NOT MUCH FIZZ BUT COKE HAPPY
COCA-COLA Amatil expects future earnings to be more stable despite generally weak trading and economic conditions in Australia and Indonesia.
CCA has recorded a flat first half profit as earnings from its core Australian business fell, and the Indonesian market did not do as well as expected.
The soft drinks giant made a net profit of $183.9 million for the six months to July 3, up from $182.3 million a year ago.
CCA group managing director Alison Watkins said the results were achieved “despite trading and economic conditions that were more challenging than expected in our two major markets, demonstrating the effectiveness of our underlying strategy,” she said.
She said CCA was making good progress on improving its business operations, through cost cuts, new products, and increased marketing.
Its shares rallied 23 to $8.78 which CMC chief market analyst Ric Spooner said reflected the result being slightly better then expected. Shareholders will receive a 20 a share dividend, partly franked.