 18.1%
Central (12.8) (7.4%)
Total Group 172.2 18.4 10.7%
H1 FY24
US 60.3 8.9 14.8%
Rest of Group 112.6 20.7 18.4%
Total Segments 172.9 29.6 17.2%
Central (11.4) (6.7%)
Total Group 172.9 18.2 10.5%
The US, rest of Group and central costs combined to deliver a marginal
increase in Adjusted EBITDA to £18.4 million (H1 2024: £18.2 million).
US segment
The US segment delivered Adjusted EBITDA of £5.0 million at a margin of 8.1%
(H1 2024: 14.8%). The reduction in Adjusted EBITDA margin year on year
reflects transition inefficiencies (which will be on-going in the second
half), alongside the impact of sharing US profits with Molson Coors under the
partnership arrangement.
Fever-Tree wound down the larger of our US local bottling arrangements ahead
of entering the partnership and as a result the majority of product for the US
is currently being produced in the UK. Whilst this has exposed the
partnership P&L to a tariff impact, we are jointly working hard to
mitigate this impact ahead of the prospective onshoring of US production in
the medium term.
The new distribution network will provide the platform for an increase in US
marketing investment over the initial years of the partnership, to support
brand momentum and reflecting both parties shared confidence in the
significant US opportunity ahead. Alongside this, Molson Coors bring
operational capabilities and economies of scale that will unlock significant
incremental US profitability over the medium term, most notably through the
onshoring of US production.
Rest of Group segment
Despite revenue headwinds, most notably in the UK On-Trade, the Rest of Group
segment delivered a strong uplift in Adjusted EBITDA to £26.2 million at a
margin of 23.8% (H1 2024: 18.4%).
This improvement reflects the cycling of an inventory revaluation adjustment
in the first half of 2024, but is also illustrative of on-going underlying
operational improvements, offset by an increase in marketing spend across
regions.
In line with accounting practice the full year c. £1.5 million impact of the
UK Extended Producer Responsibility (EPR) levy 7 , which corresponds to
products sold in the Off-Trade, has been accrued for in our half year
numbers. We believe that the glass formats that we sell into the On-Trade
should be classified as non-household packaging for EPR purposes and therefore
be exempt from the levy. While this is in-line with the position taken by the
UK government in relation to other packaging regulations, the Environment
Agency have challenged this view. We consider that we have complied with our
obligations to date and as such we have not provided for this cost, however,
were the Group to be required to pay the levy in respect of On-Trade sales we
would anticipate a further c. £3 million impact to our P&L this year.
Central
The increase in central costs was driven by incremental staff costs as well as
overhead phasing impacts. We are focused on delivering consistent reductions
in central cost as a percentage of Adjusted Revenue going forward, as we
leverage the technology investments and improvements in operational processes
we have made in recent years.
Other operating expenditure
Depreciation charges reduced to £1.9 million (H1 2024: £3.2 million),
reflecting the transfer to Molson Coors of US warehousing arrangements
previously accounted for under IFRS 16, with amortisation increasing to £1.8
million (H1 2024: £1.0 million) reflecting the amortisation of the global
operations technology programme. Meanwhile, share-based payments increased to
£2.7 million (H1 2024: £1.8 million) in line with expectations.
Following these movements, the Group delivered operating profit before
exceptional items of £12.0 million, broadly flat with the prior year (H1
2024: £12.2 million).
The Group recognised exceptional items of £4.1 million in the first half (H1
2024: £nil). These related to the transition to the Molson Coors
partnership, reflecting final costs in relation to the winding down of the
historic primary US bottling relationship, restructuring and redundancy costs
of any Fever-Tree USA staff who were not transferred to Molson Coors
(including local US finance and operations teams) and advisory fees incurred
in relation to the transaction.
Tax
The effective tax rate in the first half of 2025 was 25.0% (H1 2024: 42%) and
was in line with expectations.
Earnings per share
The basic earnings per share for the period are 6.85 pence (H1 2024: 6.51
pence) and the diluted earnings per share for the period are 6.82 pence (H1
2024: 6.49 pence), an increase of 5%.
