Coca-Cola HBC AG has reported a better-than-expected operating profit for 2022, helped by price hikes and other cost-saving measures.
The bottler, however, expects organic operating profit growth for the coming year in the range of +3% to -3%.
Coca-Cola HBC posted a fall of about 12% in its earnings for the year ended December 31 at €703.8 million, above the company-compiled analysts' consensus of €658.2 million
Although there has been a shift in consumer spending due to customers preferring cheaper alternatives amid rising inflation, packaged beverage and food makers have continued to see resilient demand for their products despite price hikes.
The Switzerland-headquartered company's diverse portfolio ranges from alcoholic beverages such as The Macallan and Jack Daniel's to carbonated drinks Sprite and Monster Energy to Bambi biscuits and wafers.
According to the company-compiled consensus, analysts on average expect organic operating profit in 2023 to be about €865.6 million, reflecting a 23% year-on-year growth.
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'A Strong Performance'
“We delivered a strong performance in 2022 against a challenging backdrop, achieving record levels of revenue, comparable EBIT and free cash flow," commented Zoran Bogdanovic, chief executive. "The benefits of portfolio prioritisation were clear, with growth led by Sparkling, Energy and Coffee.
"Consumer demand for our products and in our categories remained good. The power of our portfolio and consistent investment in our capabilities allowed us to balance pricing and mix enhancements, while also achieving another year of strong share gains."