Launched in 1993 as South Africa's first sports drink, Energade was created to improve physical performance through hydration, and has become a beloved household name.
FINANCIAL PERFORMANCE
Snacks and Treats delivered revenue growth of 3.1% reaching R6.0 billion, driven by price inflation as the price pack architecture strategy on snacks and treats gains traction. Beverages performance was pleasing, despite increased competition caused by the carbonated soft drink segment, where significant price deflation resulted in consumer switching. Operating margins were up by 130bps, reflecting the impact of value engineering initiatives and operational efficiencies.
In response to the constrained consumer environment and a heightened consumer emphasis on health and nutrition, we have identified opportunities to drive growth through innovations in affordability, health and nutrition, and snackification. We are continuing to roll out innovations in price pack architecture and healthier product lines, as well as new beverage offerings in the cold, ready-to-drink category.
Within Snacks and Treats, we are driving growth in snackification through our Jungle energy bar, as well as driving operational efficiencies within our manufacturing sites.
In Beverages, we aim to drive market share growth and rebuild brand equity where there is room for improved market differentiation.
These various initiatives will be supported by our continuing focus on optimising working capital and achieving best-in-category procurement of key inputs, underpinned by our ongoing investment in building the skills and capabilities of our team.
