Coca-Cola European Partners Benefits From Improved Platform For Growth
Coca-Cola European Partners, the world’s largest independent Coca-Cola bottler based on revenue, has reported a 12% increase in operating profit to €851 million on net revenue up by 44.5% to €9.1 billion for the year ended 31 December 2016, reflecting the inclusion of Germany and Iberia in 2016.
Created following last year’s merger of Coca-Cola Enterprises (CCE), Coca-Cola Iberian Partners (CCIP) and Germany-based Coca-Cola Erfrischungsgetranke (CCEG), Coca-Cola European Partners serves over 300 million consumers across Western Europe, including Andorra, Belgium, continental France, Germany, Great Britain, Luxembourg, Monaco, the Netherlands, Norway, Portugal, Spain and Sweden. Subsequent to the close of the merger, CCEP acquired Vifilfell, the Icelandic Coca-Cola bottler.
Pro forma comparable operating profit for 2016 was €1.4 billion, up 1.0%, or up 5.0% on a pro forma comparable and fx-neutral basis. Full-year pro forma comparable revenue was €10.9 billion, down 1.5%, or up 1.0% on a pro forma comparable and fx-neutral basis. Revenue per unit case grew 0.5% on a pro forma comparable and fx-neutral basis. Volume increased 0.5% on a pro forma comparable basis.
Damian Gammell, chief executive of Coca-Cola European Partners.
“During 2016, we successfully brought together the businesses of Coca-Cola European Partners, while delivering our growth objectives for revenue, profit, and diluted earnings per share,” says Damian Gammell, chief executive of Coca-Cola European Partners. “This transaction, completed only 10 months ago, establishes an improved platform for growth as we diversify and increase our portfolio value, collaborate to win with our customers, and operate more efficiently, effectively, and locally to capture the market opportunities.”
“As we worked to integrate our business in 2016, our company remained focused on driving core revenue, operating profit, and improving profit margins,” he adds. “We believe the operating advantages of our new company, coupled with the skill and dedication of our people, will enable us to deliver consistent, value-building growth that creates benefits for our stakeholders and drives shareholder value.”
Coca-Cola European Partners remains on track to achieve pre-tax savings of €315 million to €340 million through synergies by mid-2019.
