Coca-Cola HBC raises earnings outlook after strong summer

8th Nov 2022 07:46

(Sharecast News) - Soft drinks bottler Coca-Cola HBC raised full year earnings guidance on Tuesday as it reported a boost to revenue from rising prices in the third quarter.

The company, in which the famous Coca-Cola brand holds 20%, said organic revenue rose 19.6% in the third quarter, excluding sales from Russia and Ukraine, as it cashed in on a strong summer.

It now expects to generate double-digit organic revenue growth at a group level in 2022, despite the cost-of-living crisis.

Comparable operating profit for 2022 was now expected to be between €860m-€900m, compared with an earlier forecast of €740m-€820m.

"So far, we have seen limited evidence of changing consumer behaviour, but are alert to this possibility and can adapt quickly if needed," said chief executive Zoran Bogdanovic.

"We are mindful of the impact that the challenging environment has on our consumers. At the same time, we take a responsible approach to pricing and mix decisions as part of our revenue growth management framework, while continuing to provide value to our shoppers and customers."

Reporting by Frank Prenesti for Sharecast.com