Dan Sabbagh
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Strong demand for Dairy Milk bars and Creme Eggs has boosted Cadbury sales in the UK. The chocolate and gum maker said in a trading statement yesterday that second-quarter revenue growth would be above 7 per cent.
Dairy Milk's British sales had a percentage rise in the “low double digits”, reflecting recovery in the brand's fortunes after its drumming gorilla advertisements, according to the company's advisers. Creme Egg sales did better, with a “mid-double-digit” rise, and the company was upbeat about its Creme Egg Twisted bar, launched in May.
Cadbury said it had increased margins by 1.5 percentage points, although cost-saving programmes and expenses related to the demerger of the Dr Pepper soft drinks unit would lead to a charge of £160 million this year.
Revenue growth quickened in the second quarter but Cadbury said it faced tougher comparables in the second half, implying that the pace of growth would slacken. Like-for-like sales in the first quarter were up 7 per cent.
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