Coca-Cola
Coca-Cola FEMSA Expands Capacity To Meet Demand
Coca-Cola FEMSA, the world's largest Coca-Cola bottler by sales volume, is expanding its capacity with plans to establish new plants in Mexico and Brazil. CEO Ian Craig announced the bottler's ongoing expansion plan aims for a 15 percent capacity expansion by the end of 2025. The strategy involves adding production lines to current facilities and eventually setting up new "greenfield" plants in both countries. This year, Coca-Cola FEMSA installed seven new lines, including two each in Mexico, Brazil and Guatemala, and one in Colombia. The second quarter saw significant growth, with Mexico's total volumes up 7.9 percent to 599.5 million unit cases, and Brazil's volumes rising 12.1 percent to 269.4 million unit cases. Mexico's revenue surged 16 percent and Brazil's 8.8 percent. Overall, Coca-Cola FEMSA reported a 13.1 percent increase in total revenue, a 17.2 percent rise in gross profit and a 21.7 percent increase in adjusted EBITDA. Despite temporary setbacks, like the closure of a Brazilian site due to floods, the group's total volumes grew 7.5 percent in the second quarter, reaching 1.09 billion cases.
Coca-Cola Raises Sales Forecast Amid Strong Quarter
Coca-Cola has increased its full-year sales forecast following a robust second quarter, marked by a 20 percent global volume boost for Coca-Cola Zero Sugar. The company now anticipates organic sales growth of 9-10 percent, up from its previous 8-9 percent estimate. Revenue for the April-June period rose 3 percent to $12.4 billion, surpassing Wall Street's expectations of $11.8 billion. Chairman and CEO James Quincey justified raising prices by 9 percent during the latest quarter, citing increased input costs. However, these price increases have negatively impacted North American demand, with a 1 percent decline in unit case volume sales. In contrast, Coca-Cola saw a 3 percent rise in unit case volume sales in the Asia Pacific region and a 5 percent jump in Latin America.
Keurig Dr Pepper
Keurig Dr Pepper Opens New Calgary Distribution Center
Keurig Dr Pepper Canada opened a new 100,000-square-foot distribution center in Balzac, Calgary, marking its first in Western Canada. The center, located in a 474,000-square-foot facility owned by XTL Group, will create 50 permanent jobs in handling, logistics and delivery services. This expansion supports KDP Canada's growth strategy and improves service for customers in the region. The investment, estimated to be multimillion-dollar over five years, reflects a significant milestone for the company’s operations in Canada.
Nestle
Nestlé Faces Scrutiny Over Mineral Water Treatments
Nestlé is under investigation for allegedly using banned treatments on its Vosges-produced mineral waters—Vittel, Contrex, and Hépar—for over 15 years. The Directorate General for Competition Policy, Consumer Affairs, and Fraud Control revealed in April that Nestlé employed unauthorized filters since at least 2010 and had UV systems dating back to 2005. This reportedly boosted Vittel's sales by €3 billion by allowing the water to be marketed as natural. Nestlé disputes these claims, asserting that its mineral waters' unique composition was maintained and no chemical treatments were used. The company acknowledged using finer microfiltration and other methods not permitted under French regulations but stated these were reported to French authorities in 2021 and corrected accordingly. France's food safety authority, ANSES, has expressed concerns about the safety of Nestlé's Vosges waters and recommended enhanced surveillance to monitor potential microbiological risks. Despite the controversy, Nestlé maintains its bottled waters are safe for consumption.
Other Companies
Lucozade Alert To Introduce New 250ml Cans This August
Lucozade Alert is launching two new 250ml can flavors in August: Lucozade Alert Ultimate Energy and Lucozade Alert Zero Sugar Mango Peachade. Ultimate Energy features a new guarana flavor, while Mango Peachade Zero offers a no-sugar option. These additions address growing consumer demand for smaller, lower-sugar options in the stimulation drinks market. With zero-sugar energy drinks increasing by 26 percent according to Nielsen data for the 52 weeks to mid-April, the new 250ml cans address this trend and offer a convenient choice for shoppers. Priced at £1 each or £0.75 in Price-Marked Packs, the launch will be supported by extensive advertising and in-store promotions.
Hunt And Brew Launches Premium RTD Coffee In UK
Hunt And Brew, Australia’s top ready-to-drink specialty coffee brand, is launching in the UK with a rollout in Tesco stores starting July 28. Known for its single-origin, specialty-grade coffee and fresh milk, Hunt And Brew aims to offer a high-quality coffee experience that rivals artisanal coffee shops. The initial UK lineup includes three cold brew options: Brazil Coffee, Ethiopia Coffee (black and dairy-free) and Colombia Coffee, each priced at £3.45. The brand emphasizes its clean ingredients—milk, cold-brewed coffee and roasted coffee grounds—without added sugars or sweeteners. This launch comes as the RTD coffee category grows rapidly in the UK and is now worth £289 million, according to Nielsen. Hunt And Brew is also set to expand to Ocado and premium outlets.
Bloom Nutrition Launches Sparkling Energy Drinks At Target
Bloom Nutrition, a wellness brand known for its popular greens powder, is debuting its first ready-to-drink beverage, Bloom Sparkling Energy. Launching exclusively at Target, these new energy drinks aim to disrupt the category with healthier ingredients and superior taste. Each 250ml can contains 180mg of natural caffeine from coffee bean extract, prebiotic fiber and functional ingredients like lychee extract and apple cider vinegar, all while being low in calories and sugar-free. Available in four flavors—Raspberry Lemon, Cherry Lime, Peach Mango and Strawberry Watermelon—Bloom Sparkling Energy targets wellness-focused consumers seeking a clean energy boost. The launch reinforces Bloom's commitment to delivering benefit-driven, flavorful wellness solutions and builds on its successful retail partnership with Target.
Robinsons Unveils New Look For Adult Drinks Lines
Robinsons has refreshed its adult drinks lines, Robinsons Cordials and Creations, as part of a broader masterbrand relaunch. The redesign, in collaboration with Bloom agency, features new packaging to better distinguish the two products and enhance their appeal. Cordials aims to upscale the drinking experience with water or cocktails, while Creations focuses on a more dynamic beverage experience. The updated design incorporates vibrant graphics and energetic typography to attract a new generation of consumers. This revamp follows Carlsberg's recent acquisition of Britvic and Britvic’s renewed licensing for branded ice creams and lollies.
ITO EN Launches Oi Ocha In India
Japanese tea company ITO EN is entering the Indian market with its flagship ready-to-drink green tea, Oi Ocha (“tea please”). Since its debut in 1989, Oi Ocha has become the world’s top-selling natural unsweetened RTD green tea, with a presence in over 40 countries and annual revenues of US$2.9 billion. ITO EN has partnered with La Ditta Singapore Pte Ltd to handle marketing and distribution in India. The brand aims to tap into India's growing economy and burgeoning interest in green tea, which is still in its early stages of adoption. The strategy includes sampling to build brand awareness and promoting the tea’s benefits, such as no sugar, calories or artificial ingredients. Initially, Oi Ocha will be sold through e-commerce channels before expanding to other retail options.
ThaiBev
Thai Beverage To Focus On Drinks, Exits Real Estate
Thai Beverage, Southeast Asia's largest brewer, plans to shift its focus entirely to drinks and food by divesting its real estate assets. The company will exchange its 28.8 percent stake in Singapore's Frasers Property, valued at $1.6 billion, for shares in Fraser and Neave, increasing its stake in F&N to nearly 70 percent. This strategic move aims to streamline ThaiBev’s operations and enhance its positioning in the beverage and food sector.
More...
Copyright 2024 Business360, Inc.