Nov 5 (Reuters) - Coca-Cola Europacific Partners
, a bottling unit of Coca-Cola, lowered its
annual sales forecast on Tuesday in response to reduced demand
for beverages in Europe, as well as weakness in Indonesia linked
to the Middle East conflict.
Although demand for sodas has remained resilient, customers
from lower income groups are becoming more cautious and opting
to eat at home rather than dining out, hurting volumes of
Coca-Cola Europacific Partners.
The company bottles Coca-Cola, Fanta, Sprite and Monster in
Western Europe, Australia and New Zealand and sells drinks to
fast-food chains including McDonald's and KFC-owner Yum Brands,
as part of combo meals.
In Europe, however, volumes declined 1.4% in the third
quarter, compared to a 4% fall in the previous quarter. The
smaller drop was a result of a boost from consumers spending at
music festivals and sporting events such as the Euro 2024
Football Championship and the Paris Olympics.
Volumes in Southeast Asia were impacted by weakness in
Indonesia, a Muslim-majority country, mainly arising from a
boycott of multinational brands in response to the crisis in the
Middle East.
The company's adjusted revenue rose 2.4% to 5.36 billion
euros ($5.84 billion) in the third quarter. Overall comparable
volumes rose 19.1%, while revenue per unit case was 5.32 euros.
Coca-Cola Europacific Partners expects its annual comparable
revenue to rise about 3.5%, compared with a prior forecast of
about 4% growth.
In October, Coca-Cola forecast its annual sales to grow 10%
as growing demand for its higher-priced sodas and juices in the
U.S. helped it post a surprise rise in third-quarter sales.
($1 = 0.9181 euros)