Fever-Tree has seen a minimal increase in its revenue in the first half of the year, leading the drinks brand to drop its forecast revenue for the full year to between 4-5%.

The firm said that this stagnation in revenue growth, which increased by £600,000 year-on-year to 30 June, was a result of a "subdued consumer backdrop and poor weather in the second quarter across the UK and Europe".

Earlier in the year, Fever-Tree said that it expected its revenue growth to increase by 10% in the current financial year.

In the UK and Europe, revenue dropped by 6% and 12% respectively in the first half of the year, to £50.9m and £44.5m respectively.

However, this coincided with a growth of 7% in the US to £60.3m, becoming the "number one position in tonic water and ginger beer categories", and 56% in the rest of the world to £14.9m.

Furthermore, Fever-Tree saw its underlying cash profit increase by 79% to £18.2m, while its interim dividend jumped by 2% to 5.85 pence per share.

Equity analyst at Hargreaves Lansdown, Aarin Chiekrie, said: "Fever-Tree served up a mixed set of first-half results to investors. Revenue failed to bubble higher despite double-digit growth in the US where it continued to gain market share.

"The US is already Fever-Tree’s largest contributor to the top line, but there’s plenty of room to run given the size of this vast market. Performance in the UK and Europe wasn’t so spritely. Despite gaining market share in these regions too, revenue fell 6% and 10% respectively as poor weather and a tough consumer backdrop weighed on demand in the second quarter."

Looking ahead, the firm said it has dropped its revenue expectations for the full year to between 4-5%, although it expects growth of between 7-10% in the second half of the year.

This comes as Fever-Tree said it had witnessed revenue growth of 13% in July and August.

Chief executive officer at Fever-Tree, Tim Warrillow, added: "Whilst the first half was challenging, we are controlling the controllables. We have delivered substantial margin improvement, resulting in a c.80% increase in EBITDA year-on-year, as well as driving share gains against the competition across all our regions, demonstrating the growing strength of the Fever-Tree brand.

"We're optimistic of an acceleration of growth across the second half of the year and have seen a much more positive trading performance in July and August."

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