Three of Coca-Cola’s biggest bottling companies have experienced growth in their second-quarter results.
Coca-Cola HBC saw its revenue grow by 5.7% to €3.21 billion in the first half of 2017. The firm also saw its operating profits rise by 20.8% to €266.4 million.
For the second quarter, Coca-Cola HBC’s revenue was €1.84 billion – up 6.4% on the second quarter of 2016.
Coca-Cola HBC chief executive officer Dimitris Lois said: “We are delighted to report an excellent set of results for the first half of the year, with volume and revenue per case growth in all three market segments. It is also very pleasing to see the revenue growth translating into significant margin expansion.
“This demonstrates that our strategy to exploit our lean asset base and improve profitability through operating leverage is powerful and delivers well. We are on track for broad-based revenue and margin growth for the full year with the organisation energised by the progress we are making towards our 2020 financial targets.”
It was also announced that Coca‑Cola Bottling Co. Consolidated saw its net sales increase 39.1% to $1.17 billion in the second quarter of 2017, as compared to $840.4 million in the same period last year. The increase in net sales has been driven by acquisitions made by the company.
Frank Harrison, chairman and chief executive officer of Coca‑Cola Bottling Co. Consolidated, said: “We maintained our momentum in the second quarter of 2017 as we continued the expansion of our distribution territory and manufacturing capacity while producing solid financial results.
“I continue to be impressed with the dedication and passion our teammates exhibit in extending our company’s influence and purpose into the communities, customers and consumers we serve every day.”
And Coca-Cola European Partners (CCEP) grew its second-quarter revenue from €2.17 billion to €3.05 billion – an increase of over 40% – with operating profit up from €209 million in the second quarter last year to €416 million in the second quarter this year.
It is now two years since Coke bottlers Coca-Cola Enterprises, Coca-Cola Iberian Partners and Coca-Cola Erfrischungsgetränke confirmed their intention to merge.
CCEP chief executive Damian Gammell said: “We delivered a strong second quarter as we continue to make solid progress in building our new company and realising our planned synergies. These results reflect the successful execution of our sales and marketing plans, as well as favourable weather throughout the quarter.
“Importantly, our results also continue to support the strategic rationale for creating CCEP. Looking forward, we remain focused on our long-term business growth through expanding our portfolio, creating value with our customers, and improving in-market execution, all to generate strong cash flow and drive long-term value for our shareholders.”
Across the three businesses, volume was also up during the second quarter: in the case of Coca-Cola Consolidated by 33%, and Coca-Cola European Partners by 4.5%.
For Coca-Cola HBC, volume was up 1.4% in the first half of the year and by 1.8% year-on-year during the second quarter.
© FoodBev Media Ltd 2017