6th Aug 2020 14:29
(Alliance News) - Coca-Cola European Partners PLC on Thursday reported a significant hit from the challenges posed by Covid-19 in the first half of 2020.
The Middlesex, England-based independent Coca-Cola bottler said pretax profit in the first half, ended June 26 dropped by two thirds to EUR211.0 million from EUR678.0 million a year prior.
Revenue for the half was down 17% to EUR4.84 billion from EUR5.80 billion the year before.
The company - which distributes soft drinks in the UK, France, Spain, Germany and elsewhere in Europe - saw its heaviest losses in away-from-home volumes which halved in the second quarter, the height of the lockdowns across Europe. Volumes for the full half were down 15% to 1.04 billion unit cases from 1.21 billion unit cases year on year.
Chief Executive Damian Gammell said: "We saw lower demand for immediate consumption and widespread outlet closures in the away from home channel but we quickly adapted, placing greater emphasis on the home channel, including the growth in online and future consumption, and I am particularly pleased that continued to gain overall market share."
No dividend was declared for the interim, compared to an interim dividend of EUR0.62 per share a year prior.
Coca-Cola European Partners said it has decided to defer consideration of a 2020 full-year dividend, in place of two interim dividends, until the third quarter of 2020, which ends in September.
Gammell said: "We are focused on leveraging our solid capabilities to drive a robust second half recovery and we are confident about the future of our business, led by an even stronger sustainability and digital agenda."
The stock was untraded in London on Thursday at EUR34.15.
By Greg Roxburgh; [email protected]
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