Coca-Cola posts modest sales growth in full-year results

Coca-Cola, the world's biggest soft-drinks maker, posted modest gains in net sales revenue over the full year as unit case volumes declined in established markets and it warned of continued volatility in its Italian market.

Coca-Cola, the world's biggest soft-drinks maker, posted modest gains in net sales revenue over the full year as unit case volumes declined in established markets and it warned of continued volatility in its Italian market.

The company reported a 3.0% rise in net sales revenue to €7,045m and a 6.0% increase in goods sold to €4,518m over the full year.

Volume grew by 2.0% in the fourth quarter of 2012. However, an 8.0% volume increase in emerging markets and a 1.0% volume increase in emerging markets were partly offset by a 5.0% volume decline in established markets.

Weakness in all key categories in Greece and a decline in sparkling beverages in Italy were the key drivers of the volume decline in the established markets segment during the quarter, the group reported.

Volume in Italy declined by mid-single digits in the fourth quarter, reflecting the increasing weakness in underlying economic and trading conditions. The company said that austerity measures were negatively affecting disposable income and unemployment continued to rise.

"We expect volatility to continue, particularly in view of the upcoming elections in February and the further one percentage point VAT increase in July," the company said.

Comparable operating profit in the established markets segment declined to €13m in the fourth quarter and €160m in the full year 2012.

"Lower volume, increased raw material costs and negative category mix more than offset the improvement in price mix and the benefits from our restructuring initiatives, which resulted in lower operating expenses in the fourth quarter, as well as the full year," the company results explained.

MF

Recommended

The top funds to invest in now
Funds

The top funds to invest in now

As market volatility continues, here are the top funds, stocks and investment trusts investors are putting their money into, according to one investme…
2 Dec 2022
7 sin stocks to buy yielding up to 8%!
Share tips

7 sin stocks to buy yielding up to 8%!

Sin stocks don’t have the best reputation, but when it comes to investment returns, they’re certainly worth a closer look.
2 Dec 2022
Share tips of the week – 2 December
Share tips

Share tips of the week – 2 December

MoneyWeek’s comprehensive guide to the best of this week’s share tips from the rest of the UK's financial pages.
2 Dec 2022
3 emerging-market stocks to watch
Share tips

3 emerging-market stocks to watch

The top emerging-market stocks to keep an eye on, according to Union Bancaire Privée’s Eli Koen.
1 Dec 2022

Most Popular

Is it cheaper to leave the heating on low all day?
Personal finance

Is it cheaper to leave the heating on low all day?

The weather is getting colder and energy bills are rising, but is it really cheaper to leave the heating on low all day or should you only turn it on …
1 Dec 2022
Radiator vs electric heater – which is cheaper?
Personal finance

Radiator vs electric heater – which is cheaper?

We compare the costs, pros and cons of radiators and electric heaters and see which one will help keep your energy bill as low as possible.
28 Nov 2022
State pension errors – why tens of thousands of mothers could be missing out on millions in state pension payments
State pensions

State pension errors – why tens of thousands of mothers could be missing out on millions in state pension payments

LCP launches Mothers Missing Millions campaign amid DWP state pension errors.
3 Dec 2022