Bottler Coca-Cola HBC lifts profit forecast as demand stays strong
Bottler Coca-Cola HBC lifts profit forecast as demand stays strong Aug 5 (Reuters) - Switzerland-based bottler Coca-Cola HBC CCH.L narrowed its annual organic operating profit growth towards the higher side of its forecast range on Wednesday, boosted by strong demand for beverages and a lift from sales linked to the soccer World Cup.
The bottling partner for Coca-Cola KO.N in Central and Eastern Europe and Africa benefited from the U.S. beverage giant's World Cup partnership, which has helped lift spending morale among fans despite an uncertain economic and geopolitical background.
"Strong partnerships are at the heart of our business, and successful FIFA World Cup activations with our customers, including unique fan experiences and special-edition Coca-Cola and Powerade packs, were among the highlights of the period," CEO Zoran Bogdanovic said in a statement.
T The bottler for beverages such as Coca-Cola, Sprite and Fanta now expects organic operating profit growth of 8% to 10% for fiscal 2026, compared to previous guidance of 7% to 10%, on the strength of its first half.
The company also expects annual organic revenue growth around the top end of its guidance range of 6% to 7%.
Rising inflation and commodity costs stemming from the Iran war have also hurt businesses and prompted them to hedge against swings. Coca-Cola HBC did not specify how much it was hedged, but said it aims to manage its exposure to sugar, aluminium, aluminium premium, gas oil, corn and plastics price volatility.
The company, which also sells energy drinks, coffee and sparkling drinks, reported comparable operating profit of €760.1 million ($876.70 million) for the six months ended July 3, 2026, above company-provided analyst estimates of €731.1 million.
It also said it was on track to complete the acquisition of its African counterpart during the second half.
($1 = 0.8670 euros)
(Reporting by Simone Lobo in Bengaluru; Editing by Rashmi Aich)
((Simone.Lobo@thomsonreuters.com, +919920570373))