Latest news with #CocaColaHBC
Yahoo
9 hours ago
- Business
- Yahoo
Coca-Cola HBC First Half 2025 Earnings: EPS Beats Expectations
Coca-Cola HBC (LON:CCH) First Half 2025 Results Key Financial Results Revenue: €5.62b (up 8.6% from 1H 2024). Net income: €470.6m (up 23% from 1H 2024). Profit margin: 8.4% (up from 7.4% in 1H 2024). The increase in margin was driven by higher revenue. EPS: €1.30 (up from €1.04 in 1H 2024). This technology could replace computers: discover the 20 stocks are working to make quantum computing a reality. All figures shown in the chart above are for the trailing 12 month (TTM) period Coca-Cola HBC EPS Beats Expectations Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 7.2%. Looking ahead, revenue is forecast to grow 6.2% p.a. on average during the next 3 years, compared to a 4.3% growth forecast for the Beverage industry in the United Kingdom. Performance of the British Beverage industry. The company's shares are down 3.7% from a week ago. Risk Analysis Before we wrap up, we've discovered 2 warning signs for Coca-Cola HBC that you should be aware of. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
13 hours ago
- Business
- Yahoo
Here's why I just bought Coca-Cola HBC, one of the FTSE 100's best dividend shares
I feel investors seeking the best FTSE 100 dividend shares to buy should seriously consider Coca-Cola HBC (LSE:CCH) today. It doesn't have the largest dividend yields out there. For the current year, its yield is 2.5%, coming in below the Footsie average of 3.3%. But for dividend growth, I think it's one of the greatest UK blue-chip shares on the market. Annual dividends have risen consistently since the company listed on the London stock market in 2013. This 12-year growth streak puts it in the top 20% of FTSE 100 sustained dividend growers. On top of this, the dividends on Coca-Cola HBC shares have grown at an impressive 11.1% over the last decade. I took the decision this week to add more of the soft drinks giant's shares to my portfolio. Here's why. Trading magic Coca-Cola HBC's great dividend record is built upon the evergreen popularity of its drinks. Even when consumers are feeling the pinch, demand for its sparkling, energy, and water products remains rock-solid. The business can even effectively raise prices at such times without impacting physical sales, boosting earnings and helping to offset costs. This reflects the enormous appeal and pricing power of drinks brands like Coke, Fanta, and Monster Energy. It's also indicative of the excellent record of innovation Coca-Cola has across these labels, further whetting consumers' appetite and keeping revenues moving higher. On Wednesday (6 August), the company issued yet another trading update that beat forecasts. Toasting what it described as a 'strong' first half of 2025, it said net sales rose 8.6% (or 9.9% on an organic basis) to €5.6bn. Organic volumes rose 2.6%, to 1.5bn cases. Earnings before interest and tax (EBIT) rose 15.2% to €649.8m, or 11.8% on an organic basis. This was helped by a 0.6% rise in the EBIT margin, to 11.5%. As a consequence, the company raised guidance for the full year. It predicted organic revenue growth 'at the top end' of its 6%-8% forecast. Organic EBIT growth was also tipped to be at the higher end of a 7%-11% projection. More than just a dividend stock Coca-Cola HBC's shares sold off heavily despite this news, however. It seemed investors were unnerved by an organic EBIT drop of 7.2% in its established markets, and a 0.6% decline in developing regions. These drops were attributed to higher marketing investment and strong comparables. Elevated advertising spend is a constant thorn in the company's side, reflecting the huge competitive threats it faces and the lengths it must go to to maintain or grow market share. But think the scale of the share price decline was a gross overreaction. So I bought more of the company's shares on the dip. The drinks bottler isn't just a great buy for dividends, in my opinion. It's also a terrific growth share to consider, reflecting its operational excellence and surging demand across its European and African emerging and developing markets. City analysts expect earnings to increase 15% in 2025, and for the company to raise the full-year dividend 13% to 116 euro cents per share. Sustained rises on both counts are tipped all the way through to 2027 as well. The post Here's why I just bought Coca-Cola HBC, one of the FTSE 100's best dividend shares appeared first on The Motley Fool UK. More reading 5 Stocks For Trying To Build Wealth After 50 One Top Growth Stock from the Motley Fool Royston Wild has positions in Coca-Cola Hbc Ag. The Motley Fool UK has no position in any of the shares mentioned. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors. Motley Fool UK 2025
