IT transformation supports growth at Britvic

Soft drinks firm reports buoyant results and expects savings from technology-driven projects

Britvic's full year sales are expected to reach £1bn for the first time

Soft drinks maker Britvic says its latest financial results are set to beat market expectations thanks to an IT-driven business transformation programme.

Britvic’s performance in the third quarter prompted the early release of a trading update, which raises hopes for yearly sales topping £1bn for the first time in its history.

One of the highlights of the report is the group-wide replacement of all major IT systems, as well as a re-engineering of key business processes.

The transformation plan is running in the UK alongside work at its Ireland subsidiary – acquired in 2007 – and includes areas such as IT, supply chain, innovation, and transaction processing functions.

Through initiatives such as an SAP rollout, the Irish operation intends to generate €27m in savings by 2011. The plan also foresees cost savings in production, distribution and procurement, as well as a strategic business review that will result in the elimination of about 145 jobs.

“This will deliver real value in the long-term while we ride out the current, very challenging macro-economic environment,” the firm said in a statement released today.

Net sales at Britvic totalled £249m for the 12 weeks to 5 July, with sales also rising by six per cent to £732m for the firm’s first fiscal nine months.