Fever-Tree unfazed by Trump tariffs as US partnership softens blow
Fever-Tree has reassured investors that US tariffs will not pose a long-term challenge to its business. The premium mixers maker points to its partnership with Molson Coors and increased US production as key buffers.
Amid wider trade disruption caused by President Trump’s 10% tariffs, Fever-Tree says the financial hit will be softened by cost-sharing with Molson Coors, its new US partner. The US drinks giant acquired an 8.5% stake in the soft drinks group earlier this year.
US-based production to offset long-term risk
The company stated that production will increasingly shift to the US, further insulating its operations from the effects of tariffs. “Importantly, tariffs do not present a structural headwind,” it said, citing a combination of local manufacturing and profit protection mechanisms.
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Leadership changes signal deepening US focus
Fever-Tree also announced a leadership shift, with Charles Gibb stepping down as US head. His replacement, Molson’s US Chief Commercial Officer Judd Hausner, brings local expertise to drive the partnership forward.
US seen as key to future growth
Describing the partnership as “transformational”, Fever-Tree reaffirmed the US as a critical growth market, especially as UK sales declined by 4% last year. Nevertheless, it says it continues to reinforce its market leadership at home.
Outlook remains cautiously optimistic
Fever Tree reiterated its full-year guidance, forecasting low single-digit revenue growth and approximately 12% adjusted EBITDA growth.
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