Coca-Cola Enterprises, Inc. (NYSE:CCE) Q3 2018 Earnings Conference Call - Final Transcript

Oct 30, 2018 • 08:30 am ET


Coca-Cola Enterprises, Inc. (NYSE:CCE) Q3 2018 Earnings Conference Call - Final Transcript


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Good day and welcome to the Coca-Cola European Partners Third Quarter 2018 Conference Call. At the request of Coca-Cola European Partners, this conference is being recorded for instant replay purposes. At this time, I would like to turn the conference over to Sarah Willett, Vice President of Investor Relations. Please go ahead, Madam.

Sarah Willett

Thank you, and good afternoon in Europe, or good morning in the U.S. Thank you all for joining us today.

(Forward-Looking Cautionary Statements)

Today's prepared remarks will be made by Damian Gammell, our CEO, followed by Nik Jhangiani, our CFO. Following those remarks, we will open the call for your questions. Following the call, a Q&A transcript will be made available as soon as possible on our website. Before I hand over to Damian, we are, as of today, starting to publish our financial calendar on our website, so I encourage you to sign up for the newsletter to ensure these feed into your calendar as soon as they are released.

Our reporting dates will no longer be announced via press release. Our next announcement will be our Full Year 2018 Results on Valentine's Day, the 14th of February 2019 at 7 a.m. GMT, followed by a conference call later in the day. So back to our third quarter results, I will now turn the call over to our CEO, Damian.

Damian Gammell

Thank you, Sarah. Again, I would like to thank everybody for taking the time to join us today. We very much look forward to discussing our year to date and our third quarter 2018 results, as well as our outlook for the full year 2018.

Overall, we are very pleased with our results so far this year. Importantly, the momentum in the business provides us with the license to continue to build for the future. We are continuing to make the right investments now in both our portfolio and in our core capabilities to support our long-term growth agenda, and this explains why we are not yet seeing more operational leverage in our P&L. Nik will talk a little bit more about this later, Driving value for our customers and our shareholders remains at the heart of our business, and we are fully committed to the mid-term growth objectives which we provided at our recent Capital Markets Day in Wiesbaden, Germany.

So now onto our results year to date. Our revenue increased 4.5% on the comparable currency neutral basis, led by a very healthy 5% increase in our revenue-per-unit case. Excluding the impact of incremental soft drinks, taxes, our revenue-per-unit case increased by approximately 3%, as we continue to benefit from our efforts and strategy to improve our price and mix over time. Our year-to-date volumes were slightly down. The volume impacts of softer trading over the summer in France and Spain, new soft drink taxes and our strategic portfolio and pricing initiatives were almost fully offset by the favorable weather in Great Britain, Germany and northern Europe that we enjoyed over the summer months. Very importantly,