TURKEY: Tough conditions for beer counter soft drinks rises in Anadolu Efes Q1
- Pro-forma EBITDA in Q1 falls by 19.2% year-on-year to TRL222.2m (US$123.9m)
- Pro-forma net sales rise by 2.9% in three months to end of March, hitting TRL1.70bn
- Volumes also increase slightly on pro-forma basis
- Re-stating of Coca-Cola Icecek numbers in Q1 sees sales, profits soar
Anadolu Efes posted its Q1 results yesterday
The consolidation of Coca-Cola Icecek's numbers into Anadolu Efes' Q1 performance has seen the Turkish drinks company post soaring sales and profits in the first three months of 2013.
Anadolu Efes, which is the largest shareholder in Coca-Cola Icecek, said yesterday (8 May) that EBITDA in the three months to the end of March leapt by 40.2% to TRL 222.2m (US$123.9m). Sales hit TRL1.70bn, a 120% leap, as volumes jumped to 16.2m hectolitres from 5.2m in Q1 2012.
Since 1 January, the company has fully consolidated Coca-Cola Icecek into its results.
Prior to this date, CCI had been consolidated into Anadolu Efes’ financial results by using the "proportionate consolidation method ".
On a pro-forma basis, however, EBITDA fell by 19.2% as sales rose by 2.9%. Volumes were up by 4.4% on a pro-forma basis, with soft drinks volumes jumping by 20% and beer volumes falling by 19%.
The company noted that sales in the quarter were helped by local price increases across all sectors. Per unit sales prices were "slightly diluted", Anadolu said, due to the higher contribution of lower-priced soft drink segment sales.
Anadolu warned that the trends in Turkey and Russia's beer markets are "behind the ones on which our full-year guidance was based on", with competitive pressures and unfavourable weather in Turkey and "regulatory issues" in Russia being blamed for the 10.3% and 2.7% slides in volumes, respectively.
"Consequently," the company said, "we no longer expect to meet the previously provided 2013 guidance for both operations, while we believe it would be more appropriate to revise the outlook after seeing the first half performance as the first quarter of the year may not be a good indicator for the full-year performance."
To read the company's official release, click here.
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