Fever-Tree boss sees pay packet fizz to £4m

23 April 2019, 15:56 | Updated: 23 April 2019, 17:52

Fever-Tree boss and co-founder Tim Warrillow toasted a £3.98m pay packet last year as the mixer maker's fizzing sales and profits delivered a bumper long-term bonus award.

Mr Warrillow's overall pay was more than four times higher than the £844,000 he received in 2017, thanks to a long-term incentive plan (LTIP) worth £3.06m.

The figures, disclosed in the company's annual report, come after Fever-Tree reported a 34% rise in pre-tax profits to £75.6m while revenue climbed by 40% to £237.4m.

Mr Warrillow founded the company with Charles Rolls in 2004, producing premium tonic water with no artificial sweeteners and riding the wave of popularity in recent years for upmarket gin.

It has now broadened its business to sell a range of other drinks mixers, with markets from the UK to the US, Spain and Belgium.

The company floated on London's junior AIM market in 2014 and is now valued at £31 a share, making it worth around £3.6bn - though some of the value has come off since the stock peaked at nearly £40 in September.

Fever-Tree said its success last year was helped by events including the World Cup and the royal wedding, also pointing out in its annual results that the volume of UK gin sales in the summer of 2018 was greater than that in 2014 and 2015 combined.

Mr Warrillow's bumper bonus was based on an LTIP approved in 2016 linked to the company's sales and underlying earnings performance - both of which have quadrupled.

It adds to a £34.5m sum pocketed by the chief executive last year when he sold a tranche of shares.