Fevertree is hoping a range of low-calorie mixers will put the fizz back in its share price after it fell nearly 4 per cent.
Shares in the tonic water maker, popular for its gin mixers, plunged after its full-year results failed to match analyst expectations – despite profits soaring 39 per cent to £56.4million.
Fevertree’s share price has surged by almost 1,500 per cent since it listed on the London Stock Exchange in 2014. Yesterday it closed down 97p at 2595p.
Gone flat: Shares in tonic water maker Fevertree plunged after its full-year results failed to match analyst expectations – despite profits soaring 39 per cent to £56.4m
But its latest results were not enough to please the City which had been expecting a better outcome.
Russ Mould, investment director at AJ Bell, said the firm had a track record of achieving results well above market forecasts.
‘When its earnings only meet and not beat expectations, you know the stock market is going to stamp and shout in disgust,’ he said.
Fevertree continued to be popular last year as a low-calorie range and new drink flavours put a rocket under sales, jumping 66 per cent to £170.2million.
It is also looking to target rum and whisky drinkers with an extended range of mixers for dark spirits.
Dark spirits account for 60 per cent of high-end spirit sales around the world, compared to just 6 per cent for gin.
Tim Warrillow, chief executive, said: ‘We have been very pleased with the initial launch of the extended dark spirits range.’