Connect with us
Finance Digest is a leading online platform for finance and business news, providing insights on banking, finance, technology, investing,trading, insurance, fintech, and more. The platform covers a diverse range of topics, including banking, insurance, investment, wealth management, fintech, and regulatory issues. The website publishes news, press releases, opinion and advertorials on various financial organizations, products and services which are commissioned from various Companies, Organizations, PR agencies, Bloggers etc. These commissioned articles are commercial in nature. This is not to be considered as financial advice and should be considered only for information purposes. It does not reflect the views or opinion of our website and is not to be considered an endorsement or a recommendation. We cannot guarantee the accuracy or applicability of any information provided with respect to your individual or personal circumstances. Please seek Professional advice from a qualified professional before making any financial decisions. We link to various third-party websites, affiliate sales networks, and to our advertising partners websites. When you view or click on certain links available on our articles, our partners may compensate us for displaying the content to you or make a purchase or fill a form. This will not incur any additional charges to you. To make things simpler for you to identity or distinguish advertised or sponsored articles or links, you may consider all articles or links hosted on our site as a commercial article placement. We will not be responsible for any loss you may suffer as a result of any omission or inaccuracy on the website.

NEWS

Coca-Cola HBC’s annual profit beats, warns of price increases

Published On :

By Radhika Anilkumar

(Reuters) -Coca-Cola HBC AG on Tuesday reported better-than-expected full-year operating profit and said it will increase prices this year to tackle an increase in costs.

Energy and commodity prices have increased since Russia invaded Ukraine, sending companies across the globe scrambling for ways to rein in costs, while households struggle to manage their bills.

Most companies have hiked prices in a bid to pass on some of these costs to their consumers. Although a cost of living crisis has seen a shift in consumer spending, packaged beverage and food makers have continued to see resilient demand.

The environment in terms of input costs is very challenging and pricing is very important to manage inflation,” Ben Almanzar, chief financial officer at the soft drinks bottler, told Reuters.

The Switzerland-headquartered company, in which U.S beverage giant Coca-Cola owns 20% stake, said it expects 2023 organic operating profit growth in the range of +3% to -3% as glass manufacturing prices and input costs continue to rise.

London-listed bottled drinks maker Fevertree warned last month that its 2023 profit would fall short due to rising costs of glass bottles, ingredients and packaging.

Coca-Cola HBC said costs it incurred per case in 2022 rose 17% and it expected this to increase by low teens percent this year.

Full year earnings fell about 12% to 703.8 million euros ($755.5 million), beating company-compiled analysts’ consensus of 658.2 million euros.

Still, full-year net sales revenue rose 28.3% to 9.20 billion euros.

Shares of the company were up about 4% at 2,024 pence as of 1020 GMT.

CCH is better able to navigate a tough external environment vs history given investments made over the past years around commercial capabilities with the cost base having also been reset during the pandemic,” analysts at Jefferies said.

($1 = 0.9316 euros)

(Reporting by Amna Karimi and Radhika Anilkumar in Bengaluru; Editing by Uttaresh.V and Mike Harrison)

 

Continue Reading

Why pay for news and opinions when you can get them for free?

       Subscribe for free now!


By submitting this form, you are consenting to receive marketing emails from: . You can revoke your consent to receive emails at any time by using the SafeUnsubscribe® link, found at the bottom of every email. Emails are serviced by Constant Contact

Recent Posts