In order to compare earnings per share period on period, earnings have been
adjusted to exclude amortisation, exceptional items and the UK statutory tax
rates have been applied (disregarding other tax adjusting items). On this
basis, normalised basic earnings per share for the first half of 2025 are
10.45 pence (H1 2024: 9.04 pence), an increase of 16%.
Molson Coors transaction
As part of the long-term strategic partnership, Molson Coors acquired an 8.5%
stake in Fevertree Drinks plc (post-issue) for consideration of £71.0
million. To assist with the transition of operations, Molson Coors acquired
the local trading entity Fevertree USA Inc for consideration of $23.9 million
in cash.
Balance sheet and working capital
Working capital has reduced year-on-year by 36% to £61.4 million (H1 2024:
£96.3 million), at 16.7% of the last twelve months' Adjusted Revenue (H1
2024: 26.7%). Whilst the Group's working capital profile can vary at half
year, reflecting differences in phasing of revenue over the summer trading
period, this on-going improvement in working capital profile reflects the
delivery of underlying efficiencies in the Group's working capital
management.
Alongside this, the reduction in working capital in the first half reflects
the fact that US finished goods inventory and trade receivables now sit with
Molson Coors under the partnership arrangement. Going forward, the Group's
working capital requirements relating to the US have reduced significantly and
consist of UK produced inventory in-transit to the US alongside amounts
receivable from Molson Coors in relation to delivered inventory and any
outstanding royalty fees.
The initial transfer of US working capital to Molson Coors was achieved via
the sale of Fevertree USA Inc. Whilst that transfer has contributed to a
strong uplift in the Group's overall cash position, it is not reflected within
the calculation of cash generated from operations, which at £12.1 million (H1
2024: £25.4 million), and 66% of Adjusted EBITDA (H1 2024: 140%) does not
fully reflect the improvement in the Group's working capital profile.
We remain confident of continuing to drive underlying working capital
improvements and operating cash generation in the second half of the year. As
US production is on-shored over the medium term, the Group's US working
capital, which largely now relates to UK-produced inventory in transit to the
US, will further reduce, underpinning our confidence in the Group's ability to
drive further working capital improvements and strong operating cash flow
conversion going forward.
Cash and Dividend
The combination of operating cash flow and transaction inflows received from
Molson Coors have significantly improved the Group's cash position to £130.0
million, an increase of 97% (H1 2024: £65.9 million), which has also
contributed to a 170% increase in finance income generated in the first half
of 2025.
The Directors are pleased to declare an interim dividend of 5.97 pence per
share, 2% ahead of the 2024 interim dividend. The dividend will be paid on 17
October 2025, to shareholders on the register on 26 September 2025.
Going forward, the local working capital and marketing investment required to
drive the US opportunity will be funded by Molson Coors under the partnership
arrangement. This will drive a positive cycle, where US revenue growth
supports Group cash generation, and as such, we are confident of delivering
operating cash flow ahead of Adjusted EBITDA over the medium term. Whilst we
will ensure we retain sufficient funds to fuel growth opportunities across the
rest of the Group, excess cash generated by our asset-light, cash compounding
business model can be returned to shareholders
The Group initiated an initial £71 million share buyback programme in
February 2025 which was subsequently extended by a further £29 million to
£100 million in total. As at the half year, a total of 6,776,859 shares
have been bought back at a cost of £53.6 million at an average price of
£7.91 (of which £49.8 million has been settled in cash as at 30 June
2025). We expect the £100 million tranche of the buyback to run until the
end of 2025, and as a reflection of continued confidence in the financial
strength of the Group and further improved prospects for cash flow generation
resulting from the strategic partnership with Molson Coors we are extending
the buyback programme by a further £30 million to run in 2026.
