Britain's Cadbury Schweppes said today it was on track to hit annual financial targets.
The maker of Dairy Milk chocolate, Trident gum and Dr Pepper drinks said a good start to its financial year had been driven by US fizzy drinks and confectionery markets across the world.
Cadbury launched a four-year "Fuel for Growth" programme in October 2003 aimed at boosting underlying sales by 3-5 per cent and operating margins by 50-75 basis points a year.
It is also targeting annual cost savings of £400 million from job cuts and plant closures, using a third of this money to drive sales and the rest to push up profitability.
The company said profit margins in its first half would be flat because of investment and cost increases but would pick up in the second half.
Conversely, strong sales growth in the first half would moderate in the second as the firm comes up against tougher comparatives figures from last year.