COCA-COLA EUROPACIFIC PARTNERS

 

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION

 

Preliminary unaudited results for the full year ended 31 December 2024

 

Great end to a solid year, well placed for FY25 and beyond; announcing €1bn share buyback* over next 12 months

 

FY 2024 Total CCEP Key Financial Metrics[1]	As Reported		Comparable [1]	Change vs FY 2023			Adjusted Comparable[4]	Change vs FY 2023
				As Reported	Comparable[1]	Comparable FXN[1]		Adjusted Comparable[4]	Adjusted Comparable FXN[4]
Volume (M UC)[2]	3,864		3,864	17.8 %	16.9%		3,965	0.0%
Revenue per UC[2] (€)			5.30			(5.1)%	5.23		2.7%
Revenue (€M)	20,438		20,438	11.7 %	11.7%	11.8 %	20,706	3.3%	3.5%
Operating profit (€M)	2,132		2,663	(8.8)%	12.2%	12.1 %	2,673	8.1%	8.0%
Diluted EPS (€)	3.08		3.95	(15.3)%	6.6%	6.5 %
Comparable free cash flow (€M)			1,817
Dividend per share (€)		1.97

 

DAMIAN GAMMELL, CHIEF EXECUTIVE OFFICER, SAID:

 

"2024 has been another solid year for CCEP with continued robust top and bottom-line growth. Our geographic diversification, reinforced by the Philippines, means we are even more resilient. We've grown share ahead of the market, created value for our customers, delivered underlying volume growth and gains in revenue per unit case through revenue and margin growth management. Actively managing pricing and promotions across our broad pack offering ensures we are relevant to all consumers, while driving profitable revenue growth. Alongside ongoing productivity gains, we drove impressive free cash flow and the early return to our leverage target. This all reflects our great brands, great execution and great people as well as strong relationships with our brand partners and customers, to whom we are extremely grateful.

 

"We are well placed for 2025 and beyond in categories that are growing, with strong investment and commercial plans in place to drive growth. We are confident that we have the right strategy, done sustainably to deliver on our mid-term growth objectives. Our FY25 guidance, combined with the resumption of share buybacks, demonstrate the strength of our business and our ability to deliver continued shareholder value. We have the platform and momentum to go even further while continuing to be a great partner for our customers and a great place to work for our colleagues. We look forward to sharing more on our exciting future at our capital markets event in May."

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* Buyback programme of up to €1bn is subject to further shareholder approval at the 2025 Annual General Meeting. For detailed footnotes see below.

 

FY 2024 Metric[1]	As Reported		Comparable[1]	Change vs FY 2023			Adjusted Comparable[4]	Change vs FY 2023
				As Reported	Comparable[1]	Comparable FXN[1]		Adjusted Comparable[4]	Adjusted Comparable FXN[4]
Total CCEP
Volume (M UC)[2]	3,864		3,864	17.8 %	16.9 %		3,965	0.0 %
Revenue (€M)	20,438		20,438	11.7 %	11.7 %	11.8 %	20,706	3.3 %	3.5 %
Cost of sales (€M)	13,227		13,155	14.2 %	13.6 %	13.8 %	13,369	3.2 %	3.4 %
Operating profit (€M)	2,132		2,663	(8.8)%	12.2 %	12.1 %	2,673	8.1 %	8.0 %
Profit after taxes (€M)	1,444		1,849	(13.5)%	8.7 %	8.6 %
Diluted EPS (€)	3.08		3.95	(15.3)%	6.6 %	6.5 %
Revenue per UC[2] (€)			5.30			(5.1)%	5.23		2.7 %
Cost of sales per UC[2] (€)			3.41			(3.4)%	3.38		2.6 %
Comparable free cash flow (€M)			1,817
Dividend per share* (€)		1.97
Europe
Volume (M UC)[2]	2,601		2,601	(1.6)%	(2.4)%		2,601	(2.4)%
Revenue (€M)	14,971		14,971	2.9 %	2.9 %	2.3 %	14,971	2.9 %	2.3 %
Operating profit (€M)	1,769		2,015	(4.0)%	6.7 %	6.0 %	2,015	6.7 %	6.0 %
Revenue per UC[2] (€)			5.72			4.0 %	5.72		4.0 %
APS (Australia, Pacific & Southeast Asia)
Volume (M UC)[2]	1,263		1,263	98.9 %	97.3 %		1,364	4.9 %
Revenue (€M)	5,467		5,467	45.8 %	45.8 %	48.8 %	5,735	4.4 %	6.6 %
Operating profit (€M)	363		648	(27.0)%	33.6 %	35.9 %	658	12.5 %	14.5 %
Revenue per UC[2] (€)			4.42			(25.2)%	4.29		0.9 %

 

___________________________

Note - Volumes disclosed on a comparable and adjusted comparable basis exclude Q4'24 benefit of additional selling days versus Q4'23. Including the additional selling days adjusted volumes for FY24 +0.8% & for Q4'24 +2.0%

 

FY & Q4 REVENUE HIGHLIGHTS[1],[4]

Revenue                      

FY Reported +11.7%; Adjusted Comparable +3.5%^[3],[4]

•     Continued to deliver more revenue growth for our retail customers in our key markets than any of our FMCG peers^[5]

•     NARTD value share gains^[5] in-store +40bps, online +10bps & in the away-from-home channel (AFH) +10bps

•     Transactions ahead of volume growth in both Europe & APS

•     Adjusted comparable volume 0.0%^[4] : underlying* up 0.7%

◦     By geography:

▪       Europe -2.4% (underlying -1.4%) reflecting great in-market execution offset by strategic de-listing of Capri Sun, mixed summer weather & softer demand in the AFH channel 

▪       APS +4.9% reflecting:

-      Australia/Pacific (AP): solid underlying momentum (excl. strategic bulk water de-listings

in Q2 last year)

-      Southeast Asia (SEA): strong growth driven by demand in the Philippines

◦     By channel: AFH +0.8%; Home -0.6%

▪       Europe: AFH -3.6% impacted by mixed summer weather & softer demand; Home -1.6% (underlying -0.4%)

▪       APS: AFH +5.7%; Home +4.0%, both in line with overall volume growth

•     Adjusted comparable revenue per unit case +2.7%^[2],[3],[4] reflecting positive headline pricing, promotional optimisation & favourable brand mix, partly offset by geographic mix

◦     Europe: +4.0% reflecting headline price increases & favourable brand mix

◦     APS: +0.9% reflecting headline price increases & promotional optimisation, offset by geographic mix driven by strong growth in the Philippines (being at a lower revenue per unit case)

 

Q4 Reported +16.2%; Adjusted Comparable +4.6%^[3],[4]

•     Adjusted comparable volume -1.1%^[4]

◦     By geography:

▪       Europe -2.6% (underlying -1.7%) reflecting strong in-market execution offset by strategic de-listing of Capri Sun, cycling solid comparables (Q4'23 comparable volume +2.0%) & softer demand in the AFH channel

▪       APS +1.7% reflecting strong in-market execution:

-      AP: continued momentum

-      SEA: solid demand in the Philippines

◦     By channel: AFH -0.9%; Home -1.1%

▪       Europe: AFH -3.9%; Home -2.0% (underlying -0.9%)

▪       APS: AFH +2.0%; Home +2.6%

•     Adjusted comparable revenue per unit case +2.6%^[2],[3],[4] reflecting positive headline pricing, promotional optimisation & favourable brand mix, partly offset by geographic mix

◦     Europe: +3.1% reflecting headline price increases across all markets

◦     APS: +2.3% reflecting headline price increases & promotional optimisation, partly offset by geographic mix driven by strong growth in the Philippines

 

 

___________________________

Note - Volumes disclosed on a comparable and adjusted comparable basis exclude Q4'24 benefit of additional selling days versus Q4'23. Including the

additional selling days adjusted volumes for FY24 +0.8% & for Q4'24 +2.0% *Underlying volume performance excludes the impact of strategic de-listings

 

Operating profit

FY Reported -8.8%; Adjusted Comparable +8.0%^[3],[4]

·	Adjusted comparable cost of sales per unit case +2.6%[2],[3],[4] reflecting increased revenue per unit case driving higher concentrate costs, inflation in manufacturing & consumption tax increase driven by Netherlands, partially offset by the mix effect from strong growth in the Philippines (being at a lower cost per unit case)
·	Adjusted comparable operating profit of €2,673m, +8.0%[3],[4] driven by top-line growth, delivery of efficiency programmes & optimisation of discretionary spend. Reported operating profit of €2,132m, -8.8% reflecting higher business transformation costs & non-cash impairment of Indonesian business unit[6]
·	Comparable diluted EPS of €3.95, +6.5%[3] (reported -15.3%)