Consolidated Statement of Comprehensive Income
For the six months ended 30 June 2025
Notes Unaudited 6 months to 30 June 2025 Unaudited 6 months to 30 June 2024 Audited year to 31 December 2024
£m £m £m
Revenue 2 144.3 172.9 368.5
Cost of sales (89.8) (110.9) (230.1)
Gross profit 54.5 62.0 138.4
Administrative expenses (42.5) (49.8) (105.6)
Adjusted EBITDA 1 18.4 18.2 50.7
Depreciation (1.9) (3.2) (6.5)
Amortisation (1.8) (1.0) (3.1)
Share based payment charges (2.7) (1.8) (3.3)
Operating profit before exceptional items 12.0 12.2 37.8
Exceptional items 6 (4.1) - (5.0)
Operating profit 7.9 12.2 32.8
Finance costs
Finance income 3.4 1.3 3.3
Finance expense (0.1) (0.3) (0.6)
Profit before tax 11.2 13.2 35.5
Tax expense (2.8) (5.6) (11.1)
Profit for the period / year 8.4 7.6 24.4
Items that may be reclassified to profit or loss
Foreign currency translation difference of foreign operations 1.9 (0.6) 0.6
Effective portion of cash flow hedges - (0.1) 0.3
Related tax - - -
Total other comprehensive income / expense 1.9 (0.7) 0.9
Total comprehensive income for the period / year 10.3 6.9 25.3
Earnings per share
Basic (pence) 4 6.85 6.51 20.90
Diluted (pence) 4 6.82 6.49 20.85
Consolidated Statement of Financial Position
As at 30 June 2025
Unaudited Unaudited Audited
30 June 2025 30 June 2024 31 December 2024
£m £m £m
Non-current assets
Property, plant & equipment 8.8 22.6 20.9
Intangible assets 64.0 60.1 65.7
Deferred tax asset 2.1 1.8 0.5
Other non-current assets 4.4 4.0 4.1
Total non-current assets 79.3 88.5 91.2
Current assets
Inventories 44.2 59.9 45.8
Trade and other receivables 71.8 81.7 86.1
Derivative financial instruments - - 0.4
Corporation tax asset 2.1 0.8 2.4
Cash and cash equivalents 130.0 65.9 96.0
Total current assets 248.1 208.3 230.7
Total assets 327.4 296.8 321.9
Current liabilities
Trade and other payables (54.6) (45.3) (57.0)
Derivative financial instruments (1.0) (0.7) (0.2)
Corporation tax liability (0.1) (1.2) (0.7)
Lease liabilities (0.2) (3.5) (3.6)
Total current liabilities (55.9) (50.7) (61.5)
Non-current liabilities
Other payables - Long term (0.5) - (0.5)
Deferred tax liability (2.7) (3.0) (4.7)
Lease liabilities - Long term (6.2) (10.1) (8.5)
Total non-current liabilities (9.4) (13.1) (13.7)
Total liabilities (65.3) (63.8) (75.2)
Net assets 262.1 233.0 246.7
Equity attributable to equity holders of the company
Share capital 0.3 0.3 0.3
Share premium 125.8 54.8 54.8
Capital redemption reserve 0.1 0.1 0.1
Cash flow hedge reserve (0.1) (0.1) 0.1
Translation reserve (0.2) (2.1) 0.3
Retained earnings 136.2 180.0 191.1
Total equity 262.1 233.0 246.7
Consolidated Statement of Cash Flows
For the six months ended 30 June 2025
Unaudited Unaudited Audited
6 months to 6 months to year to
30 June 2025 30 June 2024 31 December 2024
£m £m £m
Operating activities
Profit before tax 11.2 13.2 35.5
Finance expense 0.1 0.3 0.6
Finance income (3.4) (1.3) (3.3)
Depreciation of property, plant & equipment 1.9 3.2 6.5
Amortisation of intangible assets 1.8 1.0 3.1
Share based payments 2.7 1.8 3.3
Non-cash movements on working capital (0.2) 1.5 -
Decrease in impairment losses on receivables and inventories net of recoveries (3.3) - (1.0)
Net exchange difference (2.2) - 0.6
8.6 19.7 45.3
(Increase)/Decrease in trade and other receivables (9.7) 12.1 5.0
(Increase)/Decrease in inventories (18.8) 6.4 23.4
Increase/(Decrease) in trade and other payables 31.6 (14.2) 1.7
Decrease in derivative asset/liability 0.4 1.4 0.5
3.5 5.7 30.6
Cash generated from operations 12.1 25.4 75.9
Income taxes paid (2.9) (1.2) (5.7)
Net cash flows from operating activities 9.2 24.2 70.2
Investing activities
Purchase of property, plant and equipment (0.5) (2.1) (3.3)
Investment in intangible assets (1.2) (3.0) (10.8)
Interest received 3.2 1.3 3.3
Issue of other financial assets (1.0) - -
Net proceeds from sale of subsidiary 18.0 - -
Net cash from/(used in) investing activities 18.5 (3.8) (10.8)
Financing activities
Interest paid - - (0.1)
Dividends paid (13.7) (12.7) (19.6)
Payment of lease liabilities (0.7) (1.9) (3.9)
Shares issued 71.0 - -
Share buy back program (49.8) - -
