Coca-Cola HBC posts strong set of 2022 results

Coca-Cola HBC, a bottling partner of the US-based Coca-Cola Company, reported a “strong” set of results for the year ended 31 December on Tuesday.

The FTSE 100 company said it achieved revenue growth of 14.2%, driven by price, mix and volume, with organic revenue per case increasing by 15.9%.

Excluding Russia and Ukraine, organic revenue was ahead 22.7%.

Despite what it described as “challenging” inflation, comparable EBIT grew 11.9% to €929.7m (£821.89m).

Operationally, the firm said it continued to invest in its strategic priorities, with increased investments in capabilities to support opportunities in data, digital commerce, Egypt and coffee.

It also opened a €30m recycled PET (rPET) facility in Italy, in a bid to accelerate its sustainability agenda.

The board proposed an ordinary dividend of 78 euro cents per share, up 9.9% year-on-year, representing a 46% pay-out.

“We delivered a strong performance in 2022 against a challenging backdrop, achieving record levels of revenue, comparable EBIT and free cash flow,” said chief executive officer Zoran Bogdanovic.

“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.”

Bogdanovic said the “power” of the firm’s portfolio and consistent investment in its capabilities allowed it to balance pricing and mix enhancements, while also achieving another year of strong share gains.

“We are making tangible progress towards our Mission 2025 and NetZeroby40 goals, with key milestones including the opening of a new rPET facility in Italy and the issuance of our first green bond.

“Our strong performance is testament to the passion and dedication of our people and I would like to thank all our customers, partners and employees for their ongoing commitment and support.

“Looking to 2023, our track record, portfolio, capabilities, the diversity of our markets and, above all, our talented people make us confident of achieving another year of strategic and financial progress, accelerating our journey to becoming ‘the leading 24/7 beverage partner.”

Reporting by Josh White for Sharecast.com.