Atlanta-based bottler Coca-Cola Enterprises now does business exclusively in Europe, and it's enjoying that arrangement just fine.
The company reported higher revenue on Thursday, as volume of beverages grew by 5 percent in the first quarter. Bolstered by bigger sales of Coca-Cola, Coke Zero, Powerade, Capri Sun and Ocean Spray, revenue rose 7 percent to $1.84 billion. The increase was 5 percent if currency fluctuations are stripped out of the results.
"Solid progress," Chief Executive John Brock said. Thursday afternoon, the company's shares were flat on the New York Stock Exchange.
Analysts said CCE is doing a good job containing costs, offsetting higher expenses with higher average prices. Very few companies have been able to deliver such low year-over-year cost inflation, UBS analyst Kaumil Gajrawala said.
"CCE continues to execute well," Gajrawala wrote in a note to investors. "The business continues to stand out as a top performer in global bottling."
The company earned 31 cents per diluted share, although comparisons with the same period a year ago were difficult. The company transferred its North American operations to Coca-Cola Co. late last year.
Volume in Great Britain rose 6.5 percent, while volumes in continental Europe increased 4.5 percent.
CCE said it had several big initiatives in the pipeline, including a celebration of Coca-Cola's 125th anniversary, early Olympics activity and a program called Coke With Food.
The company has momentum heading into the peak summer selling season, said Mark Swartzberg, an analyst with Stifel, Nicolaus & Co.
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