(Alliance News) - Coca-Cola HBC AG on Tuesday reiterated its growth guidance for 2024, following a strong first quarter in which the company grew both its revenue and sales volumes.
Coca-Cola HBC is a Zug, Switzerland-based bottling partner of Coca-Cola Co. HBC stands for Hellenic Bottling Co.
For the first quarter of 2024, the company reported a 1.0% increase in net sales revenue to EUR2.23 billion from EUR2.20 billion a year prior.
On an organic basis, net sales revenue was up 13%, with growth held back by foreign exchange headwinds in the emerging markets of Nigeria and Egypt, Coca-Cola said.
Volumes were up 1.9% to 632.6 million unit cases in the quarter from 621.1 million a year before, though sales revenue per unit case dipped 0.8% to EUR3.52 from EUR3.55.
Coca-Cola HBC performed particularly well in developing markets in the period, with net sales up 16% on a reported basis to EUR480.1 million from EUR412.2 million in the first quarter of 2023.
Looking ahead to its full-year results, the company reiterated its guidance. It forecasts organic revenue growth of 6% to 7%, alongside organic growth in earnings before interest and tax between 3% and 9%.
In 2023, Coca-Cola HBC delivered EUR10.18 billion in net sales revenue and EUR953.6 million in Ebit.
However, the company cautioned the economic climate is expected to remain "challenging", and anticipates negative foreign exchange impacts on Ebit of between EUR30 and EUR50 million.
Chief Executive Officer Zoran Bogdanovic said: "We have made a strong start to the year, with continued progress of our 24/7 strategy. Organic revenues grew by 12.6% led by our strategic priority categories of Sparkling, Energy and Coffee. We are also pleased to report another quarter of volume growth and market share gains."
Shares in Coca-Cola HBC were up 0.9% at 2,598.00 pence each in London on Tuesday morning.
By Hugh Cameron, Alliance News reporter
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Coca-Cola HBC (CCH)