Coca-Cola Amatil reports strong Q3 growth, Mother outperforming expectations
Australia’s largest soft drink producer today announced they remained on track to meet their guidance for the full year, while Mother and Glacéau vitaminwater continue to outperform expectations.
“The Australian beverage business achieved solid volume and revenue growth in the third quarter,” the firm advised in their trading update. “Transaction volume growth, being the number of physical beverage packs sold, also remained robust as the business continued to benefit from successful new product and package innovation, as well as increased market penetration of cold drink coolers.”
“Glacéau vitaminwater and Mother energy drink continue to perform above expectations.”
CCA reported that Mother was consolidating a leading position in food stores, with a 31% market share. This figure has been helped by continued growth in multi-pack cans and the launch of Mother Surge in July.
Their food and services division, SPC Ardmona, which has struggled in recent years due to persistent drought, had a robust quarter, with “solid volume growth” in their major categories (fruit, fruit snacks, baked beans and spaghetti, tomatoes and spreads).
Their Pacific Beverages Joint Venture with SABMiller produced another strong performance as premium beer demand remained high. Pacific Beverages’ premium beer brands now account for 9% of the Australian premium beer market by both volume and value, the company advised.
“CCA is confident that its previous earnings guidance of high single digit growth in both earnings before interest and tax and net profit after tax for the second half will be achieved,” the company said. “This guidance assumes a normal summer trading season in Australia and New Zealand in November and December, as these two months account for approximately 20% of CCA’s trading revenue.”