Coca-Cola Amatil Managing director Alison Watkins told attendees at the annual meeting that 2019 would be another “transition” year for the company.
Watkins said CCA would not meet its target for mid single digit earnings per share growth due to heavy investment in the domestic market aimed at reversing a long term decline in volumes.
Last year marked the first of a two-year transition program and saw a 6.5 per cent decrease in underlying earnings before interest and tax to $634.5 million.
Earnings were impacted by investment in its Australian and Indonesian businesses, the implementation of container deposit schemes as well as economic and operational challenges in overseas markets.
Watkins said Australian Beverages is positioned for growth in 2020 with the completion of the additional $10 million investment in its Accelerated Australian Growth Plan to increase its salesforce, and with container deposit schemes in place in NSW and Queensland by the end of 2019.
Amatil referenced the divestment of SPC saying the company is “confident” that the divestment is the right course for the brand.