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• Organic Revenue Growth: 13.8% increase in 2024.

• Volume Growth: 2.8% increase in 2024.

• Comparable EBIT: EUR 1.2 billion, up 12.2% year-on-year.

• Comparable EBIT Margin: Improved to 11.1% from 10.6% in 2023.

• Comparable EPS Growth: 9.5% year-on-year increase.

• Return on Invested Capital: Improved by 190 basis points to 18.3% in 2024.

• Revenue per Case: Grew 10.7% in 2024.

• CapEx: EUR 679 million, representing 6.3% of revenue.

• Free Cash Flow: EUR 730 million.

• Net Debt to Comparable EBITDA: 1 times at year-end.

• Dividend Recommendation: EUR 1.03, up 11% from 2023.

• Share Buyback: EUR 226 million returned, approximately 2% of sales outstanding.

• Established Segment Revenue Growth: 3.3% increase.

• Developing Segment Revenue Growth: 12.7% increase.

• Emerging Segment Revenue Growth: 23.3% increase.

• Energy Category Growth: Double-digit volume expansion for the ninth consecutive year.

• Outlets Added: 4,300 new outlets in the Coffee segment.

• Warning! GuruFocus has detected 7 Warning Signs with CCHBF.

Release Date: February 13, 2025

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

• Coca-Cola HBC AG (CCHBF) achieved a strong organic revenue growth of 13.8% in 2024, with volume expansion of 2.8%.

• The company reported its highest ever comparable EBIT of EUR 1.2 billion, marking a 12.2% year-on-year increase.

• Coca-Cola HBC AG (CCHBF) gained 150 basis points in value share within the NARTD category in Europe, continuing to lead in retail customers' absolute revenue growth.

• The company has been recognized as the world's most sustainable beverage company by the 2024 Dow Jones Best-in-Class Indices.

• Coca-Cola HBC AG (CCHBF) continues to invest in its 24/7 portfolio, focusing on high-potential categories like Sparkling, Energy, and Coffee, and expanding its premium spirits offerings.

Negative Points

• The company faces ongoing macroeconomic challenges, particularly in the Emerging segment, with significant currency headwinds in large markets like Nigeria and Egypt.

• There is continued consumer price sensitivity across several markets, necessitating adjustments in pricing and promotions.

• Operating expenses as a percentage of revenue increased by 70 basis points, partly due to noncash foreign currency remeasurement in emerging markets.

• The Established segment saw flat comparable EBIT due to operational leverage being offset by ongoing investments.

• Coca-Cola HBC AG (CCHBF) anticipates continued inflationary pressures on costs, particularly in aluminum, freight, and secondary packaging materials.

Q & A Highlights

Q: Can you explain the rationale behind the 2025 guidance of 7% to 11% organic EBIT growth, given the uncertain environment? A: Anastasis Stamoulis, Group CFO, explained that despite the dynamic market trends and volatile political landscape, Coca-Cola HBC is confident in its ability to execute and drive performance. While there is some inflationary pressure expected, particularly in aluminum and freight costs, the company has a strong hedging position, with about 60% coverage on key commodities, which supports their guidance.