Net cash from/(used in) financing activities 6.8 (14.6) (23.6)
Net increase in cash and cash equivalents 34.5 5.8 35.8
Cash and cash equivalents at beginning of period 96.0 59.9 59.9
Effect of movement in exchange rates on cash held (0.5) 0.2 0.3
Cash and cash equivalents at end of period 130.0 65.9 96.0
Notes to the Consolidated Financial Information
For the six months ended 30 June 2025
1. Basis of preparation and accounting policies
The principal accounting policies adopted in the preparation of the interim
financial information are unchanged from those applied in the Group's
financial statements for the year ended 31 December 2024 which had been
prepared in accordance with International Accounting Standards in conformity
with the requirements of the Companies Act 2006. The accounting policies
applied herein are consistent with those expected to be applied in the
financial statements for the year ended 31 December 2025.
This report is not prepared in accordance with IAS 34. The financial
information does not constitute statutory accounts within the meaning of
section 435 of the Companies Act 2006. Statutory accounts for Fevertree Drinks
plc for the year ended 31 December 2024 have been delivered to the Registrar
of Companies. The auditor's report on those accounts was unqualified, did not
draw attention to any matters by way of emphasis and did not contain a
statement under Section 498 (2) or (3) of the Companies Act 2006.
Adjusted EBITDA has been used throughout the interim financial information.
The Group believes Adjusted EBITDA to be a key indicator of underlying
operational performance, adjusting operating profit for exceptional items and
several non-cash items. As a consequence of these adjustments, the Group
believes that Adjusted EBITDA represents normalised operating profits.
Adjusted EBITDA for the period is operating profit of £12.0m before
depreciation of £1.9m, amortisation of £1.8m, share based payment charges of
£2.7m and exceptional items of £4.1m. Adjusted EBITDA is an appropriate
measure since it represents to users a normalised, comparable operating
profit, excluding the effects of the accounting estimates, exceptional items
and non-cash items mentioned above. The definition for Adjusted EBITDA as
defined above is consistent with the definition applied in previous years.
This measure is not defined in the International Financial Reporting
Standards. Since this is an indicator specific to the Group's operational
structure, it may not be comparable to adjusted metrics used by other
companies. Adjusted EBITDA is not intended to be a substitute for metrics
determined in accordance with International Financial Reporting Standards.
On-going macroeconomic and geopolitical volatility have been reflected in the
Directors' assessment of the going concern basis of preparation. This has been
considered by modelling the impact on the Group's cashflow for the period to
the end of December 2027. In completing this exercise, the Directors
established there were no plausible scenarios that would result in the Group
no longer continuing as a going concern.
The Directors have concluded that the Group has adequate resources to continue
in operational existence for at least the 12 months following the publication
of the interim financial statements, that it is appropriate to continue to
adopt the going concern basis of preparation in the financial statements, that
there is not a material uncertainty in relation to going concern and that
there is no significant judgement involved in making that assessment.
Notes to the Consolidated Financial Information (continued)
For the six months ended 30 June 2025
2. Revenue by region
Unaudited 6 months to 30 June 2025 Unaudited 6 months to 30 June 2024 Audited year to 31 December 2024
£m £m £m
United Kingdom 48.1 50.9 111.1
United States of America 34.5 60.3 128.0
Europe 45.2 46.8 97.2
Rest of the World 16.5 14.9 32.2
Group 144.3 172.9 368.5
3. Dividend
The interim dividend of 5.97 pence per share will be paid on 17(th) October
2025 to shareholders on the register on 26(th) September 2025.
