7up BOTTLING IN REVERSE GEAR?

It looks like 7up Bottling PLC is in reverse gear of sorts in the current year when compared to the previous financial year. Or so Henates discerns from the figures for nine months to December released last week.
When 7up closed third quarter to December 2014 with gain on each N100 income of N11.9, it more or less helped to sustain nine months figure to the same December at N9.72. Meaning performance in the first half to June of that year was relatively less impressive.
That was understandable because the third quarter includes Yuletide annual celebration of Christmas and new year with attendant demand for drinks.
Now it seems that in the current year the reverse was the case. From the figures, 7up ended the third quarter to December 2015 with only 2.47% profit margin while the figure for the whole nine months to the same December came to 4.78%.
Decoded: the third quarter this time around was a drag on what was clocked by half year. Reverse gear?
Perhaps because the figures indicate that core revenue dropped by 4.75% to N20656.6m from N21687.7m for the third quarter while 0.66% growth was actually recorded in nine months core revenue to N60226.1m from N59830m.
Then too it appeared costs management hit a low in the third quarter as for example, despite the revenue drop recorded, cost of sale jumped by 10.1% to N14479.3m within the quarter alongside only 1.93% decrease in selling and distribution expenses, to N3369.2m and only 3.3% decline in administration costs to N1519.4m.
In contrast, with the marginal revenue growth, increase in cost of sale for the nine months came to 13.3% to N42120.7m from N37148.2m while selling and distribution costs dropped by 17.3% to N8465.8m followed by 10.6% decrease in administration expenses to N4358m from N4876.3m.
The only area the third quarter came out leading from the front was in finance charges which in third quarter dropped by 4.23% to N899.2m from N938.9m compared to 41.9% rise for the nine months from N1801.3m to N2556.6m.
SO:
* What does this portend for 7up Bottling PLC given that third remains yuletide season.?
* It is nice though that 7up Bottling ended the nine months with less liquidity headaches. Less mark you, not absence of it.

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