Coca-Cola HBC on Thursday reported a solid performance in the start of the year, with a 4.5 pct increase in net revenue – on a neutral foreign exchange basis – through a balance of volume growth and price/mix improvements in the first quarter of 2018.
In an announcement, Coca-Cola HBC said volumes increased by 2.3 pct in the first quarter, with very strong growth in the developing segment and another quarter of expansion in the established segment. Innovation in sparkling drinks helped drive 2.8 pct growth in the category.
– Established segment volumes grew 1.1 pct, aided by improved volumes in Ireland and Switzerland and continued good growth in Greece.
– Developing segment volumes expanded 11.8 pct, driven by very strong growth in Poland which was helped, in part, by the timing of Easter.
– Emerging segment volumes were broadly stable, as continued strong growth from our medium-sized countries offset volume declines in Nigeria and to a lesser extent, Russia.
FX-neutral revenue per case increased by 2.1 pct, with the rollover effect of 2017 price increases and mix improvements in the merging and established segments, partly offset by some mix deterioration in the developing segment.
– In the established segment, positive category and pack mix drove a 0.8 pct improvement in FX-neutral revenue per case.
– In the developing segment, FX-neutral revenue per case declined by 1.3 pct. A very strong Easter volume performance in the segment led to negative package and channel mix effects, which were partly offset by better category mix.
– In the emerging segment, the 4.5 pct improvement in FX-neutral revenue per case was largely a result of the rollover effect of 2017 price increases, supported by better category and pack mix.