4. Earnings per share
Unaudited 6 months to 30 June 2025 Unaudited 6 months to 30 June 2024 Audited year to 31 December 2024
£m £m £m
Profit
Profit used to calculate basic and diluted EPS 8.4 7.6 24.4
Number of shares
Weighted average number of shares for the purpose of basic earnings per share 122,899,698 116,727,468 116,726,190
Weighted average number of employee share options outstanding 400,507 297,133 289,183
Weighted average number of shares for the purpose of diluted earnings per 123,300,206 117,024,601 117,015,373
share
Basic earnings per share (pence) 6.85 6.51 20.90
Diluted earnings per share (pence) 6.82 6.49 20.85
Normalised EPS Unaudited 6 months to 30 June 2025 Unaudited 6 months to 30 June 2024 Audited year to 31 December 2024
£m £m £m
Profit
Reported profit before tax 11.2 13.2 35.5
Add back:
Amortisation 1.8 1.0 3.1
Exceptional items 4.1 - 5.0
Adjusted profit before tax 17.1 14.2 43.6
Tax - assume standard rate (25%)* (4.3) (3.6) (10.9)
Normalised earnings 12.8 10.6 32.7
Number of shares 122,899,698 116,727,468 116,726,190
Normalised earnings per share (pence) 10.45 9.04 28.01
Normalised EPS is an APM in which earnings have been adjusted to exclude
amortisation and exceptional items. The UK statutory tax rates in force at the
interim financial statements date have been applied. This has been provided to
assist users in comparing performance period to period, without the impact of
amortisation and exceptional items. As this is an APM, this may not be
comparable to other companies.
*The comparative tax charge for 30 June 2024, has been restated using a
standard rate of 25%. This results in tax being restated to £3.6m for the 6
months to 30 June 2024 (previously reported for the 6 months ended 30 June
2024: £5.6m), normalised earnings being restated to £10.6m for the 6 months
to 30 June 2024 (previously reported for the 6 months ended 30 June 2024:
£8.6m) and normalised earnings per share being restated to 9.04 pence for
the 6 months to 30 June 2024 (previously reported for the 6 months ended 30
June 2024: 7.37 pence). This is consistent with how this was treated for
the year ended 31 December 2024.
5. Share buy back
The Group initiated an initial £71m share buyback program in February 2025,
this was subsequently extended by £29m to a total of £100m. The maximum
price paid per common share was no more than the higher of an amount equal
to 105% of the average middle market quotations for an Ordinary Share as
derived from the London Stock Exchange Daily Official List for the 5 business
days immediately preceding the day on which the Ordinary Share is contracted
to be purchased or the higher of the price of the last independent trade and
the highest current independent bid on the trading venue where the purchase is
carried out. As of 30 June, 6,776,859 shares were repurchased for total
consideration of £53.6m (of which £49.8m has been settled in cash as at 30
June 2025). The Group estimates that the £100m tranche of the buyback to run
until the end of 2025, and as a reflection of continued confidence in the
financial strength of the Group we are extending the buyback programme by a
further £30m to run in 2026.
6. Exceptional Items
The Group recognised exceptional items of £4.1m in the first half (H1 2024:
£nil). These related to the transition to the Molson Coors partnership,
reflecting final costs in relation to the winding down of the historic primary
US bottling relationship, restructuring and redundancy costs of any Fever-Tree
USA staff who were not transferred to Molson Coors (including local US finance
and operations teams) and advisory fees incurred in relation to the
transaction.
1 Adjusted Revenue is statutory reported revenue adjusted to bring US revenue
in line with invoiced sales to customers
2 Adjusted EBITDA is earnings before interest, tax, depreciation,
amortisation, share based payment charges, exceptional items and finance costs
3 Adjusted EBITDA margin is Adjusted EBITDA divided into Adjusted revenue
For further detail refer to the 'Changes in P&L Presentation' section
4 Nielsen 26 weeks to 15 June 2025
5 2025 Nielsen top 12 EU markets
6 Australian grocery scanner data 6 months to 29 Jun 2025
7 Extended Producer Responsibility (EPR) Regulations - These are new
regulations which introduce waste disposal fees for larger producers, based on
packaging volumes placed on the UK market, to pay the costs of dealing with
household packaging waste. The first assessment year commenced on 1 April
2025.
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