 

Other

 

·	Comparable free cash flow & share buyback: generated impressive comparable free cash flow of €1,817m reflecting strong performance & working capital initiatives (net cash flows from operating activities of €3,061m)
·	supports return to leverage range of 2.5-3.0x, one year ahead of plan with FY24 year-end net debt:comparable EBITDA at 2.7x (FY23: 3.0x) o consistent with its disciplined capital allocation framework, CCEP today announces new share buyback programme of €1bn over next 12 months. Any separate release with further details on the programme will be available via www.cocacolaep.com
·	FY dividend per share €1.97 +7.1%, maintains annualised payout ratio of ~50%
·	Adjusted comparable ROIC[4] of 10.8% (reported 8.1%) up 50bps driven by the increase in comparable profit after tax & continued focus on capital allocation
·	Transferred UK listing to Equity Shares Commercial Companies category in November 2024. Potential inclusion in FTSE Index Series from March 2025[7]
·	Sustainability highlights o  Retained MSCI AAA rating & inclusion on CDP A List for climate o  Included in Sustainalytics ESG top-rated companies list for 2025

 

 

FY25 GUIDANCE[1], [4]

FY25 guidance^{[1], [4]} in line with mid-term strategic objectives^[8]. Outlook for FY25 reflects our current assessment of market conditions. Unless stated otherwise, guidance is on an adjusted comparable^[4] & FX-neutral basis.

 

•    Revenue: growth of approx.~4% 

•       Balanced between volume & revenue per unit case

•       Two fewer selling days in Q1, one extra in Q4

•    Cost of sales per UC: comparable growth of ~2%

•       Expect broadly flat commodity inflation (hedged at ~80% for FY25)

•       Concentrate directly linked to revenue per UC through incidence pricing

•    Other:

•       Operating profit: growth of ~7%

•       Comparable effective tax rate: ~26%

•       CAPEX: ~5% of revenue (incl. leases)

•       Comparable free cash flow: at least €1.7bn

•       Dividend payout ratio: ~50%^[9] based on comparable EPS

•       Share buyback: €1bn over next 12 months

 

Fourth quarter & Full Year Revenue Performance by Geography[1]

Volumes are on a comparable basis for Europe and Australia / Pacific, and on an adjusted comparable basis for SEA, total APS and total CCEP. Volumes disclosed on a comparable and adjusted comparable basis exclude Q4'24 benefit of additional selling days versus Q4'23.

	Fourth quarter				Full Year
			Fx-Neutral				Fx-Neutral
	€ million	% change	% change		€ million	% change	% change
FBN[10]	1,194	2.5%	2.5%		5,067	1.8%	1.9%
Germany	815	7.2%	7.2%		3,179	5.3%	5.3%
Great Britain	866	6.7%	2.3%		3,327	2.8%	0.1%
Iberia[11]	777	2.9%	2.9%		3,398	2.2%	2.2%
Total Europe	3,652	4.6%	3.6%		14,971	2.9%	2.3%
Australia / Pacific[13]	994	8.3%	8.2%		3,412	3.7%	5.1%
Southeast Asia[4],[14]	606	2.7%	5.4%		2,323	5.5%	8.9%
Total APS[4]	1,600	6.1%	7.1%		5,735	4.4%	6.6%
Total CCEP[4]	5,252	5.0%	4.6%		20,706	3.3%	3.5%

 

FBN^[10]

•       Mid single-digit volume decline during Q4 & FY driven by strategic de-listing of Capri Sun (representing around half of volume decline) & adverse weather.

•       The Netherlands was also impacted by the consumption tax increase.

•       Strong FY volume growth for Powerade & Sprite supported by great Olympics activation in France.

•       Monster & Fuze Tea volumes also outperformed, driven by growth in France.

•       FY revenue/UC^[12] growth driven by headline price increases across all markets.

Germany

•       Q4 low single-digit volume decline, cycling strong comparables.

•       FY volume decline largely driven by softer AFH demand with Home channel broadly flat.

•       High single-digit FY volume growth in Monster.

•       Have also seen strong growth from Coca-Cola Zero Sugar, Fuze Tea & Powerade.

•       FY revenue/UC^[12] growth driven by headline price increase implemented in Q3.

•       Positive pack & brand mix also contributed to the growth e.g. Monster & Powerade.

Great Britain

•       Q4 volume decline reflecting softer AFH demand & de-listing of Capri Sun (underlying broadly flat) with adverse weather over the summer contributing to FY volume decline.

•       High single-digit FY volume growth for Coca-Cola Zero, Dr Pepper & Monster with Powerade up >50%.

•       FY increase in revenue/UC^[12] driven by headline price increases implemented towards the end of Q2.

•       Positive brand mix also contributed to the growth e.g. Monster, Powerade & de-listing of Capri Sun.

Iberia^[11]

•       Q4 volume decline reflected adverse weather mitigated by solid execution, with FY low single-digit decline.

•       FY saw good growth in both Sprite & Aquarius volumes.

•       Portfolio transition from Nestea to Fuze Tea, which began during Q4, is progressing well.

•       FY revenue/UC^[12] growth driven by headline price increases.

Australia / Pacific^[13]

•       Q4 & FY volume growth reflects continued momentum, supported by great in-market activation. 

•       FY volume growth across Home & AFH channels.

•       Share gains driven by outperformance of Coca-Cola Zero Sugar, Fanta & Monster. FY volume growth supported by great activation, execution & innovation incl. Coca-Cola OREO^TM, Fanta Pineapple Zero Sugar & new Monster variants e.g. Ultra Strawberry Dreams & Peachy Keen.

•       Growth in FY revenue/UC^[12] driven by headline price increases & promotional optimisation.

Southeast Asia^[4],[14]

•      Solid Q4 & FY volume growth in the Philippines, reflecting strong underlying market demand, robust share gains & great execution.

•      FY volumes grew strongly in both Home & AFH channels, with double-digit growth in the Philippines, driven by Coca-Cola Original Taste, Sprite & water. This was partially offset by a weaker volume performance in Indonesia impacted by the geopolitical situation in the Middle East. Encouraging sparkling & transaction growth in unaffected areas.

•      FY revenue/UC^[12] growth driven by headline price increases & promotional optimisation.

 

Fourth quarter & Full Year Volume Performance by Category[1],[4]

Volumes disclosed on a comparable and adjusted comparable basis exclude Q4'24 benefit of additional selling days versus Q4'23.

	Fourth quarter			Full Year
	% of Total	% Change		% of Total	% Change
Coca-Cola®	60.5%	-%		59.3%	1.0 %
Flavours & Mixers	21.5%	(1.9)%		21.8%	(0.5)%
Water, Sports, RTD Tea & Coffee[15]	10.9%	(1.7)%		11.8%	0.8 %
Other inc. Energy	7.1%	(6.1)%		7.1%	(7.3)%
Total	100.0%	(1.1)%		100.0%	- %

 

Coca-Cola®

Q4: Flat; FY: +1.0%

•      FY Coca-Cola Original Taste +0.9% reflecting strong demand in the Philippines, partially offset by mixed summer weather in Europe.

•      Coca-Cola Zero Sugar +3.6% with growth in both Europe & APS driven by great execution & innovation e.g. Coca-Cola OREO^TM Zero Sugar.

•      Value share gains of Coca-Cola Original Taste +50bps^[5], led by the Philippines with Coca-Cola Zero Sugar +20bps driven by growth in Europe.

Flavours & Mixers

Q4: -1.9%; FY: -0.5%

•      FY Sprite +3.7% driven by robust consumer demand & great execution across all key markets.

•      Fanta FY slight decline reflecting growth in APS offset by adverse weather in Europe. Flavour extensions e.g. Fanta Exotic & Afterlife supported overall performance.

•      Royal Bliss performed strongly with double-digit growth led by the Netherlands.

Water, Sports, RTD Tea & Coffee^[15]

Q4: -1.7%; FY: +0.8%

•      FY Water growth driven by the Philippines, partially offset by mixed summer weather in Europe & strategic de-listings within Europe & Australia.

•      FY Sports +4.1% with growth in Powerade driven by continued favourable consumer trends in this category, great activation & innovation e.g. Powerade Mango.

•      RTD Tea & Coffee -1.4% with growth of  Fuze Tea in Europe offset by Frestea decline in Indonesia.

Other inc. Energy

Q4: -6.1% (+3.8% exc. Juices)

FY: -7.3% (+4.2% exc. Juices)

•      FY solid growth in Energy +6.3% led by Monster, despite strong comparables (FY23: +14.0%), driven by distribution (incl. category launch in the Philippines) & share gains through innovation (e.g. Bad Apple, Ultra Peachy Keen & Strawberry Dreams).

