Cadbury reports strong performance - Company News - Cadbury Schweppes PLC profit information - Brief Article - Statistical Data Included

Eurofood, Feb 28, 2002

UK-based drinks and confectionery giant Cadbury-Schweppes reported a strong performance for the 53 weeks ended 30 December 2001.

Sales rose 21% to 5.519bn [pounds sterling] (9bn [euro]), 15% of which was attributed to acquisitions and 2% to exchange rates. Other factors for the increase included 2% growth in the base business volume and the 2% price and mix. Underlying operating profit grew 18% to 992m [pounds sterling], whilst underlying profit before tax rose 94m [pounds sterling] year-on-year to 886m [pounds sterling].

EUROPE CONFECTIONERY

Sales in Europe increased by 7% to 1.532bn [pounds sterling], up 1% excluding acquisitions and exchange rate movements. Underlying trading profit rose by 6% to 212m [pounds sterling], up 2% excluding acquisitions and exchange.

Cadbury Trebor Bassett reported a slow start in 2001 as it focused on integration, resulting in a slight downturn in profits. Seasonal performance was strong, with the flagship brand Cadbury Dairy Milk making volume and market share gains. The company reported its performance strengthened throughout the year, with core chocolate volumes growing 2% in the final quarter.

Particularly strong performances were noted in the key markets of Ireland, France, Russia and Poland. Refocus of the Polish chocolate brand Wedel delivered good results, while Russia broke even for the first time in the last quarter of the year and is anticipated to be profitable in 2002.

AMERICAS CONFECTIONERY

Cadbury-Schweppes announced a 3% rise to 312m [pounds sterling] for confectionery in the Americas region whilst underlying trading profit was flat at 44m [pounds sterling]. Excluding the impact of exchange and acquisitions, sales were 2% down year-on-year and trading profit was down 9%.

Heralded as a challenging year for the region, setbacks were endured by capacity constraints at one of the major factories as well as a weak performance in Canada, where the integration of the sugar and chocolate business caused more disruption than expected.

EXCELLENT YEAR

John Sunderland, chief executive officer of Cadbury-Schweppes said, "2001 was an excellent year in the sequence of results we have achieved sine the introduction of Managing for Value. With underlying earnings per share growth of 16% and free cash flow of 397m [pounds sterling] we exceeded our goals for both measures. Volume growth was in line with our expectations and we remain committed to our financial targets for 2002."

Cadbury-Schweppes results 2001 (m [pounds sterling])

                                  2001     2000     % /-

Sales                            5 519    4 575       21
Underlying operating profit *      992      841       18
Underlying profit before tax *     886      792       12
Underlying EPS *                  30.0     25.8       16

Note: * Excludes goodwill, amortisation, restructuring charges and
disposal gains/losses

Source: Cadbury-Schweppes