COCA-COLA HELLENIC BOTTLING COMPANY S.A.

RESULTS FOR THE SIX MONTHS ENDED 29 JUNE 2012

RESULTS FOR THE SIX MONTHS ENDED 29 JUNE 2012

HALF YEAR HIGHLIGHTS

 

Half year

Half year

 

 

2012

2011

% Change

Volume (m unit cases)

1,011

1,036

-2%

Net Sales Revenue (€ m)

3,432

3,396

1%

Comparable Cost of Goods Sold (€ m)

2,191

2,096

5%

Comparable EBIT (€ m)

192

249

-23%

Comparable Net Profit (€ m)

109

146

-25%

Comparable EPS (€)

0.30

0.40

-25%

 

  • Top line: Net sales revenue grew by 1% while volume declined by 2% in the first half of 2012. Volume was flat in emerging markets and declined by 5% and 4% in established and developing markets, respectively.
  • Categories: Volume in the sparkling beverages category declined by 1% while energy drinks volume increased by 5%. Volume in the tea category was flat while water and juice categories declined by 6% each.
  • Brands:Trademark Coca-Cola products volume was flat with Coca-Cola growing by 1% and Coca-Cola Zero growing by 9%.
    • Share gains: We gained or maintained volume share in sparkling beverages in most of our markets includingItaly,Switzerland,Austria,Poland,Russia,Ukraine,Romania andBulgaria.
    • Comparable operating profit: Revenue growth initiatives fully off-set both total input cost increases and higher operating expenses in the first half on a currency neutral basis. A combination of lower volume and unfavourable foreign currency movements resulted in a €57 million year on year decrease in comparable EBIT.
    • Free cash flow and capex: We generated free cash flow of €96 million in the first half of the year. For the period 2012-2014 we plan to make cumulative capital expenditures of €1.45 billion and expect to generate free cash flow of €1.45 billion.

 

Dimitris Lois, Chief Executive Officer of Coca-Cola Hellenic, commented:

“We continued to win in the marketplace, while operating in an increasingly volatile and challenging external environment. Currency neutral net sales revenue per unit case grew by 3%, excluding the hyperinflation impact of Belarus.

We continue to witness prolonged macroeconomic uncertainty in all of our EU markets. The pressure from input costs is expected to ease in the second half of the year, though almost all of the benefit is expected to be offset by increasing pressures from unfavourable exchange rate movements. Our focus remains on winning in the marketplace, while at the same time growing value faster than volume and improving our operating cost base and efficiency, leading to solid free cash flow generation in 2012 and beyond.

We remain committed to investing in our business and are confident we have the right strategy and solid plans to navigate through today's tough environment and create long-term sustainable value for our shareholders. Continuous cost base optimisation, productivity improvements and successful market place execution leave us strongly positioned to benefit from an eventual market recovery.”

 

 


 

 

SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS

This document contains forward-looking statements that involve risks and uncertainties. These statements may generally, but not always, be identified by the use of words such as ‘believe', ‘outlook', ‘guidance', ‘intend', ‘expect', ‘anticipate', ‘plan', ‘target' and similar expressions to identify forward-looking statements. All statements other than statements of historical facts, including, among others, statements regarding our future financial position and results, our outlook for 2012 and future years, business strategy and the effects of our recent acquisitions, and restructuring initiatives on our business and financial condition, our future dealings with The Coca‑Cola Company, budgets, projected levels of consumption and production, projected raw material and other costs, estimates of capital expenditure or free cash flow and plans and objectives of management for future operations, are forward-looking statements. You should not place undue reliance on such forward-looking statements. By their nature, forward-looking statements involve risk and uncertainty because they reflect our current expectations and assumptions as to future events and circumstances that may not prove accurate. Our actual results could differ materially from those anticipated in the forward-looking statements for many reasons, including the risks described in our annual report on Form 20-F filed with theU.S.Securities and Exchange Commission (File No 1-31466).

Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot assure you that our future results, level of activity, performance or achievements will meet these expectations. Moreover, neither we nor any other person assumes responsibility for the accuracy and completeness of the forward-looking statements. After the date of the condensed consolidated financial statements included in this document, unless we are required by law to update these forward-looking statements, we will not necessarily update any of these forward-looking statements to conform them either to actual results or to changes in our expectations.

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