•      Juices decline resulting from strategic de-listing of Capri Sun in Europe.

•      Alcohol volume decline reflects Australian excise increases partly offset by good growth in Europe (e.g. launch of Absolut & Sprite).

 

 

Conference Call (with presentation)

•       14 February 2025 at 12:00 GMT, 13:00 CET & 07:00 a.m. EST; accessible via www.cocacolaep.com

•       Replay & transcript will be available at www.cocacolaep.com

 

Financial Calendar

•       Annual Report & Form 20F published: 21 March 2025

•       Q1 2025 trading update: 29 April 2025

•       Capital markets event: 13-15 May 2025

•       Financial calendar available here: https://ir.cocacolaep.com/financial-calendar/

 

Contacts

Investor Relations

Sarah Willett                                        Charles Richardson                          Matt Sharff

sarah.willett@ccep.com                     charles.richardson@ccep.com         msharff@ccep.com

 

Media Relations

mediaenquiries@ccep.com

The person responsible for arranging the release of this announcement on behalf of the Company is Clare Wardle, General Counsel and Company Secretary. The intention to return €1bn through a share buyback programme is the inside information that is contained in this announcement. 

About CCEP (LEI 549300LTH67W4GWMRF57)

Coca-Cola Europacific Partners is one of the world's leading consumer goods companies. We make, move and sell some of the world's most loved brands - serving nearly 600 million consumers and helping over 4 million customers across 31 countries grow.

We combine the strength and scale of a large, multi-national business with an expert, local knowledge of the customers we serve and communities we support.

The Company is currently listed on Euronext Amsterdam, NASDAQ (and a constituent of the Nasdaq 100), London Stock Exchange and on the Spanish Stock Exchanges, trading under the symbol CCEP.

For more information about CCEP, please visit www.cocacolaep.com & follow CCEP on LinkedIn

___________________________

1.     Refer to 'Note Regarding the Presentation of Adjusted financial information and Alternative Performance Measures' for further details & to 'Supplementary Financial Information' for a reconciliation of reported to comparable & reported to adjusted comparable results; Change percentages against prior year equivalent period unless stated otherwise

2.     A unit case equals approximately 5.678 litres or 24 8-ounce servings

3.     Comparable & FX-neutral

4.     Non-IFRS adjusted comparable financial information as if the acquisition of Coca-Cola Beverages Philippines, Inc (CCBPI) occurred at the beginning of the period presented for illustrative purposes only. It does not intend to represent the results had the acquisition occurred at the dates indicated, or project the results for any future dates or periods. Acquisition completed on 23 February 2024. Prepared on a basis consistent with CCEP IFRS accounting policies and includes acquisition accounting adjustments for the period 1 January to 23 February. Refer to 'Note Regarding the Presentation of Adjusted financial information and Alternative Performance Measures' for further details.

5.     External data sources: Haystack FY 24, Nielsen & IRI Period FY 24

6.     See Note 5, 'Intangible Assets & Goodwill' in the accompanying condensed consolidated financial statements

7.     See release for more detail Coca-Cola Europacific Partners - Coca-Cola EP PLC - Intention to Transfer to ESCC Category. FTSE Russell also issues an 'Informative Notice' on 18.10.24

8.     See our mid-term strategic objectives Coca-Cola Europacific Partners - Guidance

9.     Dividends subject to Board approval

10.    Includes France, Monaco, Belgium, Luxembourg, the Netherlands, Norway, Sweden & Iceland

11.    Includes Spain, Portugal & Andorra

12.    Revenue per unit case

13.    Includes Australia, New Zealand, the Pacific Islands & Papua New Guinea

14.    Includes Philippines & Indonesia

15.    RTD refers to ready to drink

 

 

 

Forward-Looking Statements

This document contains statements, estimates or projections that constitute "forward-looking statements" concerning the financial condition, performance, results, guidance and outlook, dividends, consequences of mergers, acquisitions, joint ventures, divestitures, , strategy and objectives of Coca-Cola Europacific Partners plc and its subsidiaries (together CCEP or the Group). Generally, the words "ambition", "target", "aim", "believe", "expect", "intend", "estimate", "anticipate", "project", "plan", "seek", "may", "could", "would", "should", "might", "will", "forecast", "outlook", "guidance", "possible", "potential", "predict", "objective" and similar expressions identify forward-looking statements, which generally are not historical in nature.

 

Forward-looking statements are subject to certain risks that could cause actual results to differ materially. Forward-looking statements are based upon various assumptions as well as CCEP's historical experience and present expectations or projections. As a result, undue reliance should not be placed on forward-looking statements, which speak only as of the date on which they are made. Factors that, in CCEP's view, could cause such actual results to differ materially from forward looking statements include, but are not limited to, those set forth in the "Risk Factors" section of CCEP's 2023 Annual Report on Form 20-F filed with the SEC on 15 March 2024 and subsequent filings, including, but not limited to: changes in the marketplace; changes in relationships with large customers; adverse weather conditions; importation of other bottlers' products into our territories; deterioration of global and local economic and political conditions; increases in costs of raw materials; changes in interest rates or debt rating; deterioration in political unity within the European Union; defaults of or failures by counterparty financial institutions; changes in tax law in countries in which we operate; additional levies of taxes; legal changes in our status; waste and pollution, health concerns perceptions, and recycling matters related to packaging; global or regional catastrophic events; cyberattacks against us or our customers or suppliers; technology failures; initiatives to realise cost savings; calculating infrastructure investment; executing on our acquisition strategy; costs, limitations of supplies, and quality of raw materials; maintenance of brand image and product quality; managing workplace health, safety and security; water scarcity and regulations; climate change and legal and regulatory responses thereto; other legal, regulatory and compliance considerations; anti-corruption laws, regulations, and sanction programmes; legal claims against suppliers; litigation and legal proceedings against us; attracting, retaining and motivating employees; our relationship with TCCC and other franchisors; and differing views among our shareholders.

 

Due to these risks, CCEP's actual future financial condition, results of operations, and business activities, including its results, dividend payments, capital and leverage ratios, growth, including growth in revenue, cost of sales per unit case and operating profit, free cash flow, market share, tax rate, efficiency savings, achievement of sustainability goals, including net zero emissions and recycling initiatives, capital expenditures, may differ materially from the plans, goals, expectations and guidance set out in forward-looking statements. These risks may also adversely affect CCEP's share price. CCEP does not undertake any obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as required under applicable rules, laws and regulations.

 

Note Regarding the Presentation of Adjusted financial information and Alternative Performance Measures

Adjusted financial information

Non-IFRS adjusted financial information for selected metrics has been provided in order to illustrate the effects of the acquisition of CCBPI on the results of operations of CCEP and to allow for greater comparability of the results of the combined group between periods. The adjusted financial information has been prepared for illustrative purposes only, and because of its nature addresses a hypothetical situation. It does not intend to represent the results had the acquisition occurred at the dates indicated, or project the results for any future dates or periods. It is based on information and assumptions that CCEP believe are reasonable, including assumptions as at 1 January of the period presented relating to transaction accounting adjustments. No cost savings or synergies were contemplated in these adjustments.

The non-IFRS adjusted financial information has not been prepared in accordance with the requirements of Regulation S-X Article 11 of the US Securities Act of 1933 or any generally accepted accounting standards, may not necessarily be comparable to similarly titled measures employed by other companies and should be considered supplemental to, and not a substitute for, financial information prepared in accordance with generally accepted accounting standards.

The acquisition completed on 23 February 2024 and the non-IFRS adjusted financial information provided reflects the inclusion of CCBPI as if the acquisition had occurred at the beginning of the period presented. It has been prepared on a basis consistent with CCEP IFRS accounting policies and includes transaction accounting adjustments for the periods presented.

Alternative Performance Measures

We use certain alternative performance measures (non-IFRS performance measures) to make financial, operating and planning decisions and to evaluate and report performance. We believe these measures provide useful information to investors and as such, where clearly identified, we have included certain alternative performance measures in this document to enable investors to better analyse our business performance and allow for greater comparability. To do so, we have excluded items affecting the comparability of period-over-period financial performance as described below. The alternative performance measures included herein should be read in conjunction with and do not replace the directly reconcilable IFRS measures.

For purposes of this document, the following terms are defined:

''As reported'' are results extracted from our unaudited condensed consolidated financial statements.