Yahoo
3 days ago
- Business
- Yahoo
Why market reaction to Coke bottlers' numbers was a surprise
Europe's two major Coke bottlers saw their share prices sour yesterday (6 August) but the market reaction was overplayed. Coca-Cola HBC's half-year figures were in positive territory across the board. The group booked 9.9% organic and 8.6% reported growth in net sales revenue, which reached €5.6bn. Total volumes grew 2.6% in both organic and reported terms, to 1.46bn unit cases. Reported operating profit was also up 13.9% at €644.6m, while net profit grew 23.3% on 2024 to €474.7m. Meanwhile, CCEP's total first-half and second quarter figures were also in the green. Revenue was up 4.5% on a reported and comparable basis to €10.3bn. Reported operating profit grew 19.4$ and 7.3% in comparable terms, to €1.4bn. Comparable profit after taxes increased 2.9% and 15.5% on a reported basis, at €937m. Reported and comparable group volumes increased 4.1% and 5.5% to 1.9bn unit cases. However, in Europe, CCEP's volumes did decline slightly in the period by 0.3% in comparable terms and 1.9% on a reported basis to 1.2bn unit cases. Volumes in South East Asia were also relatively flat a softer consumer environment caused a decline in Indonesia. Much investor disappointment over the past 24 hours has focused on the changes of guidance made by Coca Cola HBC and CCEP for the rest of their financial years. Coca-Cola HBC reiterated its guidance for 2025 but now expects to hit the 'top-end' of its guided ranges for organic revenue growth of 6% to 8%, and organic EBIT growth of 7% to 11%. The group's narrowing to the top-end of the guidance range isn't really bad news, but, as Bernstein's Nadine Sarwat put in a note to clients, today: 'The market (and also sell-side per consensus) was expecting a raise.' Investors had anticipated better. Coca Cola HBC's comparable operating profit was also 'incredibly uneven', she noted, as its emerging markets were the only part of the business to see a significant boost in operating profit at 31%. The company's Established and Developing markets division both dipped in organic EBIT, by 7.2% and 0.6%. At CCEP, the company had previously forecast a 4% increase in revenue for 2025 but tweaked that slightly to an increase of '3% to 4%'. Barclays analyst Lauren Lieberman said the market response was also 'driven by a European volume recovery that came in shy of expectations, which admittedly seemed to creep up over the summer'. Market reaction, however, has not deterred analysts' confidence in either company. According to Sarwat, the market response to Coca-Cola HBC was 'overdone'. She added: 'The market this consumer season has been volatile (to say the least), and in many cases unforgiving on relatively small disappointments." Sarwat, meanwhile, said CCEP had faced 'high expectations' ahead of the release of its results, amid the 'backdrop' of the group being protected from major threats other drinks companies are facing, like US tariffs or vulnerability 'to the uncertain US or China consumer'. Delving deeper into CCEP's second quarter equally doesn't show much reason to panic. In the three-month period, despite seeing a low single-digit dip in sales in South East Asia, linked to Indonesia, the group still saw total reported revenue grow 4.1%. As Sarwat noted: 'The Q2 print itself was solid." Bernstein still expects CCEP to achieve its growth targets but Sarwat did add the bank did not expect the bottler to achieve revenue growth of beyond 4% this year. Reflecting on CCEP's performance, Lieberman said the results wouldn't do much to 'yield a drastic change' in Barclays' expectations for the group's profit or free cash flow in 2025. She added: 'We remain comfortable with the outlook (inclusive of an acceleration in European volumes from here) and continue to like CCEP for its attractive fundamental story in 2025+ and view it as a compelling core holding within broader staples.' Overall, both CCEP and Coca-Cola HBC remain solid performers and, perhaps, the companies' recent strong showings had led some investors tp set their expectations for the rest of the year too high. "Why market reaction to Coke bottlers' numbers was a surprise" was originally created and published by Just Drinks, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Daily Mail
4 days ago
- Business
- Daily Mail
