THIRD QUARTER HIGHLIGHTS

  Q3 Q3 %
  2013 2012 (1) Change
Volume (m unit cases) 575 594 -3%
Net Sales Revenue (€ m) 1,918 2,021 -5%
Net Sales Revenue per Unit Case (€) 3.34 3.40 -2%
Currency Neutral Net Sales Revenue per Unit Case (€) 3.45 3.40  1%
Comparable Cost of Goods Sold 1,213 1,281 -5%
Comparable EBIT (€ m) 207 211 -2%
Comparable Net Profit2 (€ m) 148 156 -5%
Comparable EPS (€) 0.41 0.44 -7%
       
  Nine Months Nine Months %
Change
  2013 2012 (1)
Volume (m unit cases) 1,579 1,608 -2%
Net Sales Revenue (€ m) 5,299 5,440 -3%
Net Sales Revenue per Unit Case (€) 3.36 3.38 -1%
Currency Neutral Net Sales Revenue per Unit Case (€) 3.42 3.38 1%
Comparable Cost of Goods Sold 3,396 3,468 -2%
Comparable EBIT (€ m) 386 398 -3%
Comparable Net Profit2 (€ m) 259 263 -2%
Comparable EPS (€) 0.71 0.72 -1%

Notes
1 Comparative amounts have been adjusted to reflect the impact of new accounting standards adopted in 2012, as detailed in note 1 to the condensed consolidated interim financial statements.
2 Comparable Net Profit refers to comparable net profit after tax attributable to owners of the parent.

Third Quarter 2013 Nine Months 2013
  • Volume declined by 3% in the quarter. It declined by 4% in our emerging and established markets and by 2% in our developing markets.
  • Sales: Net sales revenue declined by 5%. Currency neutral net sales revenue per case grew by 1.4%, this being the ninth consecutive quarter of growth.
  • Comparable operating profit (EBIT): Our revenue growth initiatives and a decline in total input costs in absolute terms more than offset the lower volume and the unfavourable currency movements, leading to a 20 bps gross profit margin improvement. Comparable EBIT declined by 2%. EBIT margin improved by 40 bps due to improved gross profit margin and lower operating expenses, which declined by 20 bps as a percentage of net sales revenue.
  • Volume declined by 2% with emerging markets posting a 1% increase which was offset by a 3% decline in developing markets and a 5% decline in established markets.
  • Sales: Net sales revenue declined by 3%. Currency neutral net sales revenue per case grew by 1.2%.
  • Comparable operating profit (EBIT): Our revenue growth initiatives more than offset total input cost increases in absolute terms, although they were not sufficient to prevent a gross margin decline. In addition, unfavourable foreign currency movements and lower volume were only partly offset by the lower operating expenses, which declined by 30 bps as a percentage of net sales revenue. This resulted in a 3% decline in comparable operating profit and a flat comparable EBIT margin year-over-year.
  • Nine months 2013 market shares: We continued to win in the marketplace. We gained or maintained volume share in sparkling beverages in the majority of our markets including Austria, Greece, Ireland, Italy, Switzerland, the Czech Republic, Romania, Russia, Serbia and Ukraine.
  • Nine months 2013 free cash flow: We continue to generate solid free cash flow. In the first nine months of the year, we generated free cash flow of €345 million.

Dimitris Lois, Chief Executive Officer of Coca‑Cola HBC AG, commented:

Currency neutral net sales revenue per case increased for the ninth consecutive quarter. The volume decline in our established and developing markets reflects the ongoing difficult macroeconomic environment in Europe. Our emerging markets were characterised by varying levels of performance and more difficult comparables, concealing the underlying growth in some of our countries. Trademark Coca‑Cola products grew by 3% and remained a key driver of volume in the quarter.

We are very pleased to deliver margin improvements at both the comparable gross profit and EBIT level in the third quarter. This is a clear reflection of our ongoing commitment to improve our operational efficiency.

We anticipate that the trading conditions will remain difficult for the rest of 2013. We are confident in our ability to continue to drive operational performance and deliver on our strategic commitments: winning in the marketplace, growing currency neutral net sales revenue per case and focusing on cost leadership through tight operating expense control and disciplined working capital management.

In addition, our business continues to generate significant free cash flow, enabling us to invest in sustainable growth and create long-term shareholder value.

We are proud that our commitment to sustainable, profitable growth has been recognised for the sixth consecutive year through our inclusion in the Dow Jones Sustainability Index, ranking first in Europe and second in the World in the beverages sector.”

Conference call

Coca‑Cola HBC will host a conference call with financial analysts to discuss the third quarter and nine month financial results on 7 November 2013 at 10:00 am Swiss time (9:00 am London, 11:00am Athens, and 4:00 am New York time). Interested parties can access the live, audio webcast of the call through Coca‑Cola HBC’s website (www.coca-colahellenic.com/investorrelations/webcasts).

Enquiries  
Coca‑Cola HBC AG
Oya Gur
Investor Relations Director
Tel:
email: oya.gur@cchellenic.com
   
Eri Tziveli
Investor Relations Manager
Tel:   
email: eri.tziveli@cchellenic.com
   
Dimitris Bakas
Investor Relations Manager
Tel:
email: dimitris.bakas@cchellenic.com
   
International media contact: Tel:
   
RLM Finsbury
Guy Lamming
Charles Chichester
Philip Walters
Charles O’ Brien
email: guy.lamming@rlmfinsbury.com
email: charles.chichester@rlmfinsbury.com
email: philip.walters@rlmfinsbury.com
email: charles.o’brien@rlmfinsbury.com
   
Greek media contact:  
   
V+O Communications
Mary Andreadi
Tel:
email: ma@vando.gr