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Fevertree Drinks PLC on Thursday reported it has made ‘good progress’ in the US with its Molson Coors partnership and said it expects to meet full-year growth forecasts, in a statement ahead of its annual general meeting. The London-based manufacturer of premium drink mixers said trading is in line with expectations, and that it remains comfortable with meeting a market consensus for low single-digit revenue growth in 2025 at constant currency. Fevertree also anticipates meeting expectations for an around 12% adjusted earnings before interest, tax, depreciation and amortisation margin for 2025. ‘We have made good progress since the announcement of our strategic partnership with Molson Coors,’ said Fevertree. ‘Whilst we are currently working through the key months of transition into Molson Coors’ distribution network, it is proceeding as expected so far and we are confident the brand will benefit from Molson Coors’ scale, including its deep customer relationships, merchandising capabilities, and extensive supply chain network in the coming years.’ The company noted that US tariffs do not present a structural headwind for the business, as ‘over time, they will be materially mitigated by a combination of on-shored US production and the profit guarantee mechanism’. Following the transition of the Fevertree USA team to Molson Coors, the group’s North America Chief Executive Officer Charles Gibb will step down. Gibb will be succeeded by US Chief Commercial Officer Judd Hausner, who has been with the Fevertree USA business since its establishment in 2018. Fevertree added that it has returned around £42.5 million to shareholders as of May 30, as part of its ongoing share buyback. The programme was launched in February for £71 million, and was then extended by a further £29 million in March. The firm’s capital allocation framework remains unchanged. ‘We intend to retain sufficient cash for investment opportunities, primarily in operational expenditure, including increased marketing spend in growth regions. We are also vigilant regarding [mergers & acquisitions] opportunities that would further assist with the delivery of our strategy,’ said Fevertree. ‘Beyond this, where the board considers there to be surplus cash held on the balance sheet as a result of the excess cash generated by our asset-light, cash compounding business model, this can be returned to shareholders.’ Shares in Fevertree Drinks were up 0.6% at 889.34 pence each in London on Thursday afternoon. The stock is down 18% over the past year. Copyright 2025 Alliance News Ltd. All Rights Reserved.
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