Confectioner Cadbury Schweppes said today its annual results would come in towards the lower end of its target ranges as wet weather hampered soft drinks sales in Europe.
But the maker of Dairy Milk chocolate said its confectionery businesses were performing well and that its carbonates soft drinks business in the United Sates had outperformed a weak market.
Cadbury's downbeat statement followed recent profit warnings from global soft drinks giant Coca-Cola and Anglo-Dutch foods group Unilever, which is a major player in the ice-cream market.
Last October, Cadbury unveiled a four-year "Fuel for Growth" strategy aimed at making annual savings of £400 million sterling by 2007, as well as growing sales by 3-5 per cent a year and margins by 50-75 basis points a year.
Cadbury shares closed at £4.35 last night to value the company at £9.0 billion.