 

"Adjusted" includes the results of CCEP as if the CCBPI acquisition had occurred at the beginning of the period presented, including acquisition accounting adjustments, accounting policy reclassifications and the impact of debt financing costs in connection with the acquisition.

"Comparable'' is defined as results excluding items impacting comparability, which include restructuring charges, impairment charges, accelerated amortisation charges, acquisition and integration related costs, inventory fair value step up related to acquisition accounting, expenses related to certain legal provisions, net impact related to European flooding, gains on the sale of property, income arising from the ownership of certain mineral rights in Australia and gain on sale of sub-strata and associated mineral rights in Australia. Comparable volume is also adjusted for selling days.

''Adjusted comparable" is defined as adjusted results excluding items impacting comparability, as described above.

''Fx-neutral'' or "FXN" is defined as period results excluding the impact of foreign exchange rate changes. Foreign exchange impact is calculated by recasting current year results at prior year exchange rates.

''Capex'' or "Capital expenditures'' is defined as purchases of property, plant and equipment and capitalised software, plus payments of principal on lease obligations, less proceeds from disposals of property, plant and equipment. Capex is used as a measure to ensure that cash spending on capital investment is in line with the Group's overall strategy for the use of cash.

''Comparable free cash flow'' is defined as net cash flows from operating activities less capital expenditures (as defined above) and net interest payments, adjusted for items that are not reasonably likely to recur within two years, nor have occurred within the prior two years. Comparable free cash flow is used as a measure of the Group's cash generation from operating activities, taking into account investments in property, plant and equipment, non-discretionary lease and net interest payments while excluding the effects of items that are unusual in nature to allow for better period over period comparability. Comparable free cash flow reflects an additional way of viewing our liquidity, which we believe is useful to our investors, and is not intended to represent residual cash flow available for discretionary expenditures.

''Comparable EBITDA'' is calculated as Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA), after adding back items impacting the comparability of period over period financial performance. Comparable EBITDA does not reflect cash expenditures, or future requirements for capital expenditures or contractual commitments. Further, comparable EBITDA does not reflect changes in, or cash requirements for, working capital needs, and although depreciation and amortisation are non-cash charges, the assets being depreciated and amortised are likely to be replaced in the future and comparable EBITDA does not reflect cash requirements for such replacements.

''Net Debt'' is defined as borrowings adjusted for the fair value of hedging instruments and other financial assets/liabilities related to borrowings, net of cash and cash equivalents and short-term investments. We believe that reporting net debt is useful as it reflects a metric used by the Group to assess cash management and leverage. In addition, the ratio of net debt to comparable EBITDA is used by investors, analysts and credit rating agencies to analyse our operating performance in the context of targeted financial leverage.

''ROIC" or "Return on invested capital" is defined as reported profit after tax attributable to shareholders divided by the average of opening and closing invested capital for the year. Invested capital is calculated as the addition of borrowings and equity attributable to shareholders less cash and cash equivalents and short term investments.

 "Comparable ROIC" adjusts reported profit after tax for items impacting the comparability of period-over-period financial performance and is defined as comparable operating profit after tax attributable to shareholders divided by the average of opening and closing invested capital for the year. Comparable ROIC is used as a measure of capital efficiency and reflects how well the Group generates comparable operating profit relative to the capital invested in the business.

''Dividend payout ratio'' is defined as dividends as a proportion of comparable profit after tax.

Additionally, within this document, we provide certain forward-looking non-IFRS financial information, which management uses for planning and measuring performance. We are not able to reconcile forward-looking non-IFRS measures to reported measures without unreasonable efforts because it is not possible to predict with a reasonable degree of certainty the actual impact or exact timing of items that may impact comparability throughout year.

Supplementary Financial Information - Items Impacting Comparability - Reported to Comparable

The following provides a summary reconciliation of items impacting comparability for the years ended 31 December 2024 and 31 December 2023:

Full Year 2024
In millions of € except share data which is calculated prior to rounding		Operating profit	Profit after taxes	Diluted earnings per share (€)
As Reported		2,132	1,444	3.08
Items impacting comparability		531	405	0.87
Restructuring charges[1]		264	194	0.43
Acquisition and Integration related costs[2]		14	12	0.02
European flooding[3]		1	1	-
Inventory step-up[4]		5	3	-
Impairment[5]		189	154	0.34
Litigation[6]		3	2	-
Accelerated amortisation[7]		55	39	0.08
Comparable		2,663	1,849	3.95

 

Full Year 2023
As Reported		2,339	1,669	3.63
Items impacting comparability		34	32	0.08
Restructuring charges[1]		94	79	0.18
Acquisition and Integration related costs[2]		12	14	0.03
European flooding[3]		(9)	(7)	(0.02)
Coal royalties[8]		(18)	(12)	(0.03)
Property sale[9]		(54)	(38)	(0.08)
Litigation[6]		17	12	0.03
Accelerated amortisation[7]		27	19	0.04
Sale of sub-strata and associated mineral rights[10]		(35)	(35)	(0.07)
Comparable		2,373	1,701	3.71

__________________________

^[1] Amounts represent restructuring charges related to business transformation activities.

^[2]  Amounts represent cost associated with the acquisition and integration of CCBPI.

^[3] Amounts represent the incremental expense incurred as a result of the July 2021 flooding events, which impacted the operations of our production facilities in Chaudfontaine and Bad Neuenahr, for the year ended 31 December 2024 and the incremental expense incurred offset by the insurance recoveries collected for the year ended 31 December 2023.

^[4] Amounts represent the non-recurring impact of fair value step-up of CCBPI inventories.

^[5] Amounts represent the expense recognised in relation to the impairment of the Group's Indonesia cash generating unit and the impairment of the Feral brand, which was sold during the year ended 31 December 2024.

^[6]  Amounts relate to the increase in a provision established in connection with an ongoing labour law matter in Germany.

^[7] Amounts represent accelerated amortisation charges associated with the discontinuation of the relationship between CCEP and Beam Suntory upon expiration of the current contractual agreements.

^[8] Amounts represent royalty income arising from the ownership of certain mineral rights in Australia. The royalty income was recognised as "Other income" in our consolidated income statement for the year ended 31 December 2023.

^[9] Amounts represent gains mainly attributable to the sale of property in Germany. The gains on disposal were recognised as "Other income" in our consolidated income statement for the year ended 31 December 2023.

^[10] Amounts represent the considerations received relating to the sale of the sub-strata and associated mineral rights in Australia. The transaction completed in April 2023 and the proceeds were recognised as "Other income" in our consolidated income statement for the year ended 31 December 2023.

 

 

Supplementary Financial Information - Items impacting comparability - Reported to Adjusted Comparable

The following provides a summary reconciliation for CCEP's reported results and adjusted comparable financial information for the year ended 31 December 2024:

 

Year ended 31 December 2024 (unaudited)
In € millions except per share data which is calculated prior to rounding		Reported	Items impacting comparability[1]	Comparable	Adjusted comparable[2]	Transaction accounting adjustments[3]	Adjusted comparable combined
		CCEP		CCEP	CCBPI	CCEP	CCEP
Revenue		20,438	-	20,438	268	-	20,706
Cost of sales		13,227	(72)	13,155	214	-	13,369
Operating profit		2,132	531	2,663	10	-	2,673
Total finance costs, net		187	-	187	3	-	190
Profit after taxes		1,444	405	1,849	5	-	1,854
Attributable to:
Shareholders		1,418	402	1,820	3	-	1,823
Non-controlling interest		26	3	29	2	-	31
Diluted earnings per share (€)		3.08		3.95			3.96
Diluted weighted average shares outstanding							461

 

The following provides a summary reconciliation of CCEP's reported and adjusted comparable financial information for the full year ended 31 December 2023, assuming the acquisition occurred on 1 January 2023. Following the announcement of the acquisition on 23 February 2024, the adjusted financial information has been updated to reflect changes in the acquisition accounting adjustments.

 

Year ended 31 December 2023 (unaudited)		Reported	Items impacting comparability[1]	Comparable	Adjusted comparable[2]	Transaction accounting adjustments[3]	Adjusted comparable combined
		CCEP		CCEP	CCBPI	CCEP	CCEP
Revenue		18,302	-	18,302	1,744	-	20,046
Cost of sales		11,582	(6)	11,576	1,382	-	12,958
Operating profit		2,339	34	2,373	100	-	2,473
Total finance costs, net		120	-	120	28	26	174
Profit after taxes		1,669	32	1,701	51	(19)	1,733
Attributable to:
Shareholders		1,669	32	1,701	31	(19)	1,713
Non-controlling interest		-	-	-	20	-	20
Diluted earnings per share (€)		3.63		3.71			3.73
Diluted weighted average shares outstanding							459

__________________________

^[1] Amounts represent items affecting the comparability of CCEP's year-over-year financial performance.

