Shares of Coca-Cola European Partners PLC (NASDAQ:CCEP) dropped 8.06% on Wednesday following the company’s decision to lower its full-year revenue growth guidance to 3-4%, down from the prior estimate of around 4%, despite delivering first-half results mostly in line with expectations.
The revised outlook mainly reflects persistent challenges in Indonesia, where volumes experienced a double-digit decline amid a tough consumer backdrop.
For the first half, the firm posted an adjusted comparable volume increase of 0.3%, slightly surpassing the consensus expectation of -0.4%. Revenue on a foreign-exchange neutral basis rose 2.5%, just shy of the 2.6% forecast by analysts.
Adjusted comparable revenue per unit case rose 3.8%, fueled by effective pricing strategies, optimized promotions, and a favorable mix of packaging.
In Europe, signs of recovery emerged with volumes growing 1.2% in the second quarter, supported by the timing of Easter and better weather.
Meanwhile, the Asia Pacific division was dragged down by Indonesia’s struggles, although Australia and the Philippines continued to show growth.
“We’re pleased to have delivered a solid first half performance,” stated CEO Damian Gammell. “We’ve continued to grow share ahead of the market, create value for our customers, and deliver solid gains in revenue per unit case through revenue and margin growth management.”
Despite the reduced revenue guidance, the company upheld its full-year operating profit growth forecast of about 7%, along with a free cash flow target of at least €1.7 billion.
Comparable operating profit for the first half reached €1,390 million, marking a 7.2% rise on an FX-neutral basis, while comparable diluted earnings per share increased 3.1% to €2.02.
The company announced an interim dividend of €0.79 per share and confirmed it has completed roughly €460 million of its €1 billion share repurchase program initiated in February 2025.
Coca Cola Europacific Partners stock price
This content is for informational purposes only and does not constitute financial, investment, or other professional advice. It should not be considered a recommendation to buy or sell any securities or financial instruments. All investments involve risk, including the potential loss of principal. Past performance is not indicative of future results. You should conduct your own research and consult with a qualified financial advisor before making any investment decisions.