By Chandini Monnappa and Simone Lobo
(Reuters) -Bottler Coca-Cola HBC AG reported first-quarter organic revenue growth above market expectations on Wednesday, supported by strong demand in its key emerging markets, sending shares to a record high.
The company, which packages drinks such as Fanta, Sprite and Monster, reiterated its guidance for 2025 but cautioned that it expects the broader macroeconomic and geopolitical environment to be “challenging and unpredictable”.
“We see the business better able to navigate a more challenging environment versus history, given investments made over the past years around commercial capabilities and portfolio.” Jefferies analysts said in a note.
Shares rose as much as 5.2% to 3,950 pence to a record high.
CCH, the bottling partner for Coca-Cola, has been grappling with a high-cost environment and has previously modified prices in an attempt to ease pressures from high inflation and foreign exchange devaluations in Africa.
On Wednesday, CEO Zoran Bogdanovic told Reuters that the company expects the direct impact from U.S. tariffs to be negligible as CCH produces and sources locally, adding that the Swiss-headquartered company is agile and will adapt to any potential indirect impact.
Companies globally are processing the potential impact of a trade war triggered by the Trump administration’s tariffs, with executives sounding the alarm over how U.S. trade policies have sapped consumer and business sentiment.
Organic revenue grew 10.6% in the first quarter, above analysts’ estimate of 8.3%, according to a company-compiled poll.
Emerging markets, which include African, Central and Eastern European countries reported a 20.3% quarterly growth, the Swiss company said.
The company also reaffirmed its guidance for 6% to 8% growth in annual organic revenue, compared to analysts’ estimate of an 8% increase for 2025.
(Reporting by Chandini Monnappa and Simone Lobo in Bengaluru; Editing by Eileen Soreng and Janane Venkatraman)
