New Delhi:
Global soft drinks major Coca-Cola on Wednesday said while challenges remain in the Indian market, there are signs of recovery in the ‘away-from-home’ segment which was badly hit after the pandemic.
The company has witnessed ”solid growth” in sparkling soft drinks in the markets of China and India in the October-December quarter of 2020, The Coca-Cola Company said in its earnings statement. The company has reported a decline of 4 per cent in its unit case volume for the Asia Pacific market, primarily due to adverse weather in Southeast Asia along with coronavirus-related pressure in away-from-home channels in most markets in the region.
However, the Asia Pacific market zone also reported ”Volume performance included solid growth in sparkling soft drinks in China and India.” The cola major witnessed signs of recovery in the away-from-home segment in India, which is the fifth-largest market for Coca-Cola globally.
”In India challenges remain but signs of recovery in away-from-home,” Coca-Cola said in its investor presentation.
Its operating income declined 2 per cent in the quarter in the Asia Pacific zone.
Unit case volume means the number of unit cases of beverages directly or indirectly sold by the company and its bottling partners to customers.
Overall, the Atlanta-headquartered company has reported a decline of 5 per cent in its consolidated net revenues to USD 8.6 billion.
”This was driven by a 3 per cent decline in price/mix while concentrate sales were even,” it said.
For the year 2020, Coca-Cola’s net revenues declined 11 per cent to USD 33 billion. James Quincey, chairman and CEO of The Coca-Cola Company, said: ”The progress we made in 2020, including the actions taken to accelerate the transformation of our company, gives us confidence in returning to growth in the year ahead.” ”While near-term uncertainty remains, we are well-positioned to emerge stronger from the crisis, driven by our purpose and our beverages for life ambition,” he added.
