FIRST QUARTER 2021 TRADING UPDATE
Good start in a challenging environment
Coca-Cola HBC AG, a growth-focused Consumer Packaged Goods business and strategic bottling partner of The Coca-Cola Company, today announces its 2021 Q1 trading update.
First quarter highlights
- Good FX-neutral revenue growth, +2.7% or +6.1% like-for-like[1], driven by Sparkling and Energy, the Emerging segment and strong execution in the at-home channel
- Growth accelerated in the Emerging segment, while the Established and Developing segments continued to be impacted by COVID-19 related restrictions extending through most of the quarter
- Volumes up +1.5% or +4.7% like-for-like1; Sparkling and Energy together grew 10.7%. The comparative period in 2020 had 3 fewer selling days but also benefited from 2.5 months of pre-pandemic trading
- FX-neutral revenue per case +1.2% or +1.3% like-for-like1; continued strong category mix and pricing in several markets
- Gained or maintained value share in Non-alcoholic ready-to-drink and Sparkling in the majority of markets
- Costa Coffee roll-out continues to progress well; now selling a range of formats in 16 markets
Segment highlights
- Established: Sustained positive price/mix development despite ongoing restrictions in the out‑of‑home channel
- Developing: Sugar tax implementation in Poland progressed as expected with volume recovering at the end of the quarter. Pricing taken to offset this tax had a 10.3pp impact on Developing price/mix
- Emerging: Continued strong momentum in Nigeria and accelerated trends in Russia, with both markets growing volumes double-digit
Q1 2021 vs Q1 2020 | Net sales revenue | Volume | Net sales revenue per unit case | ||
growth (%) | FX - neutral2 | Reported |
| FX - neutral2 | Reported |
Total Group | 2.7 | -4.0 | 1.5 | 1.2 | -5.4 |
Established markets | -3.2 | -3.7 | -4.7 | 1.5 | 1.1 |
Developing markets | -3.5 | -7.3 | -11.4 | 8.9 | 4.6 |
Emerging markets | 10.4 | -3.0 | 8.7 | 1.6 | -10.7 |
Zoran Bogdanovic, Chief Executive Officer of Coca-Cola HBC AG, commented:
“
"We have had a good start to the year despite the continued impact of the pandemic, with revenue growth led by Sparkling, Energy and strong execution in the at-home channel. Our operational agility, flexible route to market and strong customer relationships mean that we are well placed to capitalise on the reopening of the out-of-home channel. In the meantime, our diverse and balanced geographic footprint has allowed us to benefit from accelerating revenue in the Emerging market segment, while lockdowns continue to impact most European markets.
The speed and shape of recovery from the pandemic remains uncertain, but Q1 puts us on track to achieve our 2021 guidance for a strong recovery in FX-neutral revenues, along with a small increase in EBIT margin."
[1]Performance, unless stated otherwise, is negatively impacted by the change in classification of our Russian Juice business, Multon, from a joint operation to a joint venture, following its re-organisation in May 2020. For the Group's growth including the performance of Multon as a joint operation in the current period, refer to the relevant table in the ‘Supplementary information' section.
2For details on Alternative Performance Measures ('APMs') refer to 'Alternative Performance Measures' and ‘Definitions and reconciliations of APMs' sections.
Please find attached the press release