Czech-based soft drinks producer Kofola has reported a 2.3% growth in sales to CZK 5.5 billion (€211.3 million) for the first nine months of its financial year, with increased revenue in all segments except Poland.
If the group's Polish operations are excluded, revenue growth was 7.0%.
The Czech Republic accounted for 43.9% of total sales, followed by Slovakia (23.6%), Poland (14.5%), Slovenia (10.9%) and 'other markets', i.e. Croatia and Russia (7.0%).
EBITDA in the period grew by 18.1% to CZK 834 million (€32 million), while net profit increased by 20.4% to CZK 260 million (€10 million).
Both the weather and the growth of the HoReCa segment market share contributed to the positive performance, Kofola said.
In the third quarter only, revenue amounted to CZK 2.0 billion (+3%) and EBITDA stood at CZK 395 million (10.6%).
Country By Country
On the Czech market, where it is the second biggest player, the group increased its sales by 10.1% year-on-year, thanks to sales of the Kofola, Rajec, Vinea, Rauch and Ugo (+15.6%) brands.
In Slovakia, sales increased by 3%, thanks to higher demand for Kofola, enabling the company to retain its leadership position in both the Retail and HoReCa segments.
In the Adriatic region sales were 5.2% higher year-on-year (+8.8% in Croatia and +3.6% in Slovenia) despite an unseasonably cold June.
Revenues continued to drop in Poland, down by 18.6% year-on-year, mainly due to lower sales of private labels.
Capex at the business dropped by 11% to CZK 346 million (€13.3 million), influenced by the modernisation of the production line in Slovenia.
New Acquisitions
New acquisitions in the reference period included Leros in the Czech Republic (which supplies products developed from medicinal plants and quality natural teas) and Premium Rosa in Poland (syrups and jams).
In view of the overall positive performance, the company has kept its 2018 EBITDA guidance at CZK 1 billion (€38.4 million).
Kofola Group’s portfolio includes more than 30 local brands of carbonated beverages, non-carbonated beverages, bottled water and syrups.
In selected markets, it distributes Rauch, Evian, Badoit or Vincentka products and produces RC Cola, Orangina, Rauch and Pepsi under license.
© 2018 European Supermarket Magazine – your source for the latest retail news. Article by Branislav Pekic. Click subscribe to sign up to ESM: The European Supermarket Magazine.
