Coca-Cola Amatil expects to report profit growth of around 5% in the first half

Coca-Cola Amatil expects to report profit growth of around 5% in the first half

Coca-Cola Amatil (CCA) has said that it expects to report an increase in profits of around 5% in the first half of 2011, after extreme weather and a rise in commodity costs took their toll on growth at the start of the year.

The forecast, released by the Australian top soft drinks bottler today (4 May), suggests a slowdown from the firm's full-year profit growth of 10.8% in 2010. CCA said it expects to report an increase in profits before one-time items of around 5% in the first half, and around 6% to 7% before the impact of currency translation on offshore earnings.

"Devastating natural disasters, higher resin prices and the impact from the strengthening Australian dollar have all taken the gloss of what was a promising start to the year," said CCA's group managing director, Terry Davis.

CCA will publish its interim results on 9 August.

To read CCA's trading update, click here.