Britvic says recall impact 'more than expected'

Soft drink maker Britvic said it has been unable to speedily resolve the issues with new caps used in its Robinsons Fruit Shoot…

Soft drink maker Britvic said it has been unable to speedily resolve the issues with new caps used in its Robinsons Fruit Shoot and Fruit Shoot Hydro packs, and said the impact of the product recall would be greater than previously estimated.

Britvic issued the recall last week after ongoing tests had identified some damaged caps, which may come off the soft drink packs.

The company's Irish arm said there was no product recall in the Republic as a different cap is used for Robinsons Fruit Shoot produced and sold here.

The company also said its full-year results would be at the lower end of market expectations.

Britvic it had been unable to resolve the problem with the caps despite ongoing investigations, and would use an alternative cap for the packs. It is expected to resupply customers in six weeks, with a gradual increase that should see it meeting previous levels of demand within six months.

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The recall is expected to hit pretax profit by between £15 million and £25 million for the current and next financial years.

The company said last week that it expected the recall to cut profit before tax by £1 million to £5 million for the current fiscal year.

Additional reporting: Reuters