Shares in Coca-Cola bottling firms shattered as tariffs hit
Shares in London-listed firms that bottle Coca-Cola outside of the US plunged on Wednesday as investors weighed the impact of weaker consumer strength as well as trade tariffs. Coca-Cola HBC and Coca-Cola Europacific Partners, which bottle Coca-Cola and other drinks in different regions, have been raising prices to shield margins from elevated costs and lower spending. The pair were the biggest fallers on the FTSE 100 by early afternoon despite solid first half trading updates, as each firm's chief executive acknowledged a challenging backdrop. HBC, which bottles drinks in 29 counties including Italy, Russia and Nigeria, forecast annual organic revenue growth at the top end of its 6 to 8 per cent guidance range but fell short of average market estimates of 8.8 per cent. Its first half volumes were broadly in line with last year, despite 'low-single digit' declines in fizzy drinks and coffee sales, amid 'ongoing headwinds from consumer sensitivity in some markets'. Coca-Cola HBC shares were down 7 per cent to 3,650p by midafternoon. That was despite UBS analysts describing volume growth as 'best in class' and the firm hiking prices to offset prior year foreign exchange devaluations. Meanwhile, Coca-Cola Europacific Partners, which operates in 31 countries in Western Europe, Australia, Asia Pacific and Southeast Asia, guided investors to expect revenue growth of 3 to 4 per cent, down from an earlier forecast of about 4 per cent. The group cited 'uncertainty and volatility from the impact and extent of actual and promised tariff adjustments' among its principal risks, but reiterated full-year profit guidance. Boss Damian Gammel said: 'While the global macroeconomic environment is volatile, we remain resilient. Strong cash generation is supporting record investment in future growth.' Coca-Cola Europacific Partners fell 7 per cent to 6,730p. The bottlers have over the past year also faced backlashes from consumers in Indonesia, where CCEP operates, and Egypt, where HBC operates, as consumers shied away from US brands due to Israel's war in Gaza.
Daily Mail
4 days ago
- Business
- Daily Mail
Shares in Coca-Cola bottling firms shattered as tariffs hit and consumer demand loses its fizz
Shares in London-listed firms that bottle Coca-Cola outside of the US plunged on Wednesday as investors weighed the impact of weaker consumer strength as well as trade tariffs. Coca-Cola HBC and Coca-Cola Europacific Partners, which bottle Coca-Cola and other drinks in different regions, have been raising prices to shield margins from elevated costs and lower spending. The pair were the biggest fallers on the FTSE 100 by early afternoon despite solid first half trading updates, as each firm's chief executive acknowledged a challenging backdrop. HBC, which bottles drinks in 29 counties including Italy, Russia and Nigeria, forecast annual organic revenue growth at the top end of its 6 to 8 per cent guidance range but fell short of average market estimates of 8.8 per cent. Its first half volumes were broadly in line with last year, despite 'low-single digit' declines in fizzy drinks and coffee sales, amid 'ongoing headwinds from consumer sensitivity in some markets'. Coca-Cola HBC also said US tariffs imposed on Chinese and European goods are expected to 'drive inflation and slow growth'. Boss Zoran Bogdanovic added: 'We are mindful of what is a challenging and unpredictable macroeconomic and geopolitical environment.' Coca-Cola HBC shares were down 7 per cent to 3,650p by midafternoon. That was despite UBS analysts describing volume growth as 'best in class' and the firm hiking prices to offset prior year foreign exchange devaluations. Meanwhile, Coca-Cola Europacific Partners, which operates in 31 countries in Western Europe, Australia, Asia Pacific and Southeast Asia, guided investors to expect revenue growth of 3 to 4 per cent, down from an earlier forecast of about 4 per cent. The group cited 'uncertainty and volatility from the impact and extent of actual and promised tariff adjustments' among its principal risks, but reiterated full-year profit guidance. Boss Damian Gammel said: 'While the global macroeconomic environment is volatile, we remain resilient. Strong cash generation is supporting record investment in future growth.' Coca-Cola Europacific Partners fell 7 per cent to 6,730p The bottlers have over the past year also faced backlashes from consumers in Indonesia, where CCEP operates, and Egypt, where HBC operates, as consumers shied away from US brands due to Israel's war in Gaza.
