Bottler Coca-Cola HBC has posted a 4.5% increase in net sales for the first quarter of the year, however, its Established Markets division, which includes many Western European countries, posted a decline of 2.5%.
Its Developing Markets division saw a 1.1% increase in net sales, while Emerging Markets posted a 12.6% increase.
In terms of volume performance, overall group volumes were up 0.7%, however both Established (-2.2%) and Developing (-3.6%) markets saw declines.
Revenue Growth
“The business has delivered good revenue growth in the first quarter, strong momentum in price and mix and improvement in volume despite the late Easter impact,” commented Dimitris Lois, chief executive officer of Coca‑Cola HBC AG.
“We are pleased with the underlying trends in the business. Our commercial initiatives continue to deliver good results, and add to our confidence going into the remainder of the year.”
In terms of the group’s European markets, the company said that its Italy volume decreased by mid-single digits, due to delisting of certain water brands, however Coca-Cola and Sprite both grew in this market.
In Greece, volume increased by mid-single digits, driven by low-galore sparkling drinks, and ‘positive momentum’ in its water category.
Ireland posted ‘moderate volume growth’ the company said, however, Austria and Switzerland saw volume declines.
‘Improving underlying performances in many of our countries compared to the prior-year quarter were partially offset by the timing of Easter, which shifted into Q2 this year, and the impact of our focus on driving value in certain markets such as Poland and Italy,’ the company noted.
© 2017 European Supermarket Magazine – your source for the latest retail news. Article by Stephen Wynne-Jones. Click subscribe to sign up for ESM: The European Supermarket Magazine.
