In a trading update released this morning, the confectionery giant, which in June this year was forced to withdraw a number of products following a salmonella scare, said that since the beginning of July, year-on-year sales were 5% lower than expected.
The group also said that consumer confidence following the recall was recovering well. “Our perception surveys show a return to near pre-recall levels,” it added.
However, it warned that it expected overall full-year like-for-like group revenue to be around the middle of its goal range, and that it was unlikely that there would be progression in underlying group margins.
Todd Stitzer, CEO of Cadbury Schweppes, said: “Despite the impact of the product recall and weak confectionery market in the UK, we are encouraged by the recovery in consumer confidence and the successful launch of some new products.”
He added: “As we enter this very important trading period, overall the group is in good shape and we expect to deliver revenue growth in the middle of our goal range.”