Coca-Cola HBC has reported a significant increase in organic revenue during the third quarter, driven by strong demand in emerging markets. The company’s financial growth has led to an upward revision of its revenue and EBIT forecasts.
- Organic revenue for Coca-Cola HBC grew by 13.9% in the third quarter, with a year-to-date growth of 13.7%.
- The revenue growth forecast has been raised to 11-13%, a notable increase from the previous 8-12%.
- Emerging markets played a crucial role, with a 24.1% rise in organic revenue, despite challenges like foreign exchange headwinds.
- Established markets such as North America, Italy, and Ireland showed a modest growth of 3%, while developing markets in central and eastern Europe grew by 12.6%.
Coca-Cola HBC has seen a remarkable 13.9% rise in organic revenue in the third quarter, contributing to a year-to-date growth of 13.7%. This performance has prompted the company to raise its revenue growth forecast to 11-13%, up from its earlier projection of 8-12%.
A key driver of this growth has been the sustained demand in emerging markets, where organic revenue surged by an impressive 24.1%. Despite this substantial organic growth, reported revenue in these regions was moderated to an 8.9% increase due to foreign exchange challenges.
In established markets such as North America, Italy, and Ireland, Coca-Cola HBC recorded a modest 3% growth. Meanwhile, developing regions like central and eastern Europe experienced a more robust expansion of 12.6%.
CEO Zoran Bogdanovic noted, “Focused execution of our strategic priorities has helped deliver another quarter of strong revenue growth, up 13.9%, with good volume momentum across all three segments, as well as revenue per case expansion.”
The company has adjusted its EBIT guidance to a range of 10-12%, from the previous 7-12%, reflective of the strong first nine months of the year.
Coca-Cola HBC has had to navigate a challenging environment, especially following its exit from Russia, which last year resulted in a 2.7% drop in overall sales volumes and a significant financial impact due to impairments.
Coca-Cola HBC’s strategic focus and robust demand in emerging markets have driven substantial revenue growth, prompting an optimistic revision of its financial outlook for the year.
