By Anthony O. Goriainoff

Shares in Coca-Cola HBC fell after the company said its first-half earnings before interest and taxes margin fell due to higher costs.

London-listed shares were down 9%, at 3,568 pence in early European trade, but up 31% in the year to date.

The Coca-Cola Co. bottler--listed in London and Athens--on Wednesday said its comparable EBIT margin fell to 10.2% from 11.3% in the first half of last year as marketing and operating expenses rose in the period.

Comparable EBIT in its established market segment fell 7.2% on an organic basis to 181.5 million euros ($210.1 million).

The company's coffee sector also saw a 7.6% fall in volumes in the period. This was in line with the board's expectations and stemmed from its joint decision with Costa Coffee to focus on out-of-home business rather than at-home business. The company said it sees greater long-term potential in the out-of-home channel, which grew by 17% and was driven by Costa Coffee and Caffe Vergnano.

Coca-Cola HBC also reported net profit of 470.6 million euros for the first half, up from 381.6 million euros in the prior-year period. Revenue rose to 5.62 billion euros from 5.175 billion euros.

The company said it expected 2025 organic revenue growth and earnings before interest and taxes growth to be at the top end of guidance ranges of 6% to 8%, and 7% to 11%, respectively.

Write to Anthony O. Goriainoff at anthony.orunagoriainoff@dowjones.com

(END) Dow Jones Newswires

August 06, 2025 05:37 ET (09:37 GMT)

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