• Half-year sales rise by 15.8% to EUR1.16bn (US$1.36bn)
  • Net profits for six months to end of June slide 5.7% to EUR33m
  • Operating losses increase to EUR457m from EUR372m a year ago
  • Volumes jump 23% as new purchases come online
Refrescos half-year numbers include recent acquisitions in Europe and the US

Refresco's half-year numbers include recent acquisitions in Europe and the US

Refresco has posted lifts in sales and volumes for the first half of 2017, as the group readies for the arrival of Cott Corp's North America, UK and Mexico operations.

The retailer's soft drinks and juice bottler, which announced the US$1.25bn purchase of Cott Beverages last month, said earlier this week that sales in the six months to the end of June jumped by almost 16% on a 23% rise in volumes. The results include figures from European can filler DIS in Europe and US bottler Whitlock Packaging, both of whom Refresco acquired last year.

Refresco Half-Year 2017 - Net Volumes by Region

Source: Company results

The group's bottom line was hit by costs related to the DIS and Whitlock acquisitions, volume fluctuations in the second quarter and "significant start-up costs relating to recently-installed new production lines across the business".

"We are pleased to report strong volumes growth in Europe and the US (in the second quarter), driven by acquisitions and organic growth," said CEO Hans Roelofs. "On a like-for-like basis, volumes in retail brands remained stable and contract manufacturing for A-brands was up double digit."

Refresco used the results statement to provide further detail on its Cott Beverages purchase, which should close later this year. "The acquisition anticipates the expected retail brands market growth in the US driven by the expansion of hard discounters, expanding footprint of online retailers and macro factors enabling retail brands growth," the company said. "The acquisition has significant synergy potential of around EUR47m."

On outlook, the group said it expects its organic volumes to grow in the medium term by between low and mid single-digits.

To view Refresco's official results statement, click here.

What is Refresco buying from Cott Corp for US$1.25bn? - Click here for a just-drinks focus