^[2] Amounts represent unaudited results of CCBPI as if the acquisition had occurred on 1 January, including acquisition accounting adjustments, CCEP IFRS accounting policy reclassifications and the impact of debt financing costs in connection with the acquisition, excluding items impacting comparability.

^[3] Amounts represent transaction accounting adjustments for the 12 months ending 31 December 2023 as if the acquisition had occurred on 1 January 2023 comprising finance costs from CCEP acquisition financing. Tax rate used is 24%, in line with the Group's effective tax rate for the year ended 31 December 2023. Separate financing adjustment is included within CCBPI Adjusted comparable.

The table below illustrates the impact of adjustments made to CCBPI in order to present them on a basis consistent with CCEP's accounting policies and including acquisition accounting adjustments.

Year ended 31 December 2023 (unaudited)
In € millions		Historical CCBPI[1]	Reclassifications[2]	Historical adjusted CCBPI	Transaction accounting adjustments[3]	Items impacting comparability[4]	Adjusted comparable
Revenue		1,757	(1)	1,756	-	(12)	1,744
Cost of sales		1,380	(2)	1,378	17	(13)	1,382
Operating profit		124	(3)	121	(21)	-	100
Total finance costs, net		-	(2)	(2)	29	1	28
Profit after taxes		90	-	90	(39)	-	51

^[1] Historical unaudited CCBPI results for the period 1 January 2023 to 31 December 2023.

^[2] Accounting policy and classification adjustments made to CCBPI in order to present on a basis consistent with CCEP IFRS accounting.

^[3] Amounts represent transaction accounting adjustments for the 12 months ending 31 December 2023 as if the acquisition had occurred on 1 January 2023, and mainly include incremental depreciation and amortisation impact relating to fair values for intangibles and property plant and equipment, inventory step-up costs, an increase in total finance costs as a result of local financing in the Philippines related to the acquisition and the inclusion of acquisition and integration related costs.

^[4] Amounts represent one-time items identified by CCBPI which are not expected to recur, and mainly include inventory step-up costs, acquisition and integration related costs and the impact from the reversal of certain provisions.

 

Supplemental Financial Information - Operating Profit - Reported to Comparable

Revenue

Revenue CCEP In millions of €, except per case data which is calculated prior to rounding. FX impact calculated by recasting current year results at prior year rates.	Fourth Quarter Ended				Year Ended
	31 December 2024	31 December 2023	% Change		31 December 2024	31 December 2023	% Change
As reported	5,252	4,518	16.2 %		20,438	18,302	11.7 %
Adjust: Impact of fx changes	(20)	n/a	n/a		29	n/a	n/a
Fx-neutral	5,232	4,518	15.8 %		20,467	18,302	11.8 %
Revenue per unit case	5.23	5.63	(7.1)%		5.30	5.58	(5.1)%

 

Revenue Europe
As reported	3,652	3,492	4.6%		14,971	14,553	2.9%
Adjust: Impact of fx changes	(35)	n/a	n/a		(83)	n/a	n/a
Fx-neutral	3,617	3,492	3.6%		14,888	14,553	2.3%
Revenue per unit case	5.68	5.52	3.1%		5.72	5.50	4.0%

 

Revenue APS
As reported	1,600	1,026	55.9 %		5,467	3,749	45.8 %
Adjust: Impact of fx changes	15	n/a	n/a		112	n/a	n/a
Fx-neutral	1,615	1,026	57.4 %		5,579	3,749	48.8 %
Revenue per unit case	4.44	6.05	(26.7)%		4.42	5.91	(25.2)%

 

Revenue by Geography In millions of €		Year ended 31 December 2024
		As reported	Reported % change	Fx-Neutral % change
Great Britain		3,327	2.8 %	0.1 %
Germany		3,179	5.3 %	5.3 %
Iberia[1]		3,398	2.2 %	2.2 %
France[2]		2,322	0.0 %	0.0 %
Belgium and Luxembourg		1,070	(0.7)%	(0.7)%
Netherlands		785	9.3 %	9.3 %
Norway		398	5.9 %	7.7 %
Sweden		410	3.0 %	2.5 %
Iceland		82	(2.4)%	(2.4)%
Total Europe		14,971	2.9 %	2.3 %
Australia		2,475	3.8 %	4.5 %
New Zealand and Pacific Islands		694	2.2 %	3.7 %
Indonesia		403	(12.0)%	(8.5)%
Papua New Guinea		243	7.0 %	15.0 %
Philippines		1,652	n/a	n/a
Total APS		5,467	45.8 %	48.8 %
Total CCEP		20,438	11.7 %	11.8 %

^[1] Iberia refers to Spain, Portugal & Andorra.

^[2] France refers to continental France & Monaco.

 

Volume

Comparable Volume - Selling Day Shift CCEP   In millions of unit cases, prior period volume recast using current year selling days	Fourth Quarter Ended				Year Ended
	31 December 2024	31 December 2023	% Change		31 December 2024	31 December 2023	% Change
Volume	1,000	802	24.7%		3,864	3,279	17.8%
Impact of selling day shift	-	26	n/a		-	26	n/a
Comparable volume - Selling Day Shift adjusted	1,000	828	20.8%		3,864	3,305	16.9%

 

Comparable Volume - Selling Day Shift Europe
Volume	636	632	0.6%		2,601	2,644	(1.6)%
Impact of selling day shift	-	21	n/a		-	21	n/a
Comparable volume - Selling Day Shift adjusted	636	653	(2.6)%		2,601	2,665	(2.4)%

 

Comparable Volume - Selling Day Shift APS
Volume	364	170	114.1%		1,263	635	98.9%
Impact of selling day shift	-	5	n/a		-	5	n/a
Comparable volume - Selling Day Shift adjusted	364	175	108.0%		1,263	640	97.3%

Cost of Sales

Cost of Sales In millions of €, except per case data which is calculated prior to rounding. FX impact calculated by recasting current year results at prior year rates.		Year Ended
		31 December 2024	31 December 2023	% Change
As reported		13,227	11,582	14.2%
Adjust: Total items impacting comparability		(72)	(6)	n/a
Adjust: Restructuring charges[1]		(10)	(9)
Adjust: European flooding[2]		(1)	9
Adjust: Litigation[3]		(2)	(6)
Adjust: Impairment[4]		(54)	-
Adjust: Inventory step-up[5]		(5)	-
Comparable		13,155	11,576	13.6%
Adjust: Impact of fx changes		20	n/a	n/a
Comparable & fx-neutral		13,175	11,576	13.8%
Cost of sales per unit case		3.41	3.53	(3.4)%

^[1] Amounts represent restructuring charges related to business transformation activities.

^[2] Amounts represent the incremental expense incurred as a result of the July 2021 flooding events, which impacted the operations of our production facilities in Chaudfontaine and Bad Neuenahr, for the year ended 31 December 2024 and the incremental expense incurred offset by the insurance recoveries collected for the year ended 31 December 2023.

^[3] Amounts relate to the increase in a provision established in connection with an ongoing labour law matter in Germany.

^[4] Amounts represent the expense recognised in relation to the impairment of the Group's Indonesia cash generating unit and the impairment of the Feral brand, which was sold during the year ended 31 December 2024.

^[5] Amounts represent the non-recurring impact of fair value step-up of CCBPI inventories.

 

For the year ending 31 December 2024, reported cost of sales were €13,227 million, up 14.2% versus 2023.

Comparable cost of sales for the same period were €13,155 million, up 13.6% versus 2023. Cost of sales per unit case decreased by 3.4% on a comparable and fx-neutral basis, reflecting the impact of the newly acquired CCBPI operations, partly offset by increased revenue per unit case driving higher concentrate costs, inflation in manufacturing and consumption tax increase driven by the Netherlands.

Operating expenses

Operating Expenses In millions of €. FX impact calculated by recasting current year results at prior year rates.		Year Ended
		31 December 2024	31 December 2023	% Change
As reported		5,079	4,488	13.2%
Adjust: Total items impacting comparability		(459)	(135)	n/a
Adjust: Restructuring charges[1]		(254)	(85)
Adjust: Acquisition and Integration related costs[2]		(14)	(12)
Adjust: Litigation[3]		(1)	(11)
Adjust: Accelerated amortisation[4]		(55)	(27)
Adjust: Impairment[5]		(135)	-
Comparable		4,620	4,353	6.1%
Adjust: Impact of fx changes		11	n/a	n/a
Comparable & fx-neutral		4,631	4,353	6.4%

^[1] Amounts represent restructuring charges related to business transformation activities.

