Coca-Cola HBC lifts guidance after strong first half
By Frank Prenesti
Date: Wednesday 05 Aug 2026
(Sharecast News) - Coca‑Cola HBC lifted its full‑year guidance on Wednesday after delivering a strong first half, with operating profit rising sharply on the back of broad‑based volume growth and improved margins.
The group said organic EBIT is now expected to grow 8%-10% in 2026, up from its previous 7%-10% range, reflecting better‑than‑expected profitability across all segments.
Comparable operating profit for the period increased 15.2% organically to €760.1m, supported by a 7.5% rise in volumes and firmer gross margins. Reported EBIT rose 17.0%, helped by a modest foreign‑exchange tailwind.
Organic revenue grew 9.6% to €6.23bn, with reported revenue up 10.8%. The company said volume momentum strengthened through the second quarter, with underlying Q2 growth of 5.8% despite fewer selling days than in Q1. Sparkling volumes rose 6.4%, energy surged 26.1%, and coffee grew 24.5% in the out‑of‑home channel.
Gross profit margin expanded 110 basis points to 37.8%, reflecting easing input‑cost inflation and improved mix. Cost of goods sold increased 9.2%, broadly in line with volume growth, while operating expenses rose 12.8% due to higher marketing investment around major events including the FIFA World Cup and Olympic Winter Games.
The group said its 24/7 portfolio continued to deliver strong engagement, with Coke Zero Sugar Zero Caffeine posting triple‑digit growth following its new visual identity launch across 18 markets. Monster also benefited from new flavour launches and motorsport‑linked activations, while Powerade saw strong demand tied to global sports events.
All three geographic segments contributed to the first‑half performance. Established markets delivered 6.2% organic revenue growth, supported by mid‑single‑digit Sparkling gains and strong Energy demand. Developing markets grew 9.0% organically, with Hungary and Czech Republic performing particularly well. Emerging markets led the group with 12.0% organic revenue growth and 23.9% organic EBIT growth.
Free cash flow came in at €215.7m, down 11.8% year‑on‑year due to higher capital expenditure, which rose to €378.9m as the group continued to invest in production capacity, automation and digital capabilities.
Coca‑Cola HBC said it remained on track to complete the acquisition of Coca‑Cola Beverages Africa in the second half, with antitrust clearance secured in four of six jurisdictions.
Chief executive Zoran Bogdanovic said the upgraded guidance reflected strong execution and resilient demand across the portfolio, adding that the company remained confident despite a challenging macroeconomic backdrop.
Reporting by Frank Prenesti for Sharecast.com
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