The Dublin-based group reported underlying operating profits of 125.2 million euros (£99m) in the year to February 29, down from 199.6 million euros (£157.9m) after last year's damp summer hit sales.

It said that its current year had also got off to a lacklustre start amid "weak" trading conditions in both its domestic and Great British markets due to poor spring weather and low consumer confidence.

But C&C said a "normal" summer in Great Britain this year should see premium cider sales return to growth, with new initiatives, such as the launch of draught Magners later this month, also set to shore-up demand.

The group, which is listed in both the UK and Dublin, saw its share of the market in Britain decline by 6.7% in the year to January.

A drop in sales left volumes for Magners 15% lower in the year to February 29 and volumes for its Irish cider brand Bulmers down by 4%.

C&C launched a turnaround plan late last year to help the group recover, with an organisational overhaul and cost cutting strategy designed to save 10 million euros (£7.9m) a year.

Around 150 jobs were axed as part of the programme, but Magners also beefed up its Great Britain division with the appointment of a new managing director for the operation.

John Holberry, formerly of Coors Brewers, took up the post on March 18.

It has also made a concerted marketing push to return British sales to health, with new products, such as a low calorie version of its flagship cider, Magners Light, and the soon-to-be launched draught Magners.

Maurice Pratt, C&C group chief executive, said: "In 2008/09 we expect to stabilise the group's financial and market performance and to deliver growth through the benefits of a streamlined organisation; cost reduction programme; and a series of marketing initiatives."