Coca-Cola Amatil withdraws earnings guidance

The double whammy of the bushfire crisis and now the ongoing Covid-19 outbreak has forced Coca-Cola Amatil (ASX: CCL) to withdraw its earnings guidance.

In a statement posted to the ASX CCL says measures taken by governments to slow the rate of coronavirus infection have had a "myriad of consequences" on the business.

"We will continue to support our customers and our local communities, and at this stage we expect we can continue to operate our business and avoid significant supply chain disruption, while maintaining our workforce during this challenging time," says CCL managing director Alison Watkins.

In Australia and New Zealand the company says it is witnessing strong growth in its supermarket channel as customers stock up for self-isolation or quarantine periods.

Despite growth in its supermarkets channel, CCL has witnessed declines in its On-The-Go (OTG) channel.

"We would expect OTG weakness to accelerate given consumers' likely preference for staying at home as well as the widespread cancellation of major sporting, entertainment and cultural events," says CCL.

Updated at 11:22am AEDT on 17 March 2020.


Help us deliver quality journalism to you.
As a free and independent news site providing daily updates
during a period of unprecedented challenges for businesses everywhere
we call on your support

Facing the latest impacts of cyber-crime: cyber insurance premiums increase for businesses
Partner Content
As Australian businesses are forced to adapt to a new normal yet again, a different typ...
Aon
Advertisement

Related Stories

Byron, Tweed and Kempsey to go back into lockdown

Byron, Tweed and Kempsey to go back into lockdown

The northern New South Wales local government areas (LGAs) of Byron...

Melbourne’s construction industry shut down for two weeks

Melbourne’s construction industry shut down for two weeks

Rising COVID-19 case numbers in Victoria's construction se...

WestInvest a "$5 billion shot in the arm" for Western Sydney

WestInvest a "$5 billion shot in the arm" for Western Sydney

After selling its remaining stake in WestConnex for $11.1 billion, ...

Record daily cases and Geelong in lockdown after Victoria unveils freedom roadmap

Record daily cases and Geelong in lockdown after Victoria unveils freedom roadmap

Victoria has hit a new daily case record from the latest COVID-19 o...