Coca-Cola HBC is the second leading Coke bottler in the whole world. It already presented its report for the third quarter of this year. The report stated a flat profit for the quarter ended September 30, 2014. Its cost reductions offset weakening volumes in the country of Russia and other emerging markets.
Coca-Cola HBC said that the markets would be challenging for the rest of this year. However, the company also confirmed their positive expectation for the whole year, making investors feel a little at ease.
The reported net profit of the Coca-Cola HBC amounts to 148.2 million euros, which is just in line with the optimistic forecast of 146.5 million euros resulted from the Reuters poll.
The biggest market of the Coca-Cola HBC is Russia. It is also considered to be the main catalyst of growth for how many years already. Sales volume in Russia is down for the third quarter. It is due to the weaker demand for Coke products that is caused by the stagnating economy, which is partly caused by the Western sanctions over the Ukraine crisis.
According to the Coke bottler, they are doing their best in taking price initiatives in order to mitigate the possible impact of the weakening of Russian and Ukraine markets.