Coca-Cola HBC AG, the bottler of The Coca-Cola Company in Nigeria said its business in Africa’s largest economy continued to decline for the full year 2018.
Operating via its wholly-owned subsidiary, Nigerian Bottling Company, NBC, with brands such Coke, Fanta and Sprite, the company said Nigerian volumes declined for the year as a result of competitive pressures.
The company said in its full-year financial report that emerging segment price/mix growth, up 2.4%, was a moderation from prior years due to the cycling of 2016/17 price increases in Nigeria and lower Premium Spirits sales in Russia.
However, overall volume growth accelerated to 4.2%, with growth in all segments, driven by Sparkling beverages.
Gross revenue for the London-listed bottler rose to €6.6 billion compared to €6.5 billion reported in the year before.
Net profit for the year rose slightly to €447 million compared to €426 million reported in the previous year.
Zoran Bogdanovic, Chief Executive Officer of Coca-Cola HBC AG, commented:
“In 2018 we delivered another very good performance with revenue growth above our target range and another step up in margins. Strong volume growth in all our segments was helped by a record number of new product launches, whilst price/mix improved for the eighth consecutive year. This growth supported margin progress, which we delivered while increasing our investment in marketing.
Our sharp focus on cost efficiencies continues while we invest in the business for growth. The shape of the business, capabilities and commitment of our people and our overall commercial proposition give us confidence in our ability to continue to grow revenues and margins.”