^[2] Amounts represent cost associated with the acquisition and integration of CCBPI.

^[3] Amounts relate to the increase in a provision established in connection with an ongoing labour law matter in Germany.

^[4] Amounts represent accelerated amortisation charges associated with the discontinuation of the relationship between CCEP and Beam Suntory upon expiration of the current contractual agreements.

^[5] Amounts represent the expense recognised in relation to the impairment of the Group's Indonesia cash generating unit and the impairment of the Feral brand, which was sold during the year ended 31 December 2024.

 

For the year ending 31 December 2024, reported operating expenses were €5,079 million, up 13.2% versus 2023.

Comparable operating expenses were €4,620 million for the same period, up 6.1% versus 2023, reflecting the impact of the newly acquired CCBPI operations and inflation, partially offset by the benefit of ongoing efficiency programmes and our continuous efforts on discretionary spend optimisation.

In November 2022, the Group announced a new efficiency programme to be delivered by the end of 2028. This programme focusses on further supply chain efficiencies, leveraging global procurement and a more integrated shared service centre model, all enabled by next generation technology including digital tools and data and analytics. During 2024, as part of this efficiency programme, the Group announced restructuring proposals resulting in €254 million of operating expenses primarily related to expected severance payments. This compares to €85 million of restructuring charges within operating expenses incurred in year ended 31 December 2023, related to various productivity initiatives.

Acquisition and integration related costs of €14 million were recognised within reported operating expenses for the year ended 31 December 2024 associated with the acquisition of CCBPI, primarily brokerage and advisory fees.

Operating profit

Operating Profit CCEP In millions of €. FX impact calculated by recasting current year results at prior year rates.		Year Ended
		31 December 2024	31 December 2023	% Change
As reported		2,132	2,339	(8.8)%
Adjust: Total items impacting comparability		531	34	n/a
Comparable		2,663	2,373	12.2%
Adjust: Impact of fx changes		(2)	n/a	n/a
Comparable & fx-neutral		2,661	2,373	12.1%

 

Operating Profit Europe
As reported		1,769	1,842	(4.0)%
Adjust: Total items impacting comparability		246	46	n/a
Comparable		2,015	1,888	6.7%
Adjust: Impact of fx changes		(13)	n/a	n/a
Comparable & fx-neutral		2,002	1,888	6.0%

 

Operating Profit APS
As reported		363	497	(27.0)%
Adjust: Total items impacting comparability		285	(12)	n/a
Comparable		648	485	33.6%
Adjust: Impact of fx changes		11	n/a	n/a
Comparable & fx-neutral		659	485	35.9%

 

Supplemental Financial Information - Operating Profit - Reported to Adjusted Comparable

Revenue

Adjusted Revenue CCEP In millions of €, except per case data which is calculated prior to rounding. FX impact calculated by recasting current year results at prior year rates.	Fourth Quarter Ended				Year Ended
	31 December 2024	31 December 2023	% Change		31 December 2024	31 December 2023	% Change
As reported	5,252	4,518	16.2%		20,438	18,302	11.7%
Add: Adjusted revenue impact[1]	-	485	n/a		268	1,756	n/a
Adjust: Total items impacting comparability	-	(3)	n/a		-	(12)	n/a
Adjusted Comparable	5,252	5,000	5.0%		20,706	20,046	3.3%
Adjust: Impact of fx changes	(20)	n/a	n/a		37	n/a	n/a
Adjusted Comparable and fx-neutral	5,232	5,000	4.6%		20,743	20,046	3.5%
Adjusted Revenue per unit case	5.23	5.10	2.6%		5.23	5.09	2.7%

 

Adjusted Revenue APS
As reported	1,600	1,026	55.9%		5,467	3,749	45.8%
Add: Adjusted revenue impact[1]	-	485	n/a		268	1,756	n/a
Adjust: Total items impacting comparability	-	(3)	n/a		-	(12)	n/a
Adjusted Comparable	1,600	1,508	6.1%		5,735	5,493	4.4%
Adjust: Impact of fx changes	15	n/a	n/a		120	n/a	n/a
Adjusted Comparable and fx-neutral	1,615	1,508	7.1%		5,855	5,493	6.6%
Adjusted Revenue per unit case	4.44	4.33	2.3%		4.29	4.26	0.9%

^[1] The adjusted revenue impact reflects the inclusion of Philippines revenue as if the acquisition had occurred at the beginning of the period presented and prepared on a basis consistent with CCEP IFRS accounting policies.

Volume

 

Adjusted Comparable Volume - Selling Day Shift CCEP   In millions of unit cases, prior period volume recast using current year selling days	Fourth Quarter Ended				Year Ended
	31 December 2024	31 December 2023	% Change		31 December 2024	31 December 2023	% Change
Volume	1,000	802	24.7%		3,864	3,279	17.8%
Impact of selling day shift	-	26	n/a		-	26	n/a
Comparable volume - Selling Day Shift adjusted	1,000	828	20.8%		3,864	3,305	16.9%
Add: Adjusted volume impact[1]	-	183	n/a		101	660	n/a
Adjusted comparable volume	1,000	1,011	(1.1)%		3,965	3,965	0.0%

 

Adjusted Comparable Volume - Selling Day Shift APS
Volume	364	170	114.1%		1,263	635	98.9%
Impact of selling day shift	-	5	n/a		-	5	n/a
Comparable volume - Selling Day Shift adjusted	364	175	108.0%		1,263	640	97.3%
Add: Adjusted volume impact[1]	-	183	n/a		101	660	n/a
Adjusted comparable volume	364	358	1.7%		1,364	1,300	4.9%

^[1] The adjusted volume impact reflects the inclusion of Philippines volume as if the acquisition had occurred at the beginning of the period presented. Adjusted Philippines volume for the year ended 31 December 2023 is 655 million unit cases. Including the impact of the Q4 selling day shift (5 million unit cases), adjusted comparable Philippines volume is 660 million unit cases.

Cost of Sales

 

Adjusted Cost of Sales In millions of €, except per case data which is calculated prior to rounding. FX impact calculated by recasting current year results at prior year rates.		Year Ended
		31 December 2024	31 December 2023	% Change
As reported		13,227	11,582	14.2%
Add: Adjusted cost of sales impact[1]		213	1,378	n/a
Adjust: Acquisition accounting[2]		1	17
Adjust: Total items impacting comparability		(72)	(19)
Adjust: Restructuring charges[3]		(10)	(9)
Adjust: European flooding[4]		(1)	9
Adjust: Inventory step-up[5]		(5)	(5)
Adjust: Litigation[6]		(2)	(6)
Adjust: Impairment[7]		(54)	-
Adjust: Other[8]		-	(8)
Adjusted Comparable		13,369	12,958	3.2%
Adjust: Impact of fx changes		26	n/a	n/a
Adjusted Comparable & fx-neutral		13,395	12,958	3.4%
Adjusted cost of sales per unit case		3.38	3.29	2.6%

__________________________

^[1] Amounts represent unaudited cost of sales of CCBPI as if the acquisition had occurred on 1 January, including acquisition accounting adjustments and CCEP IFRS accounting policy reclassifications.

^[2] Amounts represent transaction accounting adjustments as if the acquisition had occurred on 1 January. These include the depreciation impact relating to fair values for property plant and equipment and the non-recurring impact of the fair value step-up of CCBPI finished goods.

^[3] Amounts represent restructuring charges related to business transformation activities.

^[4] Amounts represent the incremental expense incurred as a result of the July 2021 flooding events, which impacted the operations of our production facilities in Chaudfontaine and Bad Neuenahr, for the year ended 31 December 2024 and the incremental expense incurred offset by the insurance recoveries collected for the year ended 31 December 2023.

^[5] Amounts represent the non-recurring impact of fair value step-up of CCBPI inventories.

^[6] Amounts relate to the increase in a provision established in connection with an ongoing labour law matter in Germany.

^[7] Amounts represent the expense recognised in relation to the impairment of the Group's Indonesia cash generating unit and the impairment of the Feral brand, which was sold during the year ended 31 December 2024.

^[8] Amounts represent one-time items identified by CCBPI which are not expected to recur, and mainly include the impact from the reversal of certain provisions partially offset by charges related to business transformation activities.

 

Adjusted comparable cost of sales for the year ended 31 December 2024 were €13,369 million, up 3.2% versus 2023.

Cost of sales per unit case increased by 2.6% on an adjusted comparable and fx-neutral basis, driven by an increase in concentrate in line with our incidence model reflecting the improvement in revenue per unit case. There was also upward pressure on manufacturing costs and increased consumption tax driven by the Netherlands, partially offset by the mix effect from the strong growth in the Philippines.

