LONDON (ShareCast) - Soft drinks group Nichols ramped up half year pre-tax profit by 15.5% to £3.2m, but said the market was “very tough”.

The Vimto maker reported a 5% hike in sales during the six months ended 30 June to £29.2m from £27.8m a year ago.

“The economic uncertainty is obviously set to continue and at this stage we can see no real signs of improvement, however, we remain optimistic but cautious that we are doing the right things in a very tough market,” said non-executive chairman John Nichols.

“We believe our core brand of Vimto will continue to perform well and grow, both organically and in new international markets. In overall terms we therefore expect to show further, solid progress in the full year.”

The interim dividend rises 7.1% to 3.75p per share.

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