Coca Cola Europacific Partners (CCEP) has raised its full year guidance on the back of a strong third quarter.
CCEP hiked guidance for revenue for the 2021 financial year, expecting comparable growth of 29 per cent to 30 per cent, up from 26 per cent to 28 per cent expected before.
Operating profit is expected to show comparable growth of 46 per cent to 49 per cent, up from 40 per cent to 44% per cent previously guided.
The beverage giant’s senior vice president and CFO did not rule out price hikes on products.
However, the brand had to strike a “fine balance” between protecting short term margins and managing affordability for the consumer, Nik Jhangiani told CityA.M.
The company was “very happy” with how it had navigated problems looming over the retail sector, such as logistics disruption.
“November is critically important,” Jhangiani added. CCEP was moving quickly to ensure shelves would be stocked with products for the Christmas socialising season.
The company pointed to a successful integration of Coca-Cola Amatil, following a merger between the Australian soft drink bottler earlier this year.
Shares were up four per cent on Tuesday afternoon.
Damian Gammell, chief executive officer, said: “We continue to protect our business for the short-term and are confident in our ability to mitigate near-term inflationary pressures and navigate global supply chain challenges as we head into next year.
“Key levers are pricing, mix, procurement initiatives and our transformational efficiency programmes. We’re combining these levers with disciplined investments for long-term future growth, particularly in our portfolio, our people, digital and sustainability.