2021 Half year results

Strong momentum across all segments

Coca-Cola HBC AG, a growth-focused Consumer Packaged Goods business and strategic bottling partner of The Coca-Cola Company, reports its financial results for the six months ended 2 July 2021.

Half-year highlights

• Ongoing recovery and effective execution drove additional momentum and share gains in Q2, with H1 FX-neutral revenue growth +23.1% like-for-like¹. Reported revenues +14.7%
  • FX-neutral net sales revenue closed 4% above 2019 levels (like-for-like)
  • Value share gains increased, + 50bps in NARTD
• Volume growth of 15.9% like-for-like; sustained performance in the at-home channel complemented by recovery in out-of-home during Q2
• Improvements in FX-neutral revenue per case, benefited from pricing taken in over 90% of our markets and positive category, package and channel mix
• Prioritisation of opportunities and innovation within our 24/7 portfolio is building momentum
  • Sparkling volume +16.2%, with Adult sparkling +37.0% and Low/no sugar +40.3%
  • Energy volume + 66.1%, driven by the performance of Monster, Burn and Predator
• Costa Coffee roll-out continues to progress well; Coffee strategy strengthened with premium Italian brand, Caffè Vergnano, to start distribution by 2022
• Operating leverage and cost savings resulted in comparable EBIT margin up 340 bps to 10.8%
  • €120 million of COVID-related opex savings were achieved in 2020. We continue to expect to retain c. €20 million of this in 2021 and therefore €100 million of these costs to return in H2 2021.

Segment highlights

Rebound in Established and Developing segments adding to continued strong results in Emerging

• Established: FX-neutral revenue increased by 17.1% as markets reopened, driving comparable EBIT margins up 440bps
• Developing: FX-neutral revenue up 17.6%, with stable volume performance despite impact from Polish sugar tax; comparable EBIT margins up 180bps
• Emerging: FX-neutral revenue up 30.3% like-for-like; continued strong performance from Russia and Nigeria and recovery through the rest of the segment led to comparable EBIT margins increasing by 340bps

¹Performance, unless stated otherwise, is negatively impacted by the change in classification of our Russian Juice business, Multon, from a joint operation to a joint venture, following its re-organisation in May 2020. For the Group’s growth including the performance of Multon as a joint operation in the current period, refer to the relevant table in the ‘Supplementary information’ section.

^.2For details on APMs refer to ‘Alternative Performance Measures’ and ‘Definitions and reconciliations of APMs’ sections.

³ Refer to the condensed consolidated interim income statement.

⁴ Net profit and comparable net profit refer to net profit and comparable net profit respectively after tax attributable to owners of the parent.