Operating Expenses

Adjusted Operating Expenses In millions of €. FX impact calculated by recasting current year results at prior year rates.		Year Ended
		31 December 2024	31 December 2023	% Change
As reported		5,079	4,488	13.2%
Add: Adjusted operating expenses impact[1]		43	257	n/a
Adjust: Acquisition accounting[2]		1	4
Adjust: Total items impacting comparability		(459)	(134)
Adjust: Restructuring charges[3]		(254)	(85)
Adjust: Acquisition and Integration related costs[4]		(14)	(12)
Adjust: Litigation[5]		(1)	(11)
Adjust: Impairment[6]		(135)	-
Adjust: Accelerated amortisation[7]		(55)	(27)
Adjust: Other[8]		-	1
Adjusted Comparable		4,664	4,615	1.1%
Adjust: Impact of fx changes		12	n/a	n/a
Adjusted Comparable & fx-neutral		4,676	4,615	1.3%

__________________________

^[1] Amounts represent unaudited operating expenses of CCBPI as if the acquisition had occurred on 1 January, including acquisition accounting adjustments and CCEP IFRS accounting policy reclassifications.

^[2] Amounts represent transaction accounting adjustments as if the acquisition had occurred on 1 January. These include the depreciation and amortisation impact relating to fair values for intangibles and property plant and equipment and acquisition and integration related costs.

^[3] Amounts represent restructuring charges related to business transformation activities.

^[4]  Amounts represent cost associated with the acquisition and integration of CCBPI.

^[5] Amounts relate to the increase in a provision established in connection with an ongoing labour law matter in Germany.

^[6] Amounts represent the expense recognised in relation to the impairment of the Group's Indonesia cash generating unit and the impairment of the Feral brand, which was sold during the year ended 31 December 2024.

^[7] Amounts represent accelerated amortisation charges associated with the discontinuation of the relationship between CCEP and Beam Suntory upon expiration of the current contractual agreements.

^[8] Amounts represent one-time items identified by CCBPI which are not expected to recur, and mainly include the impact from the reversal of certain provisions partially offset by charges related to business transformation activities.

 

Adjusted comparable operating expenses for the year ended 31 December 2024 were €4,664 million, up 1.1% versus 2023, reflecting inflation, partially offset by the benefit of on-going efficiency programmes and our continuous efforts on discretionary spend optimisation in areas such as trade marketing, travel and meetings.

 

Operating Profit

Adjusted Operating Profit CCEP In millions of €. FX impact calculated by recasting current year results at prior year rates.		Year Ended
		31 December 2024	31 December 2023	% Change
As reported		2,132	2,339	(8.8)%
Add: Adjusted operating profit impact		12	121	n/a
Adjust: Acquisition accounting		(2)	(21)
Adjust: Total items impacting comparability		531	34
Adjusted Comparable		2,673	2,473	8.1%
Adjust: Impact of fx changes		(1)	n/a	n/a
Adjusted Comparable & fx-neutral		2,672	2,473	8.0%

 

Adjusted Operating Profit APS
As reported		363	497	(27.0)%
Add: Adjusted operating profit impact		12	121	n/a
Adjust: Acquisition accounting		(2)	(21)
Adjust: Total items impacting comparability		285	(12)
Adjusted Comparable		658	585	12.5%
Adjust: Impact of fx changes		12	n/a	n/a
Adjusted Comparable & fx-neutral		670	585	14.5%

 

Supplemental Financial Information - Effective Tax Rate

The reported effective tax rate was 25% and 24% for the years ended 31 December 2024 and 31 December 2023, respectively.

The increase in the reported effective tax rate to 25% in 2024 (2023: 24%) reflects the impact of non-UK operations which is substantially offset by prior period adjustments.

The comparable effective tax rate was 25% and 24% for the years ended 31 December 2024 and 31 December 2023, respectively.

Income tax In millions of €	Year Ended
	31 December 2024	31 December 2023
As reported	492	534
Adjust: Total items impacting comparability	126	4
Adjust: Restructuring charges[1]	70	15
Adjust: European flooding[2]	-	(2)
Adjust: Acquisition and Integration related costs[3]	2	-
Adjust: Inventory step-up[4]	2	-
Adjust: Coal royalties[5]	-	(6)
Adjust: Property sale[6]	-	(16)
Adjust: Litigation[7]	1	5
Adjust: Impairment[8]	35	-
Adjust: Accelerated amortisation[9]	16	8
Comparable	618	538

__________________________

^[1] Amounts represent the tax impact of restructuring charges related to business transformation activities.

^[2] Amounts represent the tax impact of the incremental expense incurred as a result of the July 2021 flooding events, which impacted the operations of our production facilities in Chaudfontaine and Bad Neuenahr, for the year ended 31 December 2024 and the incremental expense incurred offset by the insurance recoveries collected for the year ended 31 December 2023.

^[3] Amounts represent the tax impact of cost associated with the acquisition and integration of CCBPI.

^[4] Amounts represent the tax impact of the non-recurring impact of fair value step-up of CCBPI inventories.

^[5] Amounts represent the tax impact of royalty income arising from the ownership of certain mineral rights in Australia. The royalty income was recognised as "Other income" in our consolidated income statement for the year ended 31 December 2023.

^[6] Amounts represent the tax impact of gains mainly attributable to the sale of property in Germany. The gains on disposal were recognised as "Other income" in our consolidated income statement for the year ended 31 December 2023.

^[7] Amounts represent the tax impact related to the increase in a provision established in connection with an ongoing labour law matter in Germany.

^[8] Amounts represent the tax impact of the expense recognised in relation to the impairment of the Group's Indonesia cash generating unit and the impairment of the Feral brand, which was sold during the year ended 31 December 2024.

^[9] Amounts represent the tax impact of accelerated amortisation charges associated with the discontinuation of the relationship between CCEP and Beam Suntory upon expiration of the current contractual agreements.

Supplemental Financial Information - Comparable Free Cash Flow

 

Comparable Free Cash Flow In millions of €		Year Ended
		31 December 2024		31 December 2023
Net cash flows from operating activities		3,061		2,806
Less: Purchases of property, plant and equipment		(791)		(672)
Less: Purchases of capitalised software		(148)		(140)
Add: Proceeds from sales of property, plant and equipment		15		101
Less: Payments of principal on lease obligations		(157)		(148)
Less: Net interest payments		(175)		(124)
Adjust: Items impacting comparability[1]		12		(89)
Comparable Free Cash Flow		1,817		1,734

^[1] During the year ended 31 December 2023, the Group received net of tax cash proceeds of €89 million in connection with the royalty income arising from the ownership of certain mineral rights in Australia. During the year ended 31 December 2024, the Group paid a further €12 million of cash taxes in connection with those proceeds. The cash impacts associated with those specific events have been included within the Group's net cash flows from operating activities for the years ended 31 December 2024 and 31 December 2023, respectively. Given the unusual nature and to allow for better period to period comparability, our comparable free cash flow measure excludes the cash impact related to those items.

If the Acquisition had occurred on 1 January 2024, adjusted comparable free cash flow for the year ended 31 December 2024 is estimated to approximate the comparable free cash flow in the table above.

Supplemental Financial Information - Borrowings

 

Net Debt In millions of €	As at				Credit Ratings As of 13 February 2025
	31 December 2024		31 December 2023				Moody's		Fitch Ratings
Total borrowings	11,331		11,396		Long-term rating		Baa1		BBB+
Fair value of hedges related to borrowings[1]	36		28		Outlook		Stable		Stable
Other financial assets/liabilities[1]	18		20		Note: Our credit ratings can be materially influenced by a number of factors including, but not limited to, acquisitions, investment decisions and working capital management activities of TCCC and/or changes in the credit rating of TCCC. A credit rating is not a recommendation to buy, sell or hold securities and may be subject to revision or withdrawal at any time.
Adjusted total borrowings[1]	11,385		11,444
Less: cash and cash equivalents[2] [3]	(1,563)		(1,419)
Less: short term investments[4]	(150)		(568)
Net debt	9,672		9,457

___________________

^[1] Net debt includes adjustments for the fair value of derivative instruments used to hedge both currency and interest rate risk on the Group's borrowings. In addition, net debt also includes other financial assets/liabilities relating to cash collateral pledged by/to external parties on hedging instruments related to borrowings.

^[2] Cash and cash equivalents as at  31 December 2024 and 31 December 2023 includes €36 million and €42 million of cash in Papua New Guinea Kina, respectively. Presently, there are government-imposed currency controls which impact the extent to which the cash held in Papua New Guinea can be converted into foreign currency and remitted for use elsewhere in the Group.

^[3] Cash and cash equivalents as at 31 December 2024  includes €10 million (31 December 2023: nil) of cash held by the Group's Employee Benefit Trust. The funds can be solely used for the purchases of CCEP shares to satisfy the Group's award requirements under its current and future share-based compensation plans.

^[4] Short term investments are term cash deposits with maturity dates when acquired of greater than three months and less than one year. These short term investments are held with counterparties that are continually assessed with a focus on preservation of capital and liquidity. Short term term investments as at 31 December 2024 and 31 December 2023 include €18 million and €33 million of assets in Papua New Guinea Kina, respectively, subject to the same currency controls outlined above.

 

 

Supplemental Financial Information - Comparable EBITDA

 

Comparable EBITDA In millions of €		Year Ended
		31 December 2024		31 December 2023
Reported profit after tax		1,444		1,669
Taxes		492		534
Finance costs, net		187		120
Non-operating items		9		16
Reported operating profit		2,132		2,339
Depreciation and amortisation		933		792
Reported EBITDA		3,065		3,131
Items impacting comparability
Restructuring charges[1]		247		83
Acquisition and integration related costs[2]		14		12
Litigation[3]		3		17
European flooding[4]		1		(9)
Property sale[5]		-		(54)
Sale of sub-strata and associated mineral rights[6]		-		(35)
Coal royalties[7]		-		(18)
Inventory step-up[8]		5		-
Impairment[9]		189		-
Comparable EBITDA		3,524		3,127
Net debt to reported EBITDA		3.2		3.0
Net debt to comparable EBITDA		2.7		3.0

______________________

^[1] Amounts represent restructuring charges related to business transformation activities, excluding accelerated depreciation included in the depreciation and amortisation line.

^[2] Amounts represent cost associated with the acquisition and integration of CCBPI.

^[3] Amounts relate to the increase in a provision established in connection with an ongoing labour law matter in Germany.

^[4] Amounts represent the incremental expense incurred as a result of the July 2021 flooding events, which impacted the operations of our production facilities in Chaudfontaine and Bad Neuenahr, for the year ended 31 December 2024 and the incremental expense incurred offset by the insurance recoveries collected for the year ended 31 December 2023.

^[5] Amounts represent gains mainly attributable to the sale of property in Germany. The gains on disposal were recognised as "Other income" in our consolidated income statement for the year ended 31 December 2023.

^[6] Amounts represent the considerations received relating to the sale of the sub-strata and associated mineral rights in Australia. The transaction completed in April 2023 and the proceeds were recognised as "Other income" in our consolidated income statement for the year ended 31 December 2023.

^[7] Amounts represent royalty income arising from the ownership of certain mineral rights in Australia. The royalty income was recognised as "Other income" in our consolidated income statement for the year ended and 31 December 2023.

^[8] Amounts represent the non-recurring impact of fair value step-up of CCBPI inventories.

^[9] Amounts represent the expense recognised in relation to the impairment of the Group's Indonesia cash generating unit and the impairment of the Feral brand, which was sold during the year ended 31 December 2024.

 

Adjusted Comparable EBITDA In millions of €		Year Ended
		31 December 2024
Reported profit after tax		1,444
Taxes		492
Finance costs, net		187
Non-operating items		9
Reported operating profit		2,132
Add: Adjusted operating profit impact[1]		12
Adjust: Acquisition accounting[2]		(2)
Adjusted operating profit		2,142
Depreciation and amortisation[3]		945
Adjusted EBITDA		3,087
Items impacting comparability
Restructuring charges[4]		247
Acquisition and integration related costs[5]		14
Litigation[6]		3
European flooding[7]		1
Inventory step-up[8]		5
Impairment[9]		189
Adjusted Comparable EBITDA		3,546
Net debt to adjusted EBITDA		3.1
Net debt to adjusted comparable EBITDA		2.7

______________________

^[1] Amounts represent unaudited operating profit of CCBPI as if the acquisition had occurred on 1 January, including acquisition accounting adjustments and CCEP IFRS accounting policy reclassifications.

^[2] Amounts represent transaction accounting adjustments as if the acquisition had occurred on 1 January. These include the depreciation and amortisation impact relating to fair values for intangibles and property plant and equipment, the non-recurring impact of the provisional fair value step-up of CCBPI finished goods and acquisition and integration related costs.

^[3] Includes the depreciation and amortisation impact relating to fair values for intangibles and property plant and equipment as if the acquisition had occurred on 1 January.

^[4] Amounts represent restructuring charges related to business transformation activities, excluding accelerated depreciation included in the depreciation and amortisation line.

^[5] Amounts represent cost associated with the acquisition and integration of CCBPI.

^[6] Amounts relate to increase in a provision established in connection with an ongoing labour law matter in Germany.

^[7] Amounts represent the incremental expense incurred as a result of the July 2021 flooding events, which impacted the operations of our production facilities in Chaudfontaine and Bad Neuenahr, for the year ended 31 December 2024 and the incremental expense incurred offset by the insurance recoveries collected for the year ended 31 December 2023.

^[8] Amounts represent the non-recurring impact of fair value step-up of CCBPI inventories.

^[9] Amounts represent the expense recognised in relation to the impairment of the Group's Indonesia cash generating unit and the impairment of the Feral brand, which was sold during the year ended 31 December 2024.

 

Supplemental Financial Information - Return on invested capital

 

ROIC In millions of €	Year Ended
	31 December 2024		31 December 2023
Reported profit after tax	1,444		1,669
Taxes	492		534
Finance costs, net	187		120
Non-operating items	9		16
Reported operating profit	2,132		2,339
Items impacting comparability[1]	531		34
Comparable operating profit[1]	2,663		2,373
Taxes[2]	(667)		(570)
Non-controlling interest	(29)		-
Comparable operating profit after tax attributable to shareholders	1,967		1,803
Opening borrowings less cash and cash equivalents and short term investments	9,409		10,264
Opening equity attributable to shareholders	7,976		7,447
Opening Invested Capital	17,385		17,711
Closing borrowings less cash and cash equivalents and short term investments	9,618		9,409
Closing equity attributable to shareholders	8,489		7,976
Closing Invested Capital	18,107		17,385
Average Invested Capital	17,746		17,548
ROIC	8.1%		9.5%
Comparable ROIC	11.1%		10.3%

____________________

^[1] Reconciliation from reported to comparable operating profit is included in the Supplementary Financial Information - Items impacting comparability section.

^[2] Tax rate used is the comparable effective tax rate for the year (2024: 25%; 2023: 24%).

 

Adjusted comparable ROIC In millions of €	Year Ended
	31 December 2024
Reported profit after tax	1,444
Taxes	492
Finance costs, net	187
Non-operating items	9
Reported operating profit	2,132
Add: Adjusted operating profit impact[1]	12
Adjust: Acquisition accounting[2]	(2)
Adjusted operating profit	2,142
Items impacting comparability[3]	531
Adjusted comparable operating profit[3]	2,673
Taxes[4]	(670)
Non-controlling interest	(31)
Adjusted comparable operating profit after tax attributable to shareholders	1,972
Opening borrowings less cash and cash equivalents and short term investments[5]	10,536
Opening equity attributable to shareholders[5]	7,976
Opening Invested Capital	18,512
Closing borrowings less cash and cash equivalents and short term investments	9,618
Closing equity attributable to shareholders	8,489
Closing Invested Capital	18,107
Average Invested Capital	18,310
Adjusted comparable ROIC	10.8%

____________________

^[1] Amounts represent unaudited operating profit of CCBPI as if the acquisition had occurred on 1 January, including acquisition accounting adjustments and CCEP IFRS accounting policy reclassifications.

^[2] Amounts represent transaction accounting adjustments as if the acquisition had occurred on 1 January. These include the depreciation and amortisation impact relating to fair values for intangibles and property plant and equipment.

^[3] Reconciliation from reported to comparable and to adjusted comparable operating profit is included in the Supplementary Financial Information - Items impacting comparability section.

^[4] Tax rate used is the comparable effective tax rate for the year (2024: 25%; 2023: 24%).

^[5] In light of the CCBPI acquisition and in order to provide investors with a more meaningful measure of capital efficiency for 2024, an adjusted comparable ROIC measure has been presented for the year ended 31 December 2024. To derive this adjusted comparable measure, opening borrowings, cash and cash equivalents and short term investments, and equity attributable to shareholders were adjusted to reflect transaction accounting adjustments, the impact of debt financing and cash flows in connection with the acquisition, as if the transaction had occurred on 1 January 2024.