The Irish cider brand's share of the premium cider category in the off-trade grew just 4 per cent in the first half of the year, compared with the same period in 2006.
Bad summer weather and increasing competition in the premium cider category is thought to be behind the brand's slow growth, which saw volumes rise by 2 per cent in both the on and off-trade.
Overall C&C Group, the Irish drinks company which owns Magners, saw profits plunge by 33 per cent to €67.9 million in Ireland and the UK for the six months ending Aug 31. Revenue stayed flat at €375.6 million.
Maurice Pratt, group chief executive said: “The financial performance reflects a number of factors such as exceptionally poor summer weather; increased competition; and additional costs in marketing and cider manufacturing capacity.”
He said the company would be “implementing a comprehensive restructuring and cost reduction programme” over the next year to help